The Supplemental Targeted Adjustment for Retirees (STAR) is a cost-of-living adjustment (COLA) program designed to ease the effects of inflation for retirees and eligible survivors whose allowance has lost more than 20 percent of its purchasing power since retirement. The STAR COLA program is available for contributory plan retirees and their beneficiaries only; Plan E retirees are not eligible.
2023 STAR COLA Awarded
Members in General Plans B, C, and D and Safety Plan B who retired on or before March 31, 1991 (and survivors of members who retired during that period) will receive a permanent increase to their monthly retirement allowance starting with the January 31, 2023 payment. Following are the 2023 STAR COLA amounts based on retirement date:
- Before April 1, 1990: 3.1 percent increase
- April 1, 1990 to March 31, 1991: 0.5 percent increase
How the STAR COLA Is Determined
Each year, the Board of Retirement (BOR) determines whether a STAR benefit is due to any LACERA retirees based on inflation experienced over their retirement years. Inflation is measured by increases in the Los Angeles-Long Beach-Anaheim Consumer Price Index (CPI).
The CPI change from the prior year is compared to the maximum allowable cost-of-living percentage increase payable by LACERA on April 1 (3 percent for General and Safety Plans A; 2 percent for General and Safety Plan B, General Plans C, D, and G, and Safety Plan C). In years where the change in CPI is greater than the maximum cost-of-living increase, the difference between these two percentages is added to the COLA Accumulation.
The accumulation of differences each year reflects how much purchasing power has been lost from a retiree's original retirement benefits. By law, the BOR may provide STAR increases after the accumulation exceeds 20 percent. The BOR also determines whether the benefit should be an ad hoc benefit (paid for one year only) or a permanent benefit (added to the member’s base retirement allowance).
See the percentage of COLA you have accumulated by reviewing the current COLA accumulation chart.