In 2024, HEA 1004 required INPRS to set a surcharge to fund 13th checks actuarially and 1% annual cost-of-living adjustments (COLAs) depending on the individual’s retirement date.
- For PERF, TRF ‘96, and EG&C members who retire before July 1, 2025, INPRS was directed to set an actuarial surcharge necessary to grant indexed 13th checks.
- For PERF, TRF ‘96, and EG&C members who retire on or after July 1, 2025, INPRS was directed to set an actuarial surcharge necessary to grant annual 1% COLAs.
- In the 2025 legislative session, HEA 1221 modified the effective date for purposes of INPRS’ legislative requirement to set a surcharge to actuarially prefund annual 13th checks for PERF, TRF ’96, and EG&C members who retire before July 1, 2029, and annual 1% COLAs for members of those funds who retire on or after July 1, 2029.
This is not a guarantee of future 13th checks or future COLAs that the General Assembly has not yet granted. The General Assembly may or may not grant future 13th Checks (beyond those specifically granted by HEA 1221) or future COLAs. INPRS is only permitted to grant fully funded 13th checks or COLAs as explicitly provided by the General Assembly and retirement fund law.
13th Check Payments
Members (or survivors or beneficiaries of members) who were retired or disabled on or before Dec. 1, 2024, and are entitled to receive a monthly benefit on July 1, 2025, are entitled to receive a 13th check no later than Oct. 1, 2025, in the amounts shown in the service tiers below, based on the member’s creditable service. If multiple beneficiaries or survivors are entitled to a 13th check payment, the amount is allocated using the same percentages as those used for the monthly benefit.
- PERF 13th Check Service Tiers
Member's Years of Service Payment Amount At least 5 but less than 10 years $143 At least 10 but less than 20 years $261 At least 20 but less than 30 years $356 At least 30 years $428 - TRF 13th Check Service Tiers
Member's Years of Service Payment Amount At least 5 but less than 10 years $143 At least 10 but less than 20 years $261 At least 20 but less than 30 years $356 At least 30 years $428 - EG&C Fund 13th Check Service Tiers
Member's Years of Service Payment Amount At least 5 but less than 10 years $143 At least 10 but less than 20 years $261 At least 20 but less than 30 years $356 At least 30 years $428
1977 Fund COLA
Effective July 1, 2025, retired 1977 Fund members will receive a 2.7% COLA. This includes all retired, disabled, and surviving beneficiaries of members of the fund for benefits that began on or before Dec. 31, 2024.
The COLA for the 1977 Fund is linked to the Consumer Price Index (CPI). The 1977 Fund COLA is mandated and governed by the Indiana Code.
Judges' System COLA
Effective July 1, 2024, JRS members will receive a 3% COLA.
The COLA benefit increase of 3% is based upon the state-mandated salary increase for actively employed judges and magistrates in positions covered by the JRS. The increase excludes survivor payees.
Related FAQs
- What is a supplemental reserve account (SRA)?
- What is a COLA?
- What's the difference between a cost of living adjustment and a 13th check?
- How is a COLA or 13th check funded?
To read more on the history and distribution of SRAs and COLAs, read this Destination: Retirement article: Understanding SRAs and COLAs.
To view the 2025 legislative changes approved by the Indiana General Assembly, visit our 2025 Legislative Summary.
For more information about your pension and navigating to find specifics