Compound COLA for ATRS Retirees on July 1, 2009
At its August 7, 2008, meeting, the ATRS Board of Trustees authorized the annual cost of living adjustment for retirees to be compounded for the fiscal year beginning July 1, 2009. The compound COLA applied to all retired members who had received a monthly retirement benefit for the prior 12 month period ending June 30, 2009. This compound COLA was calculated by multiplying 3% times the June 30, 2009, retirement benefit.
After the COLA was calculated on July 1, 2009, and added to the June 30, 2009 benefit, the base amount was reset to the same as the new July 1, 2009, benefit amount. This means that future COLA raises will be based upon the new, updated base amount.
The Board of Trustees voted to implement the compound COLA for a one year period. The financial condition of the System will be evaluated on a year-by-year basis going forward to determine if a simple or compound COLA will be given.
Please note that in years the COLA is compounded, the simple COLA will not be given.
Last Updated ( Tuesday, 20 July 2010 )