Improving the Defined-Contribution System: The U.S. Can Learn From Other Countries’ Approaches to Helping Retirees Convert Their Savings Into Lifetime Income
| Autor: | Aron Szapiro |
|---|---|
| Rok vydání: | 2017 |
| Předmět: |
0106 biological sciences
Organizational Behavior and Human Resource Management Actuarial science Public economics Nudge theory 05 social sciences 010607 zoology Public policy 01 natural sciences 0502 economics and business Economics Drawdown (economics) 050207 economics Geriatrics and Gerontology Life-span and Life-course Studies Finance |
| Zdroj: | The Journal of Retirement. |
| ISSN: | 2326-6902 2326-6899 |
| Popis: | Over the past 30 years, the U.S. retirement system has shifted from a defined benefit system to a defined contribution system. As the defined contribution system matures, millions of Americans will need to figure out how to convert their hard-earned savings into lifetime income. Although U.S. public policy nudges people to save for retirement by offering tax breaks for saving and tax penalties for early withdrawals, the United States lags behind other countries in encouraging retirees to convert their savings into lifetime income. The authors explore several ways in which the U.S. drawdown system contrasts with other countries’ approaches, particularly in the encouragement given retirees to annuitize their assets. This discussion also addresses the role of regulation and industry structure in promoting lifetime income. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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