• Journal of Families and Better Life
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• v.31 no.1
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• pp.113-127
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• 2013

The purpose of the study is to estimate objective retirement wealth adequacy and subjective retirement wealth, and to compare two of them. Also the factors relating to those wealth readiness were investigated. The data used was 422 pre-retiree who were married and under 65 years old and SPSS 20 was used for the analyses. The results showed that objective reirement wealth readiness was 37.6% and subjective retirement wealth adequacy was 40.9%. Almost half of the sample (44.8%) were indicated to have no objective retirement wealth, but only 5.9% was answered to have no retirement wealth. Both subjective and objective retirement wealth adequacies tended to increase with older age, higher income and lower average propensity to consume groups. The difference between objective and subjective retirement wealth adequacies was smaller with getting older. According to multi-variable analyses, two factors were found to affect on both the subjective and objective retirement wealth adequacies, which were income and retirement asset. The respondents were found to be not able to estimate their own retirement wealth adequacy objectively. The correlation between the subjective and objective retirement wealth adequacies was 0.344. Among the respondents, 74.4% answered bigger number on subjective retirement wealth than their objective retirement wealth.

• The Korean Journal of Applied Statistics
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• v.28 no.4
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• pp.763-779
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• 2015

This study estimate the adequate replacement rate of retirement income by income brackets and suggests roles of pension and non-pension income sources to achieve it for each income bracket. Priori research focused on elderly poverty; however, there has been little discussion about an adequate income level for retirement. We calculate an adequate income replacement rate separately for the poor, middle, and high income group as well as the average level of replacement rate for all groups. We also investigate the gap between the adequate income replacement rates and realized rates, and propose roles for each income source to curtail the gap. It is essential to recognize that the adequate income for retirement is unable to be met only by an annuity. To emove the gap, it is vital to utilize non-pension income although annuity is a primary source for retirement. Especially, the public and private pension plays a role to overcome poverty and live affluent in retirement, respectively.

• Journal of Families and Better Life
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• v.27 no.3
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• pp.31-43
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• 2009

Using the first wave of KLoSA(Korean Longitudinal Study of Ageing) beta version, this study analyzed factors affecting early retired men's subjective life satisfaction through Binary Logit and Multiple Regression. Total 552 men were selected as a sample. The main results of empirical analysis in this study were as follows: The retirement reason(health-) and monthly household income(+) affected whether they were satisfied with the retirement life or not and subjective life satisfaction over all. Especially, the retirement reason(health-) had a stronger effect on whether early retired min were satisfied with the retirement life or not and their subjective life satisfaction than monthly household income revealed significant variable in previous studies. This result represents that the retiree's life satisfaction analysis model must include retiree's characteristics at the time of retirement as well as retiree's current status characteristics or socio-economic characteristics.

• Journal of Family Resource Management and Policy Review
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• v.16 no.4
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• pp.131-152
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• 2012

The aims of this study were to analyze middle-aged households' financial preparation for retirement. Specifically, this study surveyed the relation between human capital investment for children and the middle-aged households' financial preparation for retirement and investigated factors influencing financial preparation for retirement. Data were obtained from the 3rd Korean Retirement and Income Study (KReIS) in 2009, and a sample of 757 households was selected. The statistical methods were frequency, percentile, mean, standard deviation, ${\chi}^2$, t-test, Pearson's correlation coefficient, and logistic regression analysis. The findings of this study are as follows. First, the percentile of preparation for living costs for old age was 49.9% for the middle-aged households. In terms of the types of preparation for living costs for old age, the results showed 61.6% of personal preparation, 33.9% of pension system, and 1.3% for children and relatives. In relation to the adequacy of the preparations for living costs for old age, preparations made by 57.4% of the middle-aged households were inadequate. Observing the minimum living costs for old age and adequate living costs after retirement for single and couple, the minimum living costs of the middle-aged households was 1.46 million won for couple and 0.91 million won for single. The adequate living costs for old age was 2.07 million won for couple and 1.34 million won for single. Second, there were 757 households with total education expenditure. Of these, 208 incurred annual expenditure on public education, and the annual expenditure for public education was 7.28 million won. There were 170 households with annual expenditure for private education, and the annual expenditure for private education was 2.50 million won. 243 households of middle-aged households had annual expenditure for human capital investment, including both public and private education, with annual expenditure for human capital investment for children of 7.82 million won. Furthermore, in the human capital investment factor, there was a difference in the middle-aged households' financial preparation for retirement according to their annual expenditure for human capital investment including both public and private education. In addition, there was a difference in financial preparation for retirement based on their public education expenditure. Third, in the logistic regression model 1, which included human capital investment, the significant variables affecting the preparation for retirement of the middle-aged households were as follows : annual household income, total amount of annual household income, experience of inadequate living costs, existence of financial assets, total amount of annual household savings, financial independence, adequate living costs (for single) for old age, and human capital investment. In the logistic regression model 2, which included annual expenditure for public education and annual expenditure for private education, the significant variables affecting the preparation for retirement of the middle-aged households were as follows : annual household income, total amount of annual household income, experience of inadequate living costs, existence of financial assets, total amount of annual household savings, financial independence, adequate living costs (for single) for old age, and annual expenditure for public education.

