Does the Rise in the Full Retirement Age Encourage Disability Benefits Applications? Evidence from the Health and Retirement Study

Objectives: The objective of this study was to assess how well physiological measures, including biomarkers and genetic indicators, predict receipt of Social Security Administration (SSA) disability benefits among U.S. adults aged 51 to 65 years. Method: We used data from the 2006 to 2012 waves of the Health and Retirement Study (HRS), linked to SSA administrative data. Using logistic regression, we predicted benefit receipt (either Social Security Disability Insurance or Supplemental Security Income) using 19 distinct physiological markers, adjusting for age, sex, race, and select medication use. We then calculated the propensity (i.e., predicted probability) that each HRS respondent received benefits and assessed how well propensity score–based classifications could identify beneficiaries and nonbeneficiaries. Results: Thirteen percent of respondents received benefits. Using the propensity score cut point that maximized the sum of sensitivity and specificity, the model correctly predicted 75.9% of beneficiaries and 73.5% of nonbeneficiaries. Discussion: Physiological measures have moderate power to predict SSA disability benefit receipt.

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The Alignment Between Self-Reported and Administrative Measures of Application to and Receipt of Federal Disability Benefits in the Health and Retirement Study

SSRN Electronic Journal ◽

10.2139/ssrn.3985582 ◽

2021 ◽

Author(s):

Jody Schimmel Hyde ◽

Amal Harrati ◽

Boston College Center for Retirement Research

Keyword(s):

Health And Retirement Study ◽

Disability Benefits ◽

Retirement Study

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What the Stock Market Decline Means for the Financial Security and Retirement Choices of the Near-Retirement Population

The Journal of Economic Perspectives ◽

10.1257/jep.24.1.161 ◽

2010 ◽

Vol 24 (1) ◽

pp. 161-182 ◽

Cited By ~ 30

Author(s):

Alan L Gustman ◽

Thomas L Steinmeier ◽

Nahid Tabatabai

Keyword(s):

Stock Market ◽

Older Workers ◽

Housing Prices ◽

Household Wealth ◽

Health And Retirement Study ◽

Retirement Age ◽

Defined Benefit ◽

Defined Contribution ◽

Defined Contribution Plans ◽

Retirement Study

This paper investigates the effect of the current recession on the retirement age population. Data from the Health and Retirement Study suggest that those approaching retirement age (early boomers ages 53 to 58 in 2006) have only 15.2 percent of their wealth in stocks, held directly or in defined contribution plans or IRAs. Their vulnerability to a stock market decline is limited by the high value of their Social Security wealth, which represents over a quarter of the total household wealth of the early boomers. In addition, their defined contribution plans remain immature, so their defined benefit plans represent sixty five percent of their pension wealth. Simulations with a structural retirement model suggest the stock market decline will lead the early boomers to postpone their retirement by only 1.5 months on average. Health and Retirement Study data also show that those approaching retirement are not likely to be greatly or immediately affected by the decline in housing prices. We end with a discussion of important difficulties facing those who would use labor market policies to increase the employment of older workers.

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Widowhood and Retirement Timing: Evidence from the Health and Retirement Study

The B E Journal of Economic Analysis & Policy ◽

10.1515/bejeap-2017-0178 ◽

2018 ◽

Vol 18 (3) ◽

Author(s):

Philipp Schreiber

Keyword(s):

Older Workers ◽

Early Stage ◽

Low Fertility ◽

Health And Retirement Study ◽

Retirement Age ◽

Retirement Plans ◽

Skilled Workers ◽

Health And Social Care ◽

Retirement Timing ◽

Retirement Study

AbstractThe combination of an increasing life expectancy, low fertility rates, and an early effective retirement age creates a pressure to act for governments and organizations. The pay-as-you-go social security systems of many countries are troubled by the increasing ratio of retirees to working people. In addition, many organizations face difficulties caused by a shrinking workforce and the accompanied shortage of skilled workers. To counteract, it is essential to create an environment in which older workers are encouraged to stay in the workforce. Therefore, it is important to understand which factors influence the retirement timing decision of workers. This study analyzes how widowhood and changes in demographic, health-related, and financial factors lead to changes in retirement plans of Health and Retirement Study (HRS) respondents. I compare respondents’ actual retirement age with their retirement plans elicited in the HRS wave prior to retirement. The strongest change in retirement timing is caused by widowhood. Respondents who become widowed retire on average 1.7 years earlier than previously planned. The estimated effect of widowhood goes beyond the deterioration of physical health and mental health. My findings suggest that an intervention in an early stage after widowhood by the employer or by health and social care services can help the widowed employee to overcome the temporary adverse effects of widowhood and to prevent a precipitous retirement decision.

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The Composition and Drawdown of Wealth in Retirement

The Journal of Economic Perspectives ◽

10.1257/jep.25.4.95 ◽

2011 ◽

Vol 25 (4) ◽

pp. 95-118 ◽

Cited By ~ 78

Author(s):

James Poterba ◽

Steven Venti ◽

David Wise

Keyword(s):

Health And Retirement Study ◽

Retirement Age ◽

Financial Assets ◽

Home Equity ◽

Policy Issues ◽

Retirement Saving ◽

Housing Equity ◽

Retirement Study

This paper presents evidence on the resources available to households as they enter retirement. It draws heavily on data collected by the Health and Retirement Study. We calculate the “potential additional annuity income” that households could purchase, given their holdings of non-annuitized financial assets at the start of retirement. We also consider the role of housing equity in the portfolios of retirement-age households and explore the extent to which households draw down housing equity and financial assets as they age. Because home equity is often conserved until very late in life, for many households it may provide some insurance against the risk of living longer than expected. Finally, we consider how our findings bear on a number of policy issues, such as the role for annuity defaults in retirement saving plans.

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