Are you a caregiver? Tell us how you plan your getaway with loved ones for a chance to enter a weekly prize drawing.
Public Policy Institute
Social Security was created at a time when American lifespans were significantly shorter than they are today. Three innovations below are aimed at pushing Americans to work later into life and enhance their benefits for retirement.
The first innovation would allow workers to make “catch-up” contributions via increased payroll deductions starting at age 40 or 50. Utilizing the power of defaults in affecting outcomes, workers would be defaulted into the program with the ability to opt out if they choose to do so.
Full Report- "Catch-Up Contributions": An Equitable and Affordable Solution to the Retirement Savings Crisis
The second innovation would provide beneficiaries with a lump-sum payment if they delay claiming retirement benefits. Under this plan, those who delay claiming beyond the early eligibility age (62) would receive monthly benefits as though they claimed benefits at 62 in addition to a lump-sum payment reflecting the delayed retirement credit. Those claiming after their full retirement age (66 or 67) would receive monthly benefits as though they claimed benefits at the full retirement age in addition to a lump-sum payment actuarially equivalent to the present value of the delayed retirement credit.
Full Report- Evaluating Lump Sum Incentives for Delayed Social Security Claiming
The third innovation would establish mandatory add-on accounts known as Supplemental Transition Accounts for Retirement (START) that each worker would be required to exhaust before receiving Social Security retirement benefits. STARTs are designed to encourage workers to delay claiming Social Security benefits, thereby mitigating the effects of actuarial reductions for claiming early.
Full Report- Supplemental Transition Accounts for Retirement
Please leave your comment below.
You must be logged in to leave a comment.
Find the public policy institute content you are looking for by entering in search terms below.
Sign up for alerts on the latest research, events and videos on policy issues.
A State Scorecard on Long-Term Services and Supports for Older Adults, People with Physical Disabilities, and Family Caregivers
By 2030, one out of every five people in the United State will be 65-plus. