Does the new chained CPI portion of the new tax bill affect my CSRS pension?

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I’ve read the new tax bill includes the chained CPI. From what I’ve read it will affect the social security part of my retirement. As it currently stands, what will the impact be on my CSRS pension? I’ve checked several sites including FedWeek and those similar to FedWeek and I can’t find where anyone is writing about this. Thank you.

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Posted by (Questions: 1, Answers: 0)
Asked on December 22, 2017 9:08 pm
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Good question Jackie, likely that would depend on your tax bracket.

Tax brackets get adjusted upwards for inflation. CPI is used in calculating that adjustment. Chained-CPI will result in you qualifying for a higher tax bracket sooner than traditional CPI would. See: https://www.bloomberg.com/news/articles/2017-11-20/why-chained-cpi-has-links-to-u-s-tax-debate-quicktake-q-a

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Posted by (Questions: 12, Answers: 16)
Answered on December 22, 2017 9:20 pm
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That will affect all inflation adjustments in the tax code, but not the inflation adjustment used for Social Security and for OPM. We are safe for now on our pensions, but it’s probably just a matter of time until that hits us too.

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Posted by (Questions: 0, Answers: 243)
Answered on December 22, 2017 10:52 pm