Each year, the Office of the State Actuary calculates the LEOFF Plan 2 Cost-of-Living-Adjustments (COLA) at the request of the Department of Retirement Systems. Here are the 2021 results:
COLAs as of July 1, 2022
|July 2, 2021 to July 1, 2022||0.00%|
|Prior to July 2, 2021||3.00%|
*For additional information, read the OSA's full report.
The COLA is calculated according to RCW 41.26.440 dividing the CPI (regional Seattle-Tacoma-Bellevue (CPI-W)) for the calendar year before retirement and the prior year. The 2022 COLA calculation divides the 2021 CPI (865.195) by the 2020 CPI (825.961) for an increase over the prior year of 4.75%. Since the COLA is capped at 3%, the additional 1.75% will be banked.
Remember, because of COLA banking, your retirement date has little to no impact on your benefit. Watch this video for how it works: How does my LEOFF 2 retirement date impact cost of living adjustments (COLA)?
More information can be found on the DRS COLA FAQ page.