Low financial literacy costs Americans $390B a year and wastes valuable time, warns Wharton Professor Olivia S. Mitchell. To address this, she emphasizes early education to boost three key areas of financial literacy. …Read More
Expanding DC plan investment options, particularly default investments, could boost participation and reduce risk for employees, suggest Cameron Ellis of the University of Iowa, Thorsten Moenig of Temple University, and Jacqueline Volkman-Wise of Saint Joseph’s University. Via RetireSecureblog. …Read More
The US racial wealth gap is evident not only in household wealth but also in retirement wealth. Policy reform could increase household wealth and improve equality outcomes, explain David C. John of the AARP Public Policy Institute and Brookings Institute, J. Mark Iwry of the Wharton School and Brookings Institute, and William G. Gale of the Brookings Institution. Via RetireSecure blog.…Read More
Retirees often regret what they did wrong, including retiring too soon, not saving enough, and not buying lifetime income, report Olivia S. Mitchell of Wharton’s Pension Research Council and Abigail Hurwitz from the Hebrew University in their new NBER WP, reported by Kerry Hannon via yahoofinance.com.…Read More
Competing economic proposals could have conflicting effects on private retirement savings for Americans, reducing incentives for some to save while making it more difficult for others to effectively save and invest, notes Professor Olivia S. Mitchell of Wharton’s Pension Research Council, according to Plansponsor.com.…Read More
In a research paper (Jan. 2023), co-authors Vanya Horneff and Raimond Maurer from Goethe University at Frankfurt, and Olivia S. Mitchell from Wharton underscore the value of integrating deferred income annuities into retirement plans. Their study suggests that waiting until age 70 for Social Security benefits, alongside the SECURE 2.0 Act’s emphasis on annuities, can significantly enhance retirement welfare. This highlights a valuable strategy for retirees to optimize their benefits and improve financial security. …Read More
