financial literacy Archives

When you retire, should you keep your money with your employer’s 401(k) plan?

Desk items related to financial planning, including a calculator, glasses, a notebook with "401k" written, post-it notes, a magnifying glass, and a pen on a pink background.

In a recent research study, Prof. Olivia S. Mitchell, John Turner, and Catherine Reilly weigh the pros and cons of remaining in an employer-sponsored 401(k) plan after retirement. The debate continued in Reilly’s November 2023 blog post, picked up in the Star Tribune.…Read More

Financial literacy: The importance of a new field

An open book with a tree growing out of it, with branches and leaves made of money, symbolizing knowledge leading to wealth. In the background are blurred chalkboards.

Researchers Annamaria Lusardi of Stanford’s SIEPR and Olivia S. Mitchell of Wharton’s Pension Research Council founded the new field of financial literacy, key for personal finance teaching and retirement policy; see their blog VoxEU.…Read More

The case for financial literacy education

A smiling adult and child sitting on a sofa, holding a pink piggy bank, suggesting themes of family, saving, and financial planning.

Global financial literacy levels remain low, and early intervention with better programs can enhance financial decision-making and wellbeing, report Annamaria Lusardi of GWU and GFLEC and Olivia S. Mitchell of the Wharton School and the Pension Research Council, via NPR. …Read More

Understanding basics of financial literacy is a must

A stack of books, a jar labeled "Save" with coins and bills, a graduation cap, colored pencils in a holder, and a rolled diploma tied with a red ribbon, symbolizing education and financial savings.

Understanding personal finance and risk management matters for financial wellbeing, yet many lack basic financial knowledge report researchers Annamaria Lusardi of the George Washington University School of Business and Olivia Mitchell of the Wharton School, via the Star Tribune.…Read More

Pandemic-Era Debt Weakened Retirement Readiness

A person sitting on the floor with a shocked expression, holding a calculator and looking at documents or bills, possibly representing financial stress.

Financial illiteracy and debt are key factors constraining retirement readiness, report researchers Andrea Hasler and Annamaria Lusardi of George Washington University, and Olivia S. Mitchell of the Wharton School, via Think Advisor.…Read More

Many 401(k) Participants Have No Idea How Cash Will Come Out

A person with a concerned expression reviews documents at a table, surrounded by papers, a tablet, a pen, and a coffee mug.

Retirement plan type, income level, and age all impact pension withdrawal choices for participants who terminate employment with company pensions, explain Profs. Olivia S. Mitchell of The Wharton School and Robert L. Clark of NC State Poole College of Management via ThinkAdvisor. Also participants with higher Financial Literacy levels are more likely to choose annuitized benefits. Download @PensionResearch working paper here.…Read More

How schools are prepping Gen Z for financial literacy

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Should personal finance be mandated in high school? More ways to make financial mistakes point to YES! says Wharton Prof. Olivia Mitchell, via Acorn.…Read More

State retirement plan is helping, study finds, but many opt out

A person counting U.S. dollar bills at a desk with a notebook and pen. Nearby are a smartphone and computer mouse, representing financial management or budgeting.

Auto-enrollment in state retirement plan helps initiate savings but many opt out explain Profs. John Chalmers (University of Oregon), Olivia S. Mitchell (University of Pennsylvania), Jonathan Reuter (Boston College) and Mingli Zhong (Urban Institute). Via AroundtheO…Read More

OregonSaves Program Is Helping Boost Employees’ Retirement Savings

A person holding a jar filled with coins, labeled "savings," representing financial savings or budgeting.

State-run auto-enrollment IRAs generate savings for many, and meaningfully boost employee retirement assets, according to John Chalmers (University of Oregon), Olivia S. Mitchell (University of Pennsylvania), Jonathan Reuter (Boston College) and Mingli Zhong (Urban Institute). Via PlanSponsor…Read More