Set it and forget it? Financing retirement in an age of defaults

• 成果类型: Article
• 署名作者: Goodman, Lucas; Mukherjee, Anita; Ramnath, Shanthi
• 署名单位: United States Department of the Treasury; University of Wisconsin System; University of Wisconsin Madison; Federal Reserve System - USA; Federal Reserve Bank - Chicago
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2023.02.002
• 发表日期: 2023
• 页码: 47-68
• 关键词: Household finance; financial literacy; Retirement savings; Auto-enrollment

摘要

Retirement savings abandonment is a rising concern connected to defined contribution systems and default enrollment. We use tax data on Individual Retirement Accounts (IRAs) to establish that for a recent cohort, 0.4% of retirement-age individuals abandoned an ag-gregate of $66 million, proxied by a failure to claim over ten years after a legal requirement to do so. Analysis of state unclaimed property databases suggests that workplace defined contribution plans are abandoned at a higher rate than IRAs. Finally, regression discontinu-ity estimates show that certain accounts created by default enrollment are at higher risk of abandonment by passive savers.Published by Elsevier B.V.