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Officials announce 2009 retired, annuitant pay adjustments

  • Published
Based on the increase in the U.S. Consumer Price Index, there will be a cost-of-living adjustment increase for retired pay and Survivor Benefit Plan annuities effective Dec. 1, according to Pentagon officials.

Retirees being paid on an account where the retiree first became a member of the uniformed services before Sept. 8, 1980 and retired before Jan. 1, 2008 will receive the full COLA increase of 5.8 percent. Retirees being paid on an account where the retiree first became a member of the uniformed services before Sept. 8, 1980 and retired Jan. 1 to Dec. 31, 2008 will receive a COLA increase of up to 5 percent.

The COLA increase for retirees being paid on an account where the retiree first became a member of the uniformed services on or after Sept. 8, 1980 will be as follows:

-- 5.8 percent for those retiring before Jan. 1, 2008

-- 5 percent for those retiring in the first quarter of calendar 2008

-- 3.8 percent for those retiring in the second quarter of calendar 2008

-- 1.2 percent for those retiring in the third quarter of calendar 2008

-- No increase for those retiring in the fourth quarter of calendar 2008

Retirees who first became a member of the uniformed services on or after Aug. 1, 1986, elected to receive a Career Status Bonus, and retired before Jan. 1, 2008, will receive a COLA as follows:

-- 4.8 percent for those retiring before Jan. 1, 2008

-- 4.2 percent for those retiring in the first quarter of calendar 2008

-- 3.3 percent for those retiring in the second quarter of calendar 2008

-- 1 percent increase for those retiring in the third quarter of calendar 2008

-- No increase for those retiring in the fourth quarter of calendar 2008

The COLA increase will be reflected in the Jan. 2 payment.

For more information, contact the Defense Finance and Accounting Service at (800) 321-1080, or visit the DFAS Web site at www.dfas.mil/index.html.