Cost Of Living 2025 Government Increase. The adjusted amounts generally apply for plan years beginning in 2025. As inflation cools, the cola for 2025 could shrink from this year’s 3.2% increase to 2.6%.

In our projections, real gdp growth moderates from an estimated 2.3 percent in 2024 to 1.9 percent in 2025 amid higher unemployment. This is shown in the table below.