Using a lifecycle model of consumption, saving and portfolio choice combined with linked survey and administrative data … on wealth and lifetime earnings we evaluate measures of retirement preparedness. We estimate heterogeneous discount … to evaluate the adequacy of retirement savings. We find first that the specification of the model's asset structure …

, stochastic labor income and endogenously-determined retirement. We find that the ratio of total wealth-to-labor income … (normalized wealth) is the primary determinant of the retirement decision and that at all ages, there exists a critical normalized … wealth such that above this wealth, investors retire. We further consider the implications of endogenous retirement on …

pensions and on a particular type of unfunded (PAYG) pension. Surprisingly little is known about the optimal split between … state the importance of PAYG pensions differs. We estimate how the optimal level of unfunded, state pensions depends on rate …

We find that health cost risk lowers optimal annuity demand at retirement. If medical expenses can be sizeable early in … retirement, full annuitisation at retirement is no longer optimal because agents do not have enough time to build a liquid wealth … additional annuitisation after retirement results in welfare gains of at most 2.5% when facing health cost risk, and negligible …

Dynamic retirement glidepaths evolve over time based on some measure such as the retiree's funded status or current … static retirement glidepath would be the one that performs better than all others with respect to some metric. When … systematic withdrawals are made from a retirement portfolio, glidepaths are often assessed via the probability of ruin (or …

The paper presents a model of retirement plan enrollment, under the presence of a default asset portfolio, in which …), but instead of the savings rate, the agent optimally chooses his asset portfolio for retirement, according to his risk …

with retirement savings, which can impact financial well-being in older age. The role of investment uncertainty on …The introduction of direct contribution 401(k) retirement accounts in the late 1970's brought about an institutional … labor force, as well as for social security and retirement planning policy making …

based on observed U.S. asset returns during 1926-2008. Annual worker contributions to retirement savings accounts are based … on investments calculated at the time of retirement. Comparisons are made with the performance of four other investment …

This Chapter explores how an environment of persistent low returns influences saving, investing, and retirement … observed saving, work, and claiming age behavior of U.S. households. In particular, our model generates a large peak at the … the (system-defined) Full Retirement Age of 66. In the context of a zero-return environment, we show that workers will …