2026 Cost-of-Living Adjustments (COLAs) to Retired and Retainer Pay, Survivor Annuities, and Premiums
By Office of the Assistant Secretary of Defense February 2026
The following Cost-of-Living Adjustments (COLAs) are effective Dec. 1, 2025, based on the increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) through the third quarter calendar year 2025. The term “retired pay” includes retainer pay and the term “members” includes former members. Where applicable, the appropriate section of United States Code (U.S.C.) is cited.
COLAs for retired pay
- The retired pay COLA for those who first became members of a Uniformed Service before Sept. 8, 1980, is specified according to the effective date of their retirement, as follows:
|
Retired pay based on rates of pay effective |
Percent increase |
10 U.S.C. authority |
|
Before Jan. 1, 2025 |
2.8 percent |
1401a(b)(2) |
|
Jan. 1 - Dec. 31, 2025 |
2.6 percent |
1401a(c) |
- The retired pay COLA for those who first became members of a Uniformed Service on or after Sept. 8, 1980, including those members covered by the High-3 or Blended Retirement System (BRS), is specified according to the effective date of their retirement, as follows:
|
Retirement effective |
Percent increase |
10 U.S.C. authority |
|
Before Jan. 1, 2025 |
2.8 percent |
1401a(b)(2) |
|
Jan. 1 - March 31,2025 |
2.6 percent |
1401a(d) |
|
April 1 - June 30, 2025 |
1.6 percent |
1401a(d) |
|
July 1 - Sept. 30, 2025 |
0.7 percent |
1401a(d) |
|
Oct. 1 - Dec. 31, 2025 |
0.0 percent |
1401a(d) |
- The retired pay COLA for those who first became members of a Uniformed Service on or after Aug. 1, 1986, and also elected to receive a career status bonus under the provisions of sections 322 (as in effect before Jan. 28, 2008) or 354 of Title 37 U.S.C. as specified according to the date of their retirement, as follows:
|
Retirement effective |
Percent increase |
10 USC authority |
|
Before Jan. 1, 2025 |
1.8 percent |
1401a(e) |
|
Jan. 1 - March 31, 2025 |
1.8 percent |
1401a(e) |
|
April 1 - June 30, 2025 |
1.1 percent |
1401a(e) |
|
July 1 - Sept. 30, 2025 |
0.5 percent |
1401a(e) |
|
Oct. 1 - Dec. 31, 2025 |
0.0 percent |
1401a(e) |
COLAs for survivor annuities
- Retired Serviceman’s Family Protection: Plan annuities payable on Dec. 1, 2025, under the provisions of Subchapter I of Chapter 73, Title 10, U.S.C., to the spouse or child of a member who died on or before March 20, 1974, will be increased by 2.8 percent (ref: 10 U.S.C. 1434 (e)).
- Annuities under the Survivor Benefit Plan (SBP) and Reserve Component Survivor Benefit Plan (RCSBP) under the provisions of Subchapter II of Chapter 73, Title 10, U.S.C., will be increased by the same percentage specified in paragraphs 1, 2, or 3 above, by which the retired pay of the person providing the annuity would have been increased at such time if the person were alive and otherwise entitled to such pay (ref: 10 U.S.C. 1451 (g)).
- COLAs for supplemental annuities paid to certain low income widows of members who were deceased before Nov. 1, 1953, will be increased 2.8 percent (ref: Public Law (P.L.) 100-456, section 653(c), as amended; see 10 U.S.C. 1448 note).
- Annuities for Certain Military Surviving Spouses (ACMSS) payable monthly under the provisions of section 644, P.L. 105-85, Nov. 18, 1997 (as amended), will be increased 2.8 percent from $329.56 to $338.79 effective Dec. 1, 2025 (ref: P.L. 105-85, sec 644, as amended; see 10 U.S.C. 1448 note).
Increase in the SBP low-cost premium threshold
- Previous amounts with respect to which the 2.5 percent factor of the SBP premium (cost) formula apply will be adjusted effective Dec. 1, 2025, in conjunction with the adjustments in retired pay made under the provisions of Section 1401a of Title 10, U.S.C. (ref: 10 U.S.C. 1452(a)(4) (B)). The Defense Finance and Accounting Service (DFAS) will perform necessary calculations to determine actual premiums based on the individual circumstances of each case.
- The amount with respect to which the 2.5 percent factor of the SBP premium (cost) is applied will be increased *3.8 percent effective Jan. 1, 2026, from $1,056 to $1,096. The threshold premium is $27.40. Therefore, the low-cost threshold premium is $27.40 plus 10% of the difference between retired pay and the threshold amount. The breakeven base amount is $2,348.57 (ref: 10 U.S.C. 1452(a)(4)(A)).
*3.8 percent is assumed based upon the President’s FY2026 budget request.
