Your Retirement Allowance – Workforce Development

As a retiree of Alameda County or other ACERA participating employer, you earned a lifetime pension allowance. If you’re a survivor of an ACERA member you may be receiving a continuance (continuing monthly payment) based on the retirement option the member selected.

Retirement Allowance Payable Date

Last Business Day of Each Month

2022 Retirement Allowance Payable Dates

January 31
February 28
March 31
April 29
May 31
June 30
July 29
August 31
September 30
October 31
November 30
December 30

Payments are Made By Direct Deposit

ACERA requires that payments be made via direct deposit. You will receive a monthly electronic file transfer (EFT) statement each month with your pension allowance either in the mail or electronically in your online account. You can opt in or out of receiving paper statements in your online account.

To change your direct deposit bank use the Direct Deposit Form. State law prevents ACERA from depositing your pension allowance into a trust account.

What Do the Items On My ACERA Check Stub Mean?

Sample Check Stub

Cost of Living Adjustments (COLA)

The Cost of Living Adjustments is an increase made to your retirement allowance every April 1. Each year, the change from December to December in the San Francisco Bay Area’s Consumer Price Index (CPI) is rounded to the nearest half percent and becomes the COLA amount. The amount is announced on this page in the first week of February each year.

Annual COLA Announcement

First week of February

Annual COLA Date

April 1

Maximum Annual COLA

Tier 1 and Tier 3	3%
Tier 2 and Tier 4	2%

2020–2021 CPI Change

4.00%

2022 COLA Increase

Tier 1 and Tier 3	3.0%
Tier 2 and Tier 4	2.0%

COLA Reflected in Retirement Payment

April 29, 2022

More COLA Info

When is the Annual COLA Announced?

COLA Maximums and the COLA Bank

New Retirees

Long-Time Retirees and the Supplemental COLA

What is the Consumer Price Index (CPI)?

Supplemental COLA

The Supplemental Cost of Living Adjustment (Supplemental COLA) maintains retirees’ purchasing power at no less than 85% of their original pension allowance. The Supplemental COLA is a non-vested (non-guaranteed) benefit which is evaluated and reauthorized annually by the Board of Retirement. It is funded by the Supplemental Retiree Benefits Reserve (SRBR). The Supplemental COLA is a separate benefit from the vested COLA.

Annual Supplemental COLA Date

April 1

Who Receives 2022 Supplemental COLA?

Tier 1	Retired on or before 04/01/1981
Tier 2	Retired on or before 04/01/2001

Supplemental COLA Reflected In Retirement Payment

April 29, 2022

Supplemental COLA

What Is Purchasing Power?

How Do You Qualify For the Supplemental COLA?

How Much Supplemental COLA Will You Receive?

How Is This Year’s Supplemental COLA Different From Last Year’s?

Tax Considerations For Your Retirement Allowance

Since you made your contributions to the retirement fund on a tax-deferred basis, your ACERA pension allowance is subject to federal and state income tax (where applicable). If you made any part of your contributions using post-tax dollars (usually with a service credit purchase), a proportionate amount of your pension allowance is non-taxable.

Income Tax Withholding

As a part of the retirement application process, you specified how much federal and California state income tax to withhold from your retirement allowance check (California is the only state income tax we can withhold). You can update your withholding at any time using the processes below. Withholding changes made by the 10th of the month will be effective on your next monthly retirement allowance. Be sure to read the withholding form’s instructions carefully, and consult your tax advisor if you have questions.

How to Update Your Federal Income Tax Withholding

How to Update Your California Income Tax Withholding

ACERA Reports Your Retirement Income on Form 1099-R

Each year, federal law requires ACERA to report income to its payees with Form 1099-R, regardless of their taxable status. This includes payees on duty disability for whom there may be no tax liability whatsoever. Your 1099-R becomes available in your online account in mid to late January. We also mail the 1099-R to payees on or before January 31.

Payees may also receive multiple 1099-R forms for payments resulting from a member’s death or if benefit adjustments are paid during the same tax year.