Your monthly lifetime retirement benefits are protected against inflation. The cost-of-living adjustment (COLA) is an annual increase in the amount of monthly benefits effective on July 1 of each year, compounded annually, for all eligible member benefit payments. The COLA is indexed to the Consumer Price Index (CPI) and based on SDRS' funded status:
- If the SDRS market value funded ratio is 100 percent or more - 3.1 percent COLA
- If the SDRS market value funded ratio is 80 percent to 99.9 percent, the COLA is indexed with the CPI
- 90 percent to 99.9 percent funded - 2.1 percent minimum and 2.8 percent maximum COLA
- 80 percent to 89.9 percent funded - 2.1 percent minimum and 2.4 percent maximum COLA
- If the SDRS market value funded ratio is less than 80 percent - 2.1 percent COLA
To be eligible for a COLA, the member must have received full benefit payments and must not have been employed by an SDRS-participating employer during the entire previous fiscal year period (July 1 - June 30).
When the COLA occurs, you will receive a notification from SDRS regarding the increase in your monthly payment.
Cost-of-Living Adjustment: 10-Year History
|Effective Date||COLA %|