- PERSI's cost-of-living increase is called the Postretirement Allowance Adjustment (PAA). It takes effect each March 1 and is based on the CPI-U from August to August.PERSI ACFR 2024, p. 9; Member Handbook (2019), p. 52
- A 1% PAA is required each year the CPI-U rises 1% or more. The Board may grant more, up to the CPI-U or 6%, whichever is less; anything above 1% goes to the Legislature. Your benefit never drops below its starting amount.PERSI ACFR 2024, p. 9; FY2025 Financial Statements, Note 1, p. 19
- In your first year, the PAA is prorated 1/12 for each month you were retired. Retire Sept. 1 and you get 6/12 of the March 1 PAA.Member Handbook (2019), p. 52
- On March 1, 2026, PERSI paid a 1% PAA plus a 1.7% retroactive PAA for the 2022 year. Recent PAAs: 1.0% plus 0.3% retroactive (2025), 1.0% (2024 and 2023), 3.5% (2022).2026 PAA Follow-Up (Mar. 3, 2026); PERSI PAA web page
The handbook p. 52 describes the PAA as up to the CPI or 6% without the 1% mandatory minimum; ACFR 2024 and FS2025 describe the 1% mandatory PAA.
Member Handbook (2019), p. 52; PERSI ACFR 2024 p. 9; PERSI FY2025 Financial Statements Note 1, p. 19Your first PAA is prorated
In the first year the PAA is prorated by the months retired: 1/12 for each month. Retiring Sept. 1 gives 6/12 of the March 1 PAA. Member Handbook (2019), p. 52
| Benefits start | First PAA | Share |
|---|---|---|
| March 1, 2026 | March 1, 2027 | 12/12 |
| June 1, 2026 | March 1, 2027 | 9/12 |
| September 1, 2026 | March 1, 2027 | 6/12 |
| December 1, 2026 | March 1, 2027 | 3/12 |
| February 1, 2027 | March 1, 2027 | 1/12 |
The 2026 multipliers
Multipliers applied March 1, 2026 (1% PAA plus a 1.7% retroactive PAA for the 2022 year), by date of last contribution. They equal 1.01 x (1 + 0.017 x k/12), where k = months retired before March 1, 2022 (at most 12). 2026 PAA Follow-Up (Mar. 3, 2026), multiplier table
| Last contribution | PERSI's multiplier | Our check |
|---|---|---|
| February 2021 or earlierbenefits from March 2021 | 1.027170 | 1.027170Match |
| March 2021benefits from April 2021 | 1.025739 | 1.025739Match |
| April 2021benefits from May 2021 | 1.024308 | 1.024308Match |
| May 2021benefits from June 2021 | 1.022878 | 1.022878Match |
| June 2021benefits from July 2021 | 1.021447 | 1.021447Match |
| July 2021benefits from August 2021 | 1.020016 | 1.020016Match |
| August 2021benefits from September 2021 | 1.018585 | 1.018585Match |
| September 2021benefits from October 2021 | 1.017154 | 1.017154Match |
| October 2021benefits from November 2021 | 1.015723 | 1.015723Match |
| November 2021benefits from December 2021 | 1.014293 | 1.014293Match |
| December 2021benefits from January 2022 | 1.012862 | 1.012862Match |
| January 2022benefits from February 2022 | 1.011431 | 1.011431Match |
| February 2022 or laterbenefits from March 2022 | 1.010000 | 1.010000Match |
A $2,000 benefit with the full multiplier became $2,054.34. "Our check" is 1.01 × (1 + 0.017 × months retired before March 1, 2022 ÷ 12).
PAA notices cite '§56-1355' (59-1355 meant); the 2026 retro table's last row ends '2/28/2027' (2022 meant).
2025 PAA notice (Dec. 30, 2025); 2026 PAA Follow-Up (Mar. 3, 2026)Recent PAAs
| March 1 | PAA | Retroactive |
|---|---|---|
| 2026 | 1% | 1.7% |
| 2025 | 1% | 0.3% |
| 2024 | 1% | — |
| 2023 | 1% | — |
| 2022 | 3.5% | — |
| 2021 | 1% | — |
| 2020 | 1.7% | — |
| 2019 | 1% | — |
| 2018 | 1.9% | — |
What the minimum alone adds
Our engine's illustration: $2,500 a month from September 1, 2026, with only the 1% minimum each year.
| March 1 | Increase | A month |
|---|---|---|
| 2027 | 0.5% | $2,512.50 |
| 2028 | 1% | $2,537.63 |
| 2029 | 1% | $2,563.01 |
| 2030 | 1% | $2,588.64 |
| 2031 | 1% | $2,614.53 |
Only the 1% mandatory PAA is assured, and only when the CPI-U rises 1% or more; Board increases are discretionary.
Our projections assume only the 1% minimum PAA. Anything more is up to the PERSI Board and the Legislature.
What would settle it: Nothing; projections stay labeled as estimates.
The calculator shows your first PAA date and share.
Questions
Does PERSI give a cost-of-living increase?
Yes, the Postretirement Allowance Adjustment (PAA), each March 1. It's at least 1% when the CPI-U rises 1% or more, and the PERSI Board can give up to the CPI-U or 6%, whichever is less.
What was the 2026 PERSI PAA?
1% plus a 1.7% retroactive PAA for the 2022 year, for most retirees. Members who retired between March 2021 and February 2022 got a smaller share of the retroactive part.
Do I get a full PAA in my first year?
No. It's prorated 1/12 for each month you were retired before March 1. Retire September 1 and you get 6/12.
Source: PERSI Member Handbook, Handbook revision July 2019, p. 52. Also: PERSI ACFR (FY2024); PERSI Financial Statements (FY2025); PERSI PAA notices and web page; Idaho Code §§ 56-1355, 59-1355 (as PERSI quotes it). Last reviewed .