Effects of Social Security Policies on Benefit Claiming, Retirement and Saving

TitleEffects of Social Security Policies on Benefit Claiming, Retirement and Saving
Publication TypeReport
Year of Publication2013
AuthorsGustman, AL, Steinmeier, TL
InstitutionCambridge, MA, National Bureau of Economic Research
KeywordsConsumption and Savings, Healthcare, Public Policy, Retirement Planning and Satisfaction, Social Security
Abstract

An enhanced version of a structural model jointly explains benefit claiming, wealth and retirement, including reversals from states of lesser to greater work. The model includes stochastic returns on assets. Estimated with Health and Retirement Study data, it does a better job of predicting claiming than previous versions. Alternative beliefs about the future of Social Security affect predicted outcomes. Effects of three potential policies are also examined: increasing the early entitlement age, increasing the full retirement age, and eliminating the payroll tax for seniors. Predicted responses to increasing the full entitlement age are sensitive to beliefs.
URLhttp://www.nber.org/papers/w19071
Endnote Keywords

Retirement/Saving/Behavior/Social Security claiming rates/retirement planning/Public Policy
Endnote ID

69298
Citation Key5949