Dictionary of Finance and Investment Terms: COLA
COLA
acronym for cost-of-living adjustment, which is an annual addition to wages or benefits to compensate employees or beneficiaries for the loss of purchasing power due to inflation. Many union contracts contain a COLA providing for salary increases at or above the change in the previous year's Consumer Price Index (CPI). Social Security recipients also have their monthly payments adjusted annually based on a COLA tied to the CPI.
Dictionary of Real Estate Terms: COLA
COLA
cost of living adjustment.
