Cost of living adjustment (COLA)

Cost of living adjustment (COLA),

Definition of Cost of living adjustment (COLA):

  1. Periodic increase in wages or salaries, to compensate for loss in purchasing power of money due to inflation. Rate of COLA is commonly pegged to a general index such as consumer price index (CPI). Also called cost of living allowance.

Meaning of Cost of living adjustment (COLA) & Cost of living adjustment (COLA) Definition