NO INCREASE IN COST-OF-LIVING ADJUSTMENT
IN 2010

Under the New Jersey Pension Adjustment Program, retirees and other benefit recipients of the New Jersey State-administered retirement systems receive a cost-of-living adjustment (COLA) that is calculated using a formula based on the Consumer Price Index.*

Analysis of the Consumer Price Index factors shows that there was no increase in the Consumer Price Index for the 12-month period between August 31, 2008 and August 31, 2009. 

As a result — and in compliance with state laws governing the Pension Adjustment Program — because there is no increase in the Consumer Price Index from 2008 through 2009, there will be no increase in the COLA paid to benefit recipients in 2010. 

• For additional information about your pension and COLA, see Fact Sheet #18, Cost-of-Living Adjustments. Adobe PDF (29K)
  
  
• For additional information about the Consumer Price Index visit the U.S. Bureau of Labor Statistics at: http://stats.bls.gov/

*The Division of Pensions and Benefits uses the Consumer Price Index (CPI) for Urban Wage Earners and Clerical Workers (CPI-W), U.S. City Average, All Items, 1982-84=100.  The rate of increase is equal to 60 percent of the percentage of change between the average CPI for the calendar year in which a member retired and the average CPI for the 12-month period ending August 31st immediately preceding the year when the adjustment is payable.