| VETERANS COLA FOR
2010 STILL TRACKING AT ZERO PERCENT
CPI-W goes negative in July leaving
expectation of no COLA for 2010.
by
Larry Scott, VA Watchdog dot Org
-------------------------
The bad news on the
Cost-of-Living Allowance (COLA) for disabled
 veterans
(and Social Security recipients) for 2010 just keeps getting
worse.
We've been tracking the numbers
(CPI-W)
for the past few months and the figures for 2010 are still in
negative territory, which means no increase in disability
payments.
In July, the CPI-W dropped 0.2%,
bringing the annual figure so far (for 10 months) to a negative
2.3%.
As long as the cumulative CPI-W
number is at zero or in negative territory, there will be no COLA
for 2010.
At this point, we would need the
CPI-W to increase 1.2% per month for the next two months just to
realize a 0.1% COLA.
I have been unable to get an
answer as to whether Congress or the President might be able
change this and order a COLA even though the formula dictates
zero. Given the shape of the economy, a COLA for all would
be a great form of stimulus because it would get spent
immediately.
The chart below explains it
well.
Thanks to the Military Officers
Association of America (MOAA) for the chart.
And, you can also view the chart
on MOAA's Cola Watch page ...
http://www.moaa.org/colawatch
Click chart for larger view ...
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TOPICS:
veterans, veterans' benefits, VA, Department of Veterans' Affairs,
COLA, Cost-of-Living Allowance |
