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<p>The Cost-of-Living Adjustment (COLA) is 2.9% for 2026&nbsp;and was approved by the Board of Fire and Police Pension Commissioners on April 2, 2026. The COLA will be effective&nbsp;July 1, 2026, and all eligible pensioners and Deferred Retirement Option&nbsp;Plan&nbsp;(DROP) participants will receive an increase beginning with the pension payment/DROP account deposit dated July 31, 2026.&nbsp;</p>



<ul>
<li>Tiers 1 &amp;&nbsp;2 retirees and beneficiaries will receive 2.9%.&nbsp; Tier 2 DROP participants will receive 2.9%.</li>



<li>Tiers 3 &amp;&nbsp;4 retirees, beneficiaries, and DROP participants will&nbsp;receive&nbsp;up to <a>2.9%</a>.&nbsp;</li>



<li>Tiers 5 &amp; 6 retirees, beneficiaries, and DROP participants will receive up to 2.9%, and those with an available COLA bank balance will withdraw up to 0.1% from their COLA bank*, for a total COLA of up to 3.0%.</li>
</ul>



<p>For new pensioners and DROP entrants in Tiers 3-6, the first year’s COLA is prorated based on the number of complete months since the pension effective date. Therefore, these members may not receive the full 2.9% increase.</p>



<p><strong>*Must have retired or entered DROP with a pension effective date <span style="text-decoration: underline;">prior</span> to June 2, 2025, in order to have an available COLA bank balance.</strong></p>



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<div class="wp-block-advgb-accordion-item advgb-accordion-item" style="margin-bottom:15px"><div class="advgb-accordion-header" style="background-color:#000;color:#eee;border-style:solid;border-width:1px;border-radius:2px"><span class="advgb-accordion-header-icon"><svg fill="#fff" xmlns="http://www.w3.org/2000/svg" width="24" height="24" viewBox="0 0 24 24"><path fill="none" d="M0,0h24v24H0V0z"></path><path d="M12,5.83L15.17,9l1.41-1.41L12,3L7.41,7.59L8.83,9L12,5.83z M12,18.17L8.83,15l-1.41,1.41L12,21l4.59-4.59L15.17,15 L12,18.17z"></path></svg></span><h4 class="advgb-accordion-header-title" style="color:inherit">Consumer Price Index/Bureau of Labor Statistics</h4></div><div class="advgb-accordion-body" style="border-style:solid !important;border-width:1px !important;border-color:undefined !important;border-top:none !important;border-radius:2px !important">
<p>The COLA is based on the annual change in the Consumer Price Index (CPI) as published by the U.S. Bureau of Labor Statistics (BLS).  Pursuant to the City of Los Angeles Charter/Administrative Code, the 2026 COLA was calculated based on the Los Angeles-Long Beach-Anaheim area using a 12-month period from March 2025 through February 2026.</p>
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<div class="wp-block-advgb-accordion-item advgb-accordion-item" style="margin-bottom:15px"><div class="advgb-accordion-header" style="background-color:#000;color:#eee;border-style:solid;border-width:1px;border-radius:2px"><span class="advgb-accordion-header-icon"><svg fill="#fff" xmlns="http://www.w3.org/2000/svg" width="24" height="24" viewBox="0 0 24 24"><path fill="none" d="M0,0h24v24H0V0z"></path><path d="M12,5.83L15.17,9l1.41-1.41L12,3L7.41,7.59L8.83,9L12,5.83z M12,18.17L8.83,15l-1.41,1.41L12,21l4.59-4.59L15.17,15 L12,18.17z"></path></svg></span><h4 class="advgb-accordion-header-title" style="color:inherit">How does this affect LAFPP Pensioners?</h4></div><div class="advgb-accordion-body" style="border-style:solid !important;border-width:1px !important;border-color:undefined !important;border-top:none !important;border-radius:2px !important">
<p>This is an example of how a monthly pension benefit of $6,000 would be affected by this year’s COLA of 2.9%:</p>



<p><strong>For Tiers 1 – 4</strong></p>



<p>2.9% of $6,000.00 = $174.00</p>



<p>$6,000.00 + $174.00&nbsp;= $6,174.00</p>



<p>The monthly pension benefit increases to $6,174.00</p>



<p><strong>For Tiers 5&nbsp;– 6&nbsp;</strong></p>



<p>3.0% of $6,000.00 = $180.00</p>



<p>$6,000.00 + $180.00&nbsp;= $6,180.00</p>



<p>The monthly pension benefit increases to $6,180.00</p>
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<div class="wp-block-advgb-accordion-item advgb-accordion-item" style="margin-bottom:15px"><div class="advgb-accordion-header" style="background-color:#000;color:#eee;border-style:solid;border-width:1px;border-radius:2px"><span class="advgb-accordion-header-icon"><svg fill="#fff" xmlns="http://www.w3.org/2000/svg" width="24" height="24" viewBox="0 0 24 24"><path fill="none" d="M0,0h24v24H0V0z"></path><path d="M12,5.83L15.17,9l1.41-1.41L12,3L7.41,7.59L8.83,9L12,5.83z M12,18.17L8.83,15l-1.41,1.41L12,21l4.59-4.59L15.17,15 L12,18.17z"></path></svg></span><h4 class="advgb-accordion-header-title" style="color:inherit">Questions?</h4></div><div class="advgb-accordion-body" style="border-style:solid !important;border-width:1px !important;border-color:undefined !important;border-top:none !important;border-radius:2px !important">
<p>For questions regarding the COLA, please contact the Retirement Services Section at <a href="tel:(213) 279-3125">(213) 279-3125</a>, (844) 88-LAFPP, ext. 3125, or via email at <a href="mailto:RS@lafpp.com?subject=COLA%20Inquiry">RS@lafpp.com</a>.&nbsp;&nbsp;</p>



<p>For detailed information on the calculation of the CPI, please visit the BLS website at <a href="http://www.bls.gov/cpi" target="_blank" rel="noreferrer noopener" class="broken_link">www.bls.gov/cpi</a> or call <a href="tel:(202) 691-7000">(202) 691-7000</a>. </p>
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2026 Cost of Living Adjustment is 2.9%

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2026 Cost of Living Adjustment is 2.9%

2026 Cost of Living Adjustment is 2.9%

April 30, 2026