How is my benefit protected from the effects of inflation?

The System provides for cost of living increases matching the Consumer Price Index up to 5%. At the time of retirement you have three choices in terms of the cost of living increases. You can choose the normal accrual rate (1.60% or 1.40% depending on your hire date) with the full cost of living increase payable. You can choose a higher accrual rate (1.90%) with half the cost of living increase payable. Finally you can choose an even higher accrual rate (2.20%/2.00%) with no cost of living increase payable. For most B participants hired on or after 1/1/06 the only choice is the 1.4% accrual rate with the full cost of living.