COLA

Articles about the Cost of Living Adjustment (COLA) that may be useful to Massachusetts retirees

House & Senate Negotiate FY21 Budget Differences

House & Senate Negotiate FY21 Budget Differences

$46 Billion Budget Contains State/Teachers’ COLA

NOVEMBER 23, 2020: House and Senate leaders have begun negotiations over the FY21 budgets passed by each branch of the Legislature over the past two weeks. Since the House and Senate passed differing versions of the $46 billion spending plan, a compromise final version has to be negotiated in conference committee before receiving final approval and sent to Governor Charlie Baker for his approval.

A special guest

A special guest

NOVEMBER 20, 2020: This week, our Association President Frank Valeri joins me for our weekly video update. While it’s most often my face that our members see in these weekly updates, it’s important to remember that we have a team of people here at Mass Retirees working on your behalf. In the coming months you’ll be seeing and hearing more from them on a regular basis.

3rd Interim Budget Funds State Through November

3rd Interim Budget Funds State Through November

COLA & Retiree Work Extension In-Works

October 27, 2020: Working in coordination, Governor Charlie Baker and the state legislature have passed a 3rd interim FY21 State Budget that funds the Commonwealth’s operations through November. The first interim budget was passed in late June, covering operations for the month of July. A second budget was then passed to continue operations through October.

Mass. Economic Roundtable Provides Fiscal Update

Mass. Economic Roundtable Provides Fiscal Update

3% State / Teacher COLA Remains Delayed With FY21 Budget

October 7, 2020: State officials held a special Economic Roundtable meeting today focused on the impact of the ongoing COVID-19 pandemic on the Massachusetts economy and tax revenues.

3% State / Teacher COLA Approved

Work Now Underway On Future COLA Improvements

September 2019: Since the state budget was not be approved by Governor Charlie Baker until July 31st, retired teachers will not receive their COLA payment until August – which is retroactive to July 1.

State retirees, along with members of local and district retirement systems began to receive their FY20 COLA in their July pension check. The annual COLA for local and district retirees is determined and approved by the respective retirement board and is not part of the Commonwealth’s annual budget process.

New COLAs Adopted By All Local Retirement Boards

Entering Their Third Decade of Increases

SEPTEMBER 2019: Not to be outdone by the state and teachers’ retirement systems, all 102 local retirement boards adopted a new COLA beginning this July. If you retired from a local system before July 1, 2018, then you will see an increase in your monthly direct deposit or check.

Local boards are currently in the third decade of adopting such increases. They’ve been able to do so since 1997 when our landmark legislation, Chapter 17, was enacted.

Legislature Approves FY20 Budget; Includes 3% State & Teacher COLA

Legislature Approves FY20 Budget; Includes 3% State & Teacher COLA

To Be Paid in August and Retroactive To July 1

JULY 23, 2019: State & Teacher retirees are set to receive their 21st consecutive annual COLA. On Monday, the legislature approved the $43.1 billion Fiscal Year 2020 budget, which contains the 3% COLA on a $13,000 base.

State Lawmakers Reach Compromise On $43.1 Billion State Budget

STATEHOUSE, BOSTON, JULY 21, 2019 (STATEHOUSE NEWS SERVICE) – Three weeks after the start of the new fiscal year, Democratic leaders finalized a fiscal 2020 budget agreement over the weekend to end a weeks-long stalemate and authorize $43.1 billion in state government spending over the next year.

Treasurer Goldberg Delivers July COLA

Treasurer Goldberg Delivers July COLA

3% For State & Teacher Retirees

Thanks to State Treasurer Deb Goldberg, as well as the State Employees and Teachers Retirement Boards, the July pension checks of over 127,000 State and Teacher retirees will contain the 3% COLA.

Annual COLA approval for both State and Teacher retirees is handled through the State Budget. Despite being approved in all three versions of the FY19 State Budget (Governor, House, and Senate), this year’s 3% COLA payment was stuck in limbo as budget negotiations extended into mid-July.

State Budget Deal Reached

State Budget Deal Reached

3% State & Teacher COLA Retroactive to July 1

JULY 18, 2018: House and Senate budget negotiators have reached agreement finalizing the $41.88 billion FY19 State Budget. Both branches of the legislature approved the budget today. Governor Charlie Baker now has 10 days in which to review the document, before taking executive action. 

In passing the budget, the legislature has approved a full 3% COLA on a $13,000 base for State and Teacher retirees, who retired prior to July 1, 2017.