Each fiscal year (July 1 - June 30) after at least one full fiscal year of benefits, the COLA = annual base benefit x [3% x full fiscal years retired before the fiscal year you reach 55 (Tiers 1-3) or 60 (Tier 4)] + annual base benefit x [(1.03^n) - 1, n = full fiscal years from the fiscal year you turn 55 or 60]. It is paid on top of the base benefit, which itself does not change. Member Handbook (2024), pp. 24, 28-29, 49, 63 (Appendix G); Retiree Handbook (2026), pp. 12-13, 26; Mississippi PERS 2024 annual report, p. 105, Post-Retirement Adjustments
When it starts
Retire effective July 1: first COLA in the fiscal year beginning 12 months later. Retire effective August 1: first COLA in the fiscal year beginning July 1, 23 months after retirement. Member Handbook (2024), p. 28; Service Retirement Guide (2023), p. 10
How it's paid
Paid in one lump sum on or about December 15 (the '13th check') unless you irrevocably elect 12 equal monthly installments (Form 9P at retirement or Form 20 later). Member Handbook (2024), pp. 28, 49; Retiree Handbook (2026), pp. 10-11
The handbook's example
A $750 monthly benefit ($9,000 a year), retired at 52, after 16 full fiscal years. Member Handbook (2024), p. 29, Example Figures (Tiers 1-3); Retiree Handbook (2026), p. 13
| Simple years | Compounded years | COLA | |
|---|---|---|---|
| Tiers 1-3handbook $5,026.50 | 39% = $810.00 | 1346.85% = $4,216.50 | $5,026.50 |
| Tier 4handbook $4,561.20 | 824% = $2,160.00 | 826.68% = $2,401.20 | $4,561.20 |
Our engine gives the same split and amounts. The member reached 55 in fiscal year 4 of retirement and 60 in fiscal year 9.
The handbook says 3% simple for each full fiscal year 'prior to the year in which you reach age 55 (or 60)' and compounded 'beginning with the fiscal year in which you turn' that age. Its example (retired at 52, 16 years: 3 simple + 13 compounded) is consistent with counting a fiscal year as compounded when the birthday falls on or before its June 30, but other readings are possible for birthdays early in the fiscal year.
A full fiscal year counts as compounded if you reach 55 (Tiers 1-3) or 60 (Tier 4) on or before its June 30.
What would settle it: A Mississippi PERS COLA notice or estimate for a retiree whose 55th/60th birthday is in July-December.
What it grows to
On $24,000 a year, retiring at 55 (our engine, not a Mississippi PERS example). Tiers 1-3 compound from the start; Tier 4 is simple until 60.
| Full years retired | Tiers 1-3 | Tier 4 |
|---|---|---|
| 1 | $720$60/mo | $720$60/mo |
| 2 | $1,462$122/mo | $1,440$120/mo |
| 5 | $3,823$319/mo | $3,600$300/mo |
| 10 | $8,254$688/mo | $7,423$619/mo |
| 15 | $13,392$1,116/mo | $11,854$988/mo |
| 20 | $19,346$1,612/mo | $16,992$1,416/mo |
The COLA table
From the handbook's Appendix G (selected rows; the table runs from 1 to 50 years). Member Handbook (2024), p. 63, Appendix G
| Full fiscal years | 3% simple | 3% compounded |
|---|---|---|
| 1 | 3% | 3% |
| 2 | 6% | 6.09% |
| 3 | 9% | 9.27% |
| 4 | 12% | 12.55% |
| 5 | 15% | 15.93% |
| 10 | 30% | 34.39% |
| 15 | 45% | 55.8% |
| 20 | 60% | 80.61% |
| 25 | 75% | 109.38% |
| 30 | 90% | 142.73% |
| 35 | 105% | 181.39% |
| 40 | 120% | 226.2% |
| 45 | 135% | 278.16% |
| 50 | 150% | 338.39% |
Appendix G stops at 50 full fiscal years.
Beyond 50 years: 3% x years (simple) and 1.03^n - 1 (compounded), rounded to 4 decimals like the table.
What would settle it: A longer Mississippi PERS COLA table.
Other rules
Taking a PLSO reduces the monthly benefit and the COLA for life. Member Handbook (2024), p. 34
If a lump-sum COLA recipient dies between July 1 and December 1 and all monthly payments end, a prorated COLA (what monthly installments would have paid) goes to the beneficiary. Member Handbook (2024), p. 55; Retiree Handbook (2026), p. 23
Hybrid Plan (Tier 5) members get no annual COLA; the Legislature may provide an additional benefit for a specific year. Hybrid Plan Handbook (2026), p. 18 See the Hybrid Plan.
- Tiers 1-4 get a yearly cost-of-living adjustment after one full fiscal year (July 1 - June 30) of retirement: 3% simple for each full year before the fiscal year you reach 55 (Tiers 1-3) or 60 (Tier 4), and 3% compounded for each year from then on. Your base benefit itself doesn't change.Member Handbook (2024), pp. 24, 28-29, 63
- The COLA is paid in one lump sum around December 15 (the '13th check') unless you choose, irrevocably, to get it in 12 monthly installments (Form 9P at retirement or Form 20 later).Member Handbook (2024), pp. 28, 49; Retiree Handbook (2026), pp. 10-11
- Retire July 1 and your first COLA comes in the fiscal year starting 12 months later; retire August 1 and it comes in the fiscal year starting 23 months later.Member Handbook (2024), p. 28
- Example: a $750 monthly benefit, retired at 52, 16 full fiscal years later: $5,026.50 COLA in Tiers 1-3 and $4,561.20 in Tier 4.Member Handbook (2024), p. 29
- Tier 5 (Hybrid Plan) members get no yearly COLA, though the Legislature may grant an extra benefit for a specific year.Hybrid Plan Handbook (2026), p. 18
See your own COLA in the calculator.
Questions
How does the Mississippi PERS COLA work?
3% of your yearly base benefit for each full fiscal year retired before the fiscal year you reach 55 (Tiers 1-3) or 60 (Tier 4), plus 3% compounded for each year from then on. Your base benefit doesn't change.
When is the Mississippi PERS 13th check paid?
On or about December 15 each year, in one lump sum, unless you choose (once, and for good) to get the COLA in 12 monthly payments instead.
When do I get my first COLA?
After one full fiscal year (July 1 - June 30) of retirement. Retire July 1, 2026 and it comes in the fiscal year from July 1, 2027; retire August 1, 2026 and it's the fiscal year from July 1, 2028.
Source: Mississippi PERS Member Handbook, Revised November 8, 2024, pp. 24, 28-29, 28, 29, 34, 49, 54, 55, 63. Also: Retiree Handbook (2026); Mississippi PERS 2024 annual report; Service Retirement Guide (2023); Hybrid Plan Handbook (2026); Miss. Code Ann. § 25-11-127. Last reviewed .