### Question
What does qualified cost-of-living arrangement mean?


### Answer
**Qualified cost-of-living arrangement** has the following meaning in *26 U.S.C. § 415*:

> an arrangement under a defined benefit plan which—



(i) provides a cost-of-living adjustment to a benefit provided under such plan or a separate plan subject to the requirements of section 412, and



(ii) meets the requirements of subparagraphs (C), (D), (E), and (F) and such other requirements as the Secretary may prescribe

#### Citation:
  - *26 U.S.C. § 415*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter D-Deferred Compensation, Etc. > PART I-PENSION, PROFIT-SHARING, STOCK BONUS PLANS, ETC. > Subpart B-Special Rules**

