This paper examines policies for the decumulation of pension wealth in the Netherlands. It suggests a design framework based on economic theory and international evidence. The central message is that a well-designed pension system has an important – although certainly not exclusive – role...

In this paper we analyze the possibilities of intergenerational risk sharing in a generational DB pension fund. In a generational pension plan each generation has their own pension scheme and is subject to discretionary investment, indexation and contribution policies, thereby losing...

We propose a generational plan for the occupational pension provision in which people from the same generation are pooled in a generational fund. Each fund can set its own policies independently. This plan provides the benefits of differentiation missing in the prevailing collective plan and the...

Little is known about the degree to which individuals are uncertain about their future Social Security benefits, how this varies within the U.S. population, and whether this uncertainty influences financial decisions related to retirement planning. To illuminate these issues, we present...

We explore the implications of alternative methods of discounting future pension outlays for the valuation of funded pension liabilities. Measured liabilities affect the asset-liability ratio of pension funds and, thereby, their policies. Our framework for analysis is an applied many-generation...

This paper explores the effect of letting individuals choose their retirement age in a world of uncertainty where there exist both defined benefit (DB) and defined contribution (DC) pension plans. The paper shows that giving individuals the flexibility to determine when to retire is an important...

Family is a primal institution. Family organization (e.g. inheritance rules) can be transmitted over time, or even embedded into newly born economic institutions. We argue that when the family is substituted in one of its economic role by another, perhaps new, institution, the economic...

Deciding how much to save for retirement is a difficult task surrounded with many uncertainties. In this paper we study the impact of uncertainty about one's savings adequacy on retirement savings contributions and information search. We combine ideas from literature in psychology and economics...

This paper explores the introduction of collective risk-sharing elements in defined contribution pension contracts. We consider status-contingent, age-contingent and asset contingent risk-sharing arrangements. All arrangements raise aggregate welfare, as measured by equivalent variations. While...

In this study, we analyse the actuarial features of the Italian pension system after the 1995 reform. We consider both the old defined benefit, the pro-rata and the new notional defined contribution pension rules applied to private sector employees born between 1945 and 2000. In the...