Age anchors and the individual retirement age: An experimental study

This study examines the sensitivity of the retirement age decision to standard retirement ages in pension overviews (age anchors) with a self‐constructed survey. Individuals retire later when theyare confronted with a higher age anchor. Specifically, their retirement age corresponds to the age of the anchor. The effect of the age anchor on the retirement age is strongest for women. Interestingly, different socioeconomic subgroups of women are all sensitive to age anchors. The study also assesses the relevance of financial literacy, advice from pension funds and social interactions in explaining the sensitivity to age anchors. Financial literacy does not seem to play a role, while the role of advice from pension funds and the role of social interactions are limited. This suggests thatage anchors may have a distinct effect on the retirement age.