May is winding down. Why most, but not all, CA government retirees got extra money
For over 800,000 retired California government workers, May was a big month. That’s because the California Public Employees’ Retirement System cost-of-living adjustments (COLA) went out.
For California government retirees specifically, their cost-of-living increase is distributed by CalPERS, which is different and separate from the COLA administered by the Social Security Administration (SSA).
The COLA distributed by CalPERS is calculated based on three distinct factors: the Consumer Price Index for All Urban Customers, which is published by the Bureau of Labor Statistics annually; a government retiree’s employers’ contracted COLA percentage; and the year that employee retired. So the percentage for a CalPERS retiree’s COLA could be more or less than the 2.8% overall baseline from the SSA.
According to CalPERS spokesperson Allison Meraz, 96% of retirees are contracted for a 2% increase while the remaining are contracted for 3%, 4% or 5%.
Their adjustment is paid to them in the second year after their retirement in May. So CalPERS annuitants who retired in 2024 and prior should have received their first adjustment as of May 1. Those that retired in 2025 will receive a COLA in 2027.
To find out exactly how much money you should have received, CalPERS has a website with specific instructions to get your COLA estimate.
What if I’m only on Social Security? When should I have gotten my check?
For Social Security checks that are different from CalPERS, they are distributed by birthdates on the second, third and fourth Wednesdays of every month and follow the Social Security Administration’s monthly calendar. For May, that calendar paced out as follows:
- Wednesday, May 13: Those born on the first through tenth of the month
- Wednesday, May 20: Those born on the 11th through 20th of the month
- Wednesday, May 27: Those born on the 21st through 31st of the month
What about my social security check? Is there extra money in it, too?
Short answer? It depends.
Long answer: The SSA announced in October 2025 that there will be a 2.8% COLA to keep up with “today’s economic realities,” SSA Commissioner Frank J. Bisignano wrote.
This 2.8% increase averages out to about a $56 increase on checks for those who are eligible, which are most typical retirees. Retirees should have started to see their adjustments starting in January.
How does Medicare factor into all this?
Alongside the 2.8% SSA COLA increase, the standard Medicare Part B premium rose by $17.90. According to 24/7 Wall St., most retirees have Part B taken directly from their social security, meaning that the increase in cost cuts into the COLA increase they were set to receive.
With the Medicare premium being pulled from COLA, it reduces the actual payments people will see from $56 to approximately $38.
