Wharton Pension Research Council Working Papers
 

Document Type

Working Paper

Date of this Version

9-2007

Abstract

Financial security in retirement has traditionally meant having a steady flow of annuity income as long as one lives, a definition enshrined in the Social Security system. Our earlier research has stressed a more holistic approach, which focuses on the match between resources and spending needs. This formulation enables us to estimate annuity values given long term care concerns and bequest motives, where these estimated values are consistent with low observed demand for standard annuities. This chapter uses this model to value non-standard annuities with various security-enhancing features that we believe may be of value to retirees.

Comments

The published version of this Working Paper may be found in the 2008 publication: Recalibrating Retirement Spending and Saving.

Keywords

long-term care, annuities, financial security, retirement

Working Paper Number

WP2007-20

Copyright/Permission Statement

All findings, interpretations, and conclusions of this paper represent the views of the author(s) and not those of the Wharton School or the Pension Research Council. © 2007 Pension Research Council of the Wharton School of the University of Pennsylvania. All rights reserved.

Acknowledgements

We are grateful to David McCarthy for helpful comments and suggestions.

Included in

Economics Commons

Share

COinS
 

Date Posted: 17 December 2019