Texas SB574 amends the calculation of longevity pay for state employees to include an annual inflation adjustment.

Texas SB574 modifies the calculation of longevity pay for state employees by requiring the comptroller to adjust the monthly amount based on inflation. For fiscal years starting September 1, 2026, the comptroller will calculate the amount of longevity pay using a specified index to reflect changes in the purchasing power of the dollar. For the fiscal year beginning September 1, 2025, and ending August 31, 2026, the comptroller will set the amount of longevity pay at $20 plus the product of $20 and the percentage increase in the index.

Texas SB574 amends the calculation of longevity pay for state employees to include an annual inflation adjustment.

Texas SB574 modifies the calculation of longevity pay for state employees by requiring the comptroller to adjust the monthly amount based on inflation. For fiscal years starting September 1, 2026, the comptroller will calculate the amount of longevity pay using a specified index to reflect changes in the purchasing power of the dollar. For the fiscal year beginning September 1, 2025, and ending August 31, 2026, the comptroller will set the amount of longevity pay at $20 plus the product of $20 and the percentage increase in the index.