To what extent can partial retirement ensure retirement income adequacy?

fredag, 30 oktober 2020

Partial retirement before the state pension age allows people to reduce workload and maintain an adequate pension income at the same time. After a career of full-time work, those who retire part-time instead of full-time are much more likely to attain an income replacement of 70% during partial retirement, and subsequently a higher income replacement during full retirement.

They are also much more likely to maintain an adequate pension income when pension funds do not index pension rights, or when pension income is smaller due to accruing pension rights for fewer years.