No Cost of Living Increase (COLA) for 2016

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01/07/16

Information Memo

Summary

  • Social Security Administration announced there will be no Cost of Living Adjustment (COLA) increase for 2016
  • Annual budgeting changes due to an increase in the COLA will not be done for 2016

This is to advise you that there will be no cost-of-living adjustment (COLA) in Social Security and Supplemental Security Income (SSI) benefits in 2016. The Social Security Act provides for an automatic increase in Social Security and Supplemental Security Income (SSI) benefits if there is an increase in the Consumer Price Index (CPI) for Urban Wage Earners and Clerical Workers (CPI-W). The Bureau of Labor Statistics has determined that there is no increase in the CPI-W. Under existing law, there can be no COLA in 2016.

Because there is no COLA increase for 2016, central budgeting due to a COLA increase will not be done for SNAP, all cash programs and all medical programs.

James T. Dimas

Secretary-designate, Illinois Department of Human Services

Felicia F. Norwood

Director, Healthcare and Family Services