(UM07-05) - Are 40l(k) Saving Rates Changing? Cohort/Period Evidence from the HRS
Marjorie Honig and Irena Dushi
This research will examine the determinants of participation in 401(k) plans and the rate of saving among participants, using two cross-sections of data from the Health and Retirement Study on workers ages 51-56 representing two cohorts: the original HRS cohort (born 1931-41) and the newly-added Early Baby Boomer (EBB) cohort (born 1948-53). We will examine whether cohort differences combined with a changing pension environment have affected 401(k) saving since the early 1990s. We will also compare self-reported and restricted Social Security data on earnings and 401(k) contributions for 1992 and 2004 to determine the extent of misreporting and potential bias in self-reported data.