Tag: shift to 401(k)
Late Boomers have surprisingly low levels of retirement wealth compared to earlier cohorts. A decline in some wealth components had been expected as a result of the rise in Social Security’s Full Retirement Age and the shift from defined benefit to defined contribution plans. But increasing 401(k)/IRA balances were predicted to offset the gap, sinc…
The brief’s key findings are: Labor force activity among older Americans began rising in the mid-1980s due to: changing Social Security incentives; the shift to 401(k) plans; and improving health, longevity, and education. Updated data, however, suggest that these factors may have played themselves out. As a result, the average retirement age has increased only…
