The 2025 FERS COLA adjustment will be 2.0% effective with January 2025 annuity payments.
How the COLA is Calculated
The 2025 FERS retiree COLA is based on the third quarter (July, August, September) average CPI-W index (1982-84=100) in 2024 over the 2023 third quarter average.
However, if the CPI-W quarterly average increases 3% or more, they subtract 1%. A 5% increase in the quarterly CPI-W average results in a 4% adjustment. If the quarterly average increases from 2% to 3%, benefits increase by 2%. A CPI-W quarterly average increase of 2% or less will increase benefits by the change in the CPI-W quarterly average.
Past FERS COLA Adjustments
| Year | COLA |
|---|---|
| 2025 | 2.0% |
| 2024 | 2.2% |
| 2023 | 7.7% |
| 2022 | 4.9% |
| 2021 | 1.3% |
| 2020 | 1.6% |
| 2019 | 2.0% |
| 2018 | 2.0% |
| 2017 | 0.3% |
| 2016 | 0.0% |
| 2015 | 1.7% |
| 2014 | 1.5% |
| 2013 | 1.7% |
| 2012 | 2.6% |
| 2011 | 0.0% |
| 2010 | 0.0% |
| 2009 | 4.8% |
| 2008 | 2.0% |
| 2007 | 2.3% |
| 2006 | 3.1% |
| 2005 | 2.0% |
| 2004 | 2.0% |
| 2003 | 1.4% |
| 2002 | 2.0% |
| 2001 | 2.5% |
| 2000 | 2.0% |
| 1999 | 1.3% |
| 1998 | 2.0% |
| 1997 | 2.0% |
| 1996 | 2.0% |
| 1995 | 2.0% |