The Nation's Retirement System: A Comprehensive Re-Evaluation Is Needed to Better Promote Future Retirement Security

Abstract

The U.S. retirement system, and the workers and retirees it was designed to help, face major challenges. Traditional pensions have become much less common, and individuals are increasingly responsible for planning and managing their own retirement savings accounts, such as 401(k) plans. Yet research shows that many households are ill-equipped for this task and have little or no retirement savings. In this special report, GAO examines these challenges, drawing from prior work and others’ research, as well as insights from a panel of retirement experts on how to better ensure a secure and adequate retirement, with dignity, for all.

Keywords: retirement, income security, pensions, defined contribution, defined benefit, Social Security, Pension Benefit Guaranty Corporation, Department of Labor, Social Security Administration, ERISA, older Americans, spend down, coverage, replacement rate, access, retirement savings, rollover, aging

JEL Classification: E62, E21, F55, H3, H55, H6, H75, I10, J26