The role of pensions in retirement income: trends and questions.
Pensions are an important and increasingly common supplement to Social Security benefits for persons aged 65 or older--particularly for those in the the middle and upper income quintiles. By 1990, pension income was reported by 44 percent of all elderly units--57 percent of the couples and 34 percent of unmarried persons. This article discusses the role of pensions in the income of the elderly; private pension coverage, vesting, and types of plans among active workers; how the shift toward defined contribution plans poses new problems in assessing the role of private pensions in providing retirement income security; and expected pension receipt rates for the future elderly. Pension receipt among the elderly is expected to continue to grow over the next 20-30 years because of past growth in coverage and vesting. Microsimulation models are a relatively new tool for forecasting the future distribution of pension income. The models offer a framework for considering the research questions that, if answered, would help improve our understanding of the impact of the pension system on future income security.
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D000328:Adult; D000367:Age Factors; D000368:Aged; D004651:Employment / Q000191:economics*; D005260:Female; D005544:Forecasting; D006801:Humans; D007182:Income; D008297:Male; D008875:Middle Aged; D010415:Pensions; D012943:Social Security / Q000191:economics* / Q000639:trends; D014481:United States