Cost-of-living adjustments are:

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Cost-of-living adjustments (COLAs) are indexed payments that are used to adjust wages, salaries, pension benefits, and other forms of income to keep pace with inflation. They are usually based on the Consumer Price Index (CPI), which measures the average change in prices over time of goods and services consumed by households. COLAs help workers and retirees maintain their purchasing power and prevent the erosion of their standard of living caused by inflation.

Cost-Of-Living Adjustments Are