Texas approves COLA pension pay hike for retired teacher

PERSONAL FINANCE

Texas voters approved Proposition 9 to grant retired teachers COLA raises on Nov 7.

In Travis County, nearly 89% of voters approved Proposition 9.

They approved $3.35 billion to the Teacher Retirement System of Texas that will help about 425,000 retirees.

Proposition 9 authorizes a one-time COLA between 2% and 6%, depending on when the teacher retired.

Retired teachers haven't received a COLA since 2013. Only teachers who retired by August 2004 got it.

Lawmakers passed a bill to provide a one-time supplemental payment for retired teachers aged 70-75.

Most teachers in Texas aren’t eligible for Social Security, so they rely on their check from the state system.

According to TRS, around 476,000 retired teachers received an average monthly payment of $2,000 in 2022.

Up your financial game with Beem app. Budget and track all your expenses in one place.