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

• 한국노년학
• /
• v.29 no.1
• /
• pp.215-230
• /
• 2009

In this study, we compared Korean retirees' retirement wealth adequacy with their subjective recognition and examined determinants affecting the retirement wealth adequacy. The data were drawn from the 2007 Korean Retiree Survey carried out by the Korean Investors Education Foundation. The major results of this study were as follows. The analysis suggested that Korean retirees(age 50 and over) were not well prepared financially. When using their assets(except for their residence), only 23.2% had accumulated enough wealth to meet their expenses for the remainder of their life. 25.7% of retirees subjectively considered themselves to be adequately covered. The comparison results showed that 23.8% of retirees' subjective recognition was not in accord with the estimation results. One of the most troubling groups is the 12.9% of retirees who were in the inadequacy group even though they considered themselves to be in the adequacy group. Retirement wealth adequacy determinants were quite different between objective adequacy and subjective recognition. Household income and ownership of a residence have positive effects on the retirement wealth adequacy. Also, the importance of retirement planning to retirement wealth adequacy is statistically confirmed. Based on these findings, This research suggests private retirement planning and political implications for retirees and preretired households.