Retirement duration maximization with survival time expectations

Paper proposes a model of retirement duration maximization based on retiree’s ex-ante intended retirement age and subjective survival time estimate. The optimum result needs that retirement age is an increasing convex function of survival time estimate supporting postponed retirement age with longer intended retirement duration. As a result, the average actual observed retirement duration is less than the intended duration. The result is valid irrespectively of biasedness of subjective survival estimates