North Carolina · TSERS · COLA

TSERS COLAs are up to the legislature

TSERS has no automatic cost-of-living increase. The General Assembly decides each time. Lately that has mostly meant one-time supplements, not raises to your monthly check.

2026: one-time 2.5% supplementPaid as close as practicable to October 15, 2026, to retirees living on September 1, 2026 whose retirement started by then. On $2,500 a month ($30,000 a year) that's $750 extra, so the October check is $3,250. The Retirement Systems' own example shows $750 and $3,250.Retirement Monitor, July 2026, One-Time Supplement for TSERS, CJRS (Judicial), and LRS (Legislative)
COLA (North Carolina TSERS)
Your monthly benefit$1,500$2,000$2,500$3,000
2026 supplement (2.5%)$450$600$750$900

Every increase in our sources

Every increase in our sources (North Carolina TSERS)
YearTypeAmountDetails
2026One-time supplement2.5%S.L. 2026-41 s. 41.26: paid as close as practicable to Oct. 15, 2026 to payees living on Sept. 1, 2026 whose retirement commenced on or before Sept. 1, 2026; 2.5% of the annual allowance. Example: $2,500/month ($30,000/year) gets $750, so the October 2026 payment is $3,250.Retirement Monitor, July 2026, One-Time Supplement for TSERS, CJRS (Judicial), and LRS (Legislative)
2023One-time supplement4%Paid by Nov. 30, 2023; 4% of annual allowance as of Oct. 1, 2023.G.S. 135-5(zzz)
2022One-time supplement4%Paid Sept.-Oct. 2022; 4% of annual allowance as of Sept. 1, 2022.G.S. 135-5(yyy)
2021One-time supplement2%Paid by Dec. 31, 2021; 2% of annual allowance as of Sept. 1, 2021.G.S. 135-5(xxx)
2018One-time supplement1%Paid by Oct. 31, 2018; 1% of annual allowance as of Sept. 1, 2018.G.S. 135-5(www)
2017Permanent increase1%From July 1, 2017, +1% for retirements commenced on or before July 1, 2016; prorated for retirements July 2, 2016-June 29, 2017.G.S. 135-5(vvv)
2016One-time supplement1.6%Paid by Oct. 31, 2016 to beneficiaries living and retired on Sept. 1, 2016; 1.6% of annual allowance.G.S. 135-5(uuu)
2024 and 2025 Check with the Retirement System

The state law lists retiree supplements through 2023, and the Retirement Systems reported the 2026 supplement. We haven't checked the 2024 and 2025 session laws.

We list only the increases we found in the sources.

G.S. 135-5(uuu)-(zzz); Retirement Monitor, July 2026

How it works

Increases also apply to survivor payments under Options 2, 3, 6-2 and 6-3 (see payment options). If you took Option 4, increases work differently before and after 62; see Social Security and TSERS. Related: taxes on your benefit.

G.S. 135-5(o) provides a CPI-based increase of up to 4% only if it does not require an increase in total employer contribution rates; it also permits increases comparable to active-member cost-of-living raises. The sources do not say this has produced any recent increase. G.S. 135-5(o)

No beneficiary acquires a vested right to future supplements. G.S. 135-5(uuu)-(zzz)

Questions

Does TSERS have an automatic COLA?

No. Increases aren't guaranteed. The General Assembly decides whether to grant one and whether to pay for it.

What did retirees get in 2026?

A one-time supplement of 2.5% of the annual benefit, paid around October 15, 2026, to retirees living and retired on September 1, 2026. On $2,500 a month that was $750.

What's the difference between a supplement and an increase?

A one-time supplement is a single extra payment. A permanent increase raises your monthly check from then on. The last permanent increase in the statute was 1% in 2017.

Estimate your pension →

Source: TSERS Handbook, Online handbook, pages modified Nov. 2024 - Oct. 28, 2026 (retrieved Nov. 11, 2026), page Post-Retirement Increases. Also: N.C.G.S. 135-5(o), 135-5(uuu)-(zzz), 135-5(uuu), 135-5(vvv), 135-5(www), 135-5(xxx), 135-5(yyy), 135-5(zzz); Retirement Monitor, July 2026. Last reviewed .