Updated October 30, 2026. Quick answer: Arkansas State Police Retirement System retirees get a 3% COLA every July 1, once retired at least 12 months. The current ASPRS Member Handbook states that 3% as a standing rule, not for one year, so it is the rate the handbook applies on July 1, 2027 unless the law changes. The handbook says the percentage is established by law; the annual report says benefit provisions may be amended only by the Arkansas General Assembly.
The standing rule
The ASPRS Member Handbook says: “Every July 1, ASPRS retirees who have been retired for at least 12 months receive a 3% Cost of Living Adjustment (COLA).” “The COLA percentage is established by law and is not set by the Board or Executive Director.”
The annual report agrees on timing: “Retirees will receive a cost of living adjustment (COLA) increase in their benefit each July 1. Eligibility for the COLA requires being retired from July 1 for a full 12 months.” It adds: “Benefit provisions are established by state law and found at Arkansas Code Annotated Title 24, Subchapter 6.” “They may be amended only by the Arkansas General Assembly.”
Who is covered and who waits
The handbook extends the rule to deferred retirement participants: “This COLA also applies to those who have been participating in the Deferred Retirement Option Plan (DROP) for at least 12 months.” A new retiree waits until the 12 months are complete. This page covers retirees and DROP participants; active members are not covered.
Where 2027 stands
The July 1, 2027 increase is the standing 3% under the ASPRS Member Handbook, which says the percentage is established by law and not set by the Board or Executive Director. The handbook names no year for the 3%, and a change would take a change in the law.
One gap to know about: the Arkansas Code section text was not among the sources read, so this page rests on the handbook and the annual report, and the handbook’s date comes from its filename.
A worked example
As a computed illustration (not a source figure), a retiree with a monthly benefit of $2,000 (invented, for the computation) would see a 3% increase of $60 (computed) a month on July 1 after the 12 months are complete.
Common mistakes
- Expecting a COLA before 12 months of retirement. The handbook requires at least 12 months.
- Waiting for a Board vote. The handbook says the Board and Executive Director do not set the percentage.
- Assuming the 3% can never change. It is set by law, and the annual report says only the General Assembly may amend benefit provisions.
Related: Arkansas State Police Retirement System retirement decisions, how public pension decisions work, and whether Arkansas taxes pensions.
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Answer againSources
- Arkansas State Police Retirement System, ASPRS Member Handbook: arsprs.org
- Arkansas State Police Retirement System, ASPRS Annual Comprehensive Financial Report FY2025: arsprs.org
- Related official page (not quoted): IRS Tax Topic 410, Pensions and annuities: www.irs.gov
- Related official page (not quoted): IRS Tax Topic 411, Pensions: the General Rule and the Simplified Method: www.irs.gov
Read from the primary documents linked above on October 30, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer or the IRS itself is the right place to confirm anything consequential.