Pre-Retirement Planning

Dynamic retirement withdrawal planning

This paper develops a dynamic model of retirement withdrawal planning that allows retirees and financial planners to improve the probability of retirement portfolio success while simultaneously increasing the average withdrawal rate. The key elements of the model are periodic adjustments of retirement withdrawal rates based on both portfolio performance and remaining life expectancy, and Monte ...

Lifecyle Retirement Planning: Experimental Evidence

We report on a series of economic decision-making experiments exploring how individuals make lifecycle consumption plans when they face various different deterministic endowment profiles over their lifetimes. In some treatments, subjects face a decline in their endowment income during a retirement phase while in other treatments endowment income is constant over all periods of life or subjects ...

Factors Influencing Planning for Retirement

Planning for Retirement: Longitudinal Effect on Retirement Resources and Post-retirement Well-being

Retirement is a major life event, and a positive adjustment to retirement is essential for maintaining physical and psychological well-being in later life. Previous research demonstrates that pre-retirement planning predicts post-retirement well-being. This study further explores the underlying mechanism between planning activities and post-retirement well-being. By applying the resource-based ...

Annuity Planning and Consumption-Investment Choices in Retirement Planning

Annuities can be effective tools in managing longevity risk in retirement planning. This paper develops a framework that merges annuity purchase decisions with consumption-investment selections. After introducing a pricing model and a benefit payment model for an annuity, we construct a multi-period wealth evolution model. An optimization problem is formulated with an objective of maximizing li...