Tag: retirement benefits
As noted last week, one of the biggest challenges facing participants in 401(k) plans will be figuring out how to draw down their $100,000 balances in retirement. Retirees have to decide how much to take out each year. If they take out too much, they risk running out of money; if they take out too…
Abstract This paper presents new empirical evidence on the effects of retirement benefits on labor force participation decisions. We use administrative data on the census of private sector employees in Austria and variation from mandated discontinuous changes in retirement benefits from the Austrian pension system. We present nonparametric, graphical evidence documenting labor supply responses to the policy discontinuities. Next,…
