RAND Research Topic: Retirement and Retirement Benefits

RAND Review: Vol. 36, No. 1, Spring 2012

May 11, 2012

Stories discuss Iran's nuclear threat, social security for Mexico's aging population, programs to help veterans and their families, the costs of crime and the value of police officers, psychological operations in Afghanistan, the U.S. health insurance mandate, legal representation in murder cases, marijuana legalization, U.S. competitiveness in educational achievement, and Louisiana's plan for a sustainable coast.

Mexicans Work and Work, But Will Retirement Work for Them?

May 11, 2012

An infographic portrays the demographic transition underway in Mexico, as its population ages rapidly over the next few decades.

Chance of a Generation: In an Aging Mexico, a Moment of Opportunity to Boost Social Security

May 11, 2012

Mexico is facing the demographic and epidemiological challenge of providing financial security and adequate health care to millions of elderly citizens.

Targeting of SSDI Program Could Be Improved by Reducing the Variation in Initial Determinations

Mar 20, 2012

Though consistency in applying disability assessment criteria is intended, it is not easily achieved in practice. For many SSDI applicants, whether they are allowed or denied benefits depends upon the examiner to which their application is assigned.

Can Employer Accommodation Reduce Disability-Related Retirement?

Mar 14, 2012

Employment trajectories following the onset of disability are poorly understood. Employer-focused policy interventions may reduce uptake in public disability insurance and disability-induced early retirement.

Will Health Care Reform Impact Applications for Disability Benefits?

Mar 12, 2012

As the Affordable Care Act expands health insurance coverage in the U.S., the "cost" of applying for SSDI will decline for many. Studying the effect of Massachusetts health care reform in 2006 may provide insights into the impact the ACA may have on SSDI applications and awards.

Does 401(k) Auto-Enrollment Help Low-Income Households?

Mar 6, 2012

People with low levels of financial literacy are more easily influenced by the default settings of employee savings plans. The Financial Literacy Center is measuring differences in default effects for employees at companies with auto-enrollment retirement plans, focusing on differential behavior by income.

Does Understanding the Relation Between Retirement Contributions and Future Monthly Income Encourage Savings?

Feb 10, 2012

Uses a large-scale field experiment to measure whether people save more if they are better able to understand the relationship between the amount they contribute to a retirement plan and their annual income in retirement.

Informing the Choice Between Lump Sums and Retirement Annuity Payouts

Feb 3, 2012

Households annuitize very little of their retirement savings. The Financial Literacy Center is studying the annuitization choices of retiring workers, designing and implementing new communication strategies that will raise acceptance of annuities, and examining the effectiveness of these strategies.

Does Disability Insurance Save Lives?

Feb 1, 2012

Previous research has shown that changes in income and health insurance are associated with changes in health and/or mortality. An examination of administrative data may show whether receipt of Social Security Disability Insurance and participation in related programs causally affect survival rates among applicants.

Understanding How People Value the Social Security Annuity

Jan 27, 2012

Currently, few Americans opt to annuitize their Social Security payments. A better understanding of individuals' preferences for annuitization, obtained via a stated-preference survey, can inform the debate on Social Security reform.

Midnight in Munich: All European Union Countries Face Declining and Aging Populations

Jan 13, 2012

Recent snapshots of fertility indicators across Europe look less depressing than they did a decade ago. Still, the fertility rate remains below the replacement rate in all 27 EU countries.

401(k) Loan Defaults: Who Is at Risk and Why?

Dec 28, 2011

Many 401(k) retirement plans allow participants to take loans from their accounts before they retire. However, if they have not paid them off before leaving their jobs, they must pay them in full immediately. This study quantifies how many people take out loans and, of those, how many default. It proposes changes in retirement policy to reduce the financial risk posed by these loans, particularly for vulnerable groups.

RAND HRS Makes Longitudinal Household Survey Data Accessible to Researchers

Dec 21, 2011

The Health and Retirement Study is a longitudinal survey of the elderly dating back to 1992. With the support of the National Institute on Aging and Social Security Administration, RAND has made five data sets available for researchers.

What Are the Real-World Framing Influences on Retirement Claiming Behavior?

Dec 14, 2011

Research suggests that many individuals claim Social Security retirement benefits at younger ages than may be optimal. The Financial Literacy Center is evaluating alternative ways to convey information about when to claim benefits and offering advice to enhance the Social Security Administration's online claiming website.

Effects of Lifetime Income Disclosure on Retirement Saving

Dec 14, 2011

People have difficulty understanding how much money they must accumulate in their working years to create a sufficient stream of income once they retire. The Financial Literacy Center is exploring whether disclosing information about the monthly retirement income stream resulting from an individual's retirement account will change savings behavior.

Experimental Design of a Non-Contributory Social Security Program in Yucatan, Mexico

Dec 8, 2011

Given the worldwide trend of aging populations, it is important to learn about the long- and short-term effects of non-contributory social security programs. With the State of Yucatan, CLASP designed such a program for towns with more than 20,000 inhabitants. The project team is now evaluating its impact on the welfare of residents ages 70 and older.

Conference Addresses Relationship Between Health, Aging, and Human Capital

Dec 5, 2011

The RAND Bing Center for Health Economics, RAND Labor and Population, and the Journal of Human Capital held a two-day Conference on Health, Aging, and Human Capital. Speakers included RAND's Nicole Maestas, NYU's Michael Grossman, and Harvard's David Wise; all conference videos are available online.

Examining Alternative Pathways to Retirement

Dec 1, 2011

Leaving the work force early has become commonplace in developed countries. Understanding the financial incentives and other factors that induce individuals to retire early, can help policymakers design effective reforms to help guarantee the financial stability of pension systems.

Can Commitment Savings Help Americans Be Better Prepared for Retirement?

Nov 11, 2011

Many households use commitment devices such as monthly mortgage payments, Social Security, and payroll 401(k) deductions to help them save. The Financial Literacy Center is trying to design a "new and improved" 401(k) that offers a better combination of liquidity and commitment than the current defined contribution pension.