• Journal of Labour Economics
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• v.27 no.3
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• pp.1-23
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• 2004

To investigate the interdependence of the decisions on when to retire and how much consume before and after retirement, we compare the pre- (or post-) retirement consumption conditioned on the retirement decision with pre- (or post-) retirement consumption regardless of retirement decision by using the Korea Labor and Income Panel Study(KLIPS). We employ the two-stage switching regression for the econometric method to investigate the interdependence of two decisions of retirement and pre- or post retirement consumption. Then we test the existence of the interdependence in terms of the significance of the estimated selection biases which appear in the pre- (post-) retirement consumption equations for early and late retirees. In those equations, we also compare the income elasticity of the consumption of the early retirees with that of the late retirees. The empirical results show that there is negative selection bias in early retirees' consumption. These results imply that due to the early retirement decision early retirees would have consumed less than they actually have. The income elasticities of the consumption of the early retirees is smaller than that of the late retirees in pre- (or post-) retirement consumption equation. This result shows that relatively longer retirement period due 10 the early retirement affect the pre-retirement consumption. early retirees' marginal propensity to consume should be lower than that of the late retirees.

• Journal of the Korean Home Economics Association
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• v.36 no.5
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• pp.125-135
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• 1998

The purpose of this study is to investigate the overall levels of the middle-aged employed men's attitudes toward retirement and plans for post-retirement life, and to explore the relative effects of personal, family, and job characteristics on retirement attitude and the level of retirement plan. The data were collected from the 438 middle-aged (ranging from 41 to 50) employed men through the structured questionnaires. The data were analyzed using frequency, percentile, average, standard deviation, and multiple regression analysis. The results of the data analysis show that most of the respondents had neither positive nor negative attitude toward retirement and the level of planning for post-retirement life was slightly higher than average score on the scale. Next, the positive attitudes of middle-aged employed men toward retirement were observed from those who have higher education, larger household income, higher job security and lower job stress respondents who hold professional, administrative, or official jobs were more positive toward retirement than those who hold professional, administrative, or official jobs were more positive toward retirement than those who hold manufacturing or sales job. A well-planned post-retirement life was found among those who have better health, higher job satisfaction, job security and job orientation. Job characteristic variables such as job security and job satisfaction showed stronger impact than personal or family ones on the attitude toward retirement and the level of retirement planning. Household income and health also had significant effects.

• Journal of the Korean Home Economics Association
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• v.32 no.5
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• pp.45-54
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• 1994

The purpose of this study was to investigate the characteristics of financial management styles and retirement planning. The results of this study were as follows: Among respondents systematic managers feeling managers analyzing managers, and holistic managers were respectively 20.1%, 19.5%, 30.8% and 29.6% Several variables such as education total household income and occupation had significant differences by the financial management style. Within the group of retirement planner analyzing manager held the first place whereas holistic manager ranked the first in non-planner group. Retirement planning age which is appropriate for starting to plan the degree of systematic retirement planning and life expectancy had significant difference by the financial management style.

• Journal of Family Resource Management and Policy Review
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• v.12 no.1
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• pp.57-89
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• 2008

Using the data of 'middle-and old-aged people' in the 6th year(2003) of KLIPS(Korea Labor and Income Panel Study), this study compared entirely retired men's income source and amount of income divided by the time of retirement and analyzed the determinants of main income source and amount of income level using Multinomial Logit Analysis and Tobit Analysis. The results of these were as following; First, Entirely retired men has average 1.27 income source and the amount of income from main income source is positioned at 85% of total income. This result indicates the lack of variety to get opportunities of income sources for the living and also means high risk associated with the entirely retired men if he looses the main income source. Second, most of income source of entirely retired men is spouse's earned income or private income transfers, however, if we divide those as timing of retirement and characters of each individual, it is represented that the most of income source is differentiated by the position at labor market during work life and the opportunity for building the wealth, and the possibility of obtaining public pension and public support. Third, the income level depends on what sort of income source the retired men has, this shows that there is not a strong relationship between obtaining a Income source and gaining above the certain level of income.

• Journal of Family Resource Management and Policy Review
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• v.22 no.2
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• pp.25-43
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• 2018

The purpose of this study was to analyze the factors that influence middle-aged people's retirement planning and financial preparation for old age. The data was derived from "the National Survey of Families 2015". The samples included 1,462 people from 40 to 64 years of age. The findings from the analysis showed that the level of retirement planning was significantly associated with gender, age, education level, employment status, monthly family income, monthly expenditure on spending to support parents, and perceived household economic condition. When the samples were divided by sex, the results showed that the perceived household economic condition was the most significant factor for both men and women's level of retirement planning. Age and education level were the significant factors for women's level of retirement planning but not for men's. Logistic regression was used to analyze whether middle-aged people made financial preparation for old age. For the whole sample, whether or not a person was a regular employee, monthly family income, monthly expenditure on supporting parents, perceived household economic condition, and retirement planning were significant variables in determining financial preparation. For men, whether or not a person was a regular employee, monthly family income, perceived household economic condition, and retirement planning were significant factors, for women whether or not a person was a regular employee, and retirement planning were the significant factors in determining financial preparation. The results implied that retirement planning is needed for middle-aged people to prepare for old age financially while the financial preparation should differ depending on sex.

• Journal of Families and Better Life
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• v.25 no.1 s.85
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• pp.145-158
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• 2007

The purpose of this study was to elicit the multi-dimensions of retirement expectations, and explore sub-factors of retirement expectations which predict the possibility of worker's participation to each pre-retirement planning programs. The major findings were as follows: first, this study shows that there are four sub-factors; Imposed frustration, New beginning, Transition to rest, Continuing. And there was a significant difference in retirement expectation according to sex, age, income, and health status. Second, the major affecting factors on participation in pre-retirement planning programs were sex, age, job, educational attainment, and health status. Third, those who have retirement expectations of 'Imposed frustration' tend to attend re-employment, leisure, and health education. Those who have retirement expectations of 'Transition to rest' tend to attend re-employment, inauguration education. And those who have retirement of 'Continuing' tend to attend leisure education.