A plan to fill the gaps in American’s pension system was kiboshed fewer than 18 months after launch. “The Short Life and Untimely Death of the MyRA” by Mark Iwry explains the proposal, its abrupt end, and where things might go next.…Read More
Social Security Projections evaluated by Diane Lim, Sophie Shin, and Kent Smetters. This study explores effects of key factors on potential reforms, using the Penn Wharton Budget Model.…Read More
Fewer companies offer defined benefit pension plans today than in the early 1980s, so GE’s announced pension buyout is part of a larger trend, says Wharton Prof. Olivia S. Mitchell here. Image courtesy of Chuck Miller.
Are money-back guaranteed retirement accounts a good deal? Not now, explains Wharton’s Olivia S. Mitchell to MarketWatch here, citing her recent study with Vanya Horneff, Daniel Liebler, and Raimond Maurer (posted here).
To retire at age 65, Millennials must save nearly half their paychecks. Even if that’s impossible, there are still steps you can take to improve your retirement security, Wharton’s Olivia S. Mitchell explains to Megan Leonhardt of CNBC Make It. Read it here.
Economic hardship 401(k) withdrawals to get easier from January 2020, which Wharton’s Olivia S. Mitchell thinks will boost popularity of 401(k) withdrawals over loans and help people avoid penalties from defaulting on those loans. Read here.
A financial transaction tax (FTT) is exactly what it sounds like: a tax imposed on the exchange of all or certain types of financial instruments. A well-known example of such a tax is the British stamp tax—a modern version of the tax that contributed to the American independence movement. Recently, several prominent presidential candidates, including Bernie Sanders, Elizabeth Warren, and Kamala Harris, have called for such a tax……Read More
The Institute of Consumer Money Management recently announced a $2 million grant for studying the financial health of low and moderate income Americans near or in retirement. Prof. Mitchell, Dr. Robert Clark of North Carolina State University, and Dr. Annamaria Lusardi of George Washington University will be working together on…Read More
Oregon is leading the way expanding access to workplace retirement plans via its OregonSaves program. How has it affected participation and outcomes among eligible employees? A new paper entitled “Auto-Enrollment Retirement Plans for the People: Choices and Outcomes in OregonSaves,” by John Chalmers, Olivia S. Mitchell, Jonathan Reuter, Geoffrey Sanzenbacher…Read More
Nobody knows how long they’ll live, which makes bonds a more risky prospect for retirees’ long term planning. Benjamin Harris cites work by Vanya Horneff, Raimond Maurer and Wharton’s Olivia S. Mitchell showing the advantage of putting 10% of 401(k) wealth into deferred annuities instead.…Read More
