NORMATIVE INFLUENCE ON RETIREMENT SAVINGS DECISIONS: DO PEOPLE CARE WHAT EMPLOYERS AND THE GOVERNMENT WANT? by

The need for Australians to increase retirement savings has been widely promoted. Yet, our understanding of the motivations of individuals to save at a higher rate remains sparse. This paper reports the findings of a survey of superannuation fund members and their motivations to contribute more to superannuation and to investment strategy. The paper uses the theory of planned behaviour to focus on the important motivational influence of social norms. The study finds that spouses appear to be the primary source of social influence for retirement savings decisions. The government and employers appear to exert little influence, and financial advisors and superannuation funds take up the middle ground of social influence. Possibilities for interventions designed to influence behaviour are discussed and opportunities for further study are proposed.