"...Congress hasn’t yet managed to alter the law that provides annual cost-of-living adjustments to retirees. That’s a good thing, too, because COLAs are one of the best benefits provided to federal retirees and survivors. They help you to keep up with the pace of inflation. After a two-year drought during which no COLAs were paid, COLAs in 2012 jumped to 2.6 percent for Civil Service Retirement System annuitants and to 2 percent for Federal Employees Retirement System annuitants. The Congressional Budget Office is predicting that the 2013 COLA will be 1.6 percent for both..."
