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NYSTRS COLA 2027: 1.7% Through August 2027, Next Not Yet Set

Updated October 30, 2026. Quick answer: The New York State Teachers’ Retirement System (NYSTRS) COLA is permanent and automatic, set by New York state law. The June 2026 newsletter puts it at 1.7% for September 2026 through August 2027 benefit payments, starting with the September 30, 2026 payment, with a maximum monthly increase of $25.50. It applies to the first $18,000 of the benefit. The adjustment that starts in September 2027 is not published.

More on public pension retirement ages and eligibility: the NYSTRS Tier 6 retirement age and eligibility rules.

The 2026 to 2027 adjustment

The June 2026 Resource newsletter says: “The cost-of-living adjustment (COLA) for September 2026 through August 2027 benefit payments is 1.7%.” “eligible retirees who have an annual benefit of $18,000 or more will receive a monthly increase of $25.50 beginning with the Sept. 30, 2026 pension payment.”

The rule in the law

The Compilation of Laws says who qualifies: “retirees who are (a) retired for service for at least 5 years and age 62 or older, (b) retired for service for at least 10 years and are age 55 or older, or (c) retired for disability for at least 5 years without regard to age”. On the amount: “COLAs are payable beginning September 30th of each year or as soon thereafter as a retiree becomes eligible. They are based on the first $18,000 of the retiree’s maximum retirement benefit, including any supplementation and prior adjustments.”

How NYSTRS describes it

The newsletter adds: “The permanent, automatic COLA, which is determined by New York state law, is designed to help offset the adverse effects of inflation on the fixed retirement benefits of the state’s public retirees.”

The prior year printed

The June 2024 newsletter states: “The cost-of-living adjustment (COLA) for Sept. 2024 through Aug. 2025 benefit payments is 1.8%.”

What the documents do not say

The NYSTRS web pages and the statute text were blocked to the archive, so the percentage formula and index are not stated here, and the newsletter does not name the index or quarter behind the 1.7%. Newsletter timing for 2027 is an inference from the June 2024 and June 2026 issues, not a NYSTRS statement.

Where 2027 stands

The September 2027 NYSTRS adjustment is not published: the June 2026 newsletter sets only the 1.7% for September 2026 through August 2027 payments.

Common mistakes

  • Expecting the percentage on the whole benefit. It applies to the first $18,000 of the maximum retirement benefit.
  • Reading 1.7% as a calendar-year figure. It covers September 2026 through August 2027 payments.
  • Expecting it before the age and years tests are met. The law ties it to years retired and, for service retirees, to age.

Related: NYSTRS retirement decisions, how public pension decisions work, and whether New York taxes pensions.

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Sources

  • New York State Teachers’ Retirement System, Resource (retired member newsletter), June 2026: www.nystrs.org
  • New York State Teachers’ Retirement System, 2026 Compilation of Laws: www.nystrs.org
  • New York State Teachers’ Retirement System, Resource (retired member newsletter), June 2024: www.nystrs.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.

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