Chained CPI could cost feds thousands over time

Many federal employees and retirees have expressed concern over the impact of the Affordable Care Act and reforms to the Federal Employee Health Benefits program. However, another plan under consideration on Capitol Hill may have a greater impact on feds’ long-term financial well-being — the chained Consumer Price Index.

“This is going to to affect current employees when they retire,” said David Snell, director of retirement services for the National Active and Retired Federal Employees Association. “It’s going to affect current retirees. It’s going to affect survivors of those retirees, because those survivors will also see a loss in the amount of inflationary protection that will be offered if the chained CPI is enacted.”

via Chained CPI could cost feds thousands over time, NARFE says – FederalNewsRadio.com.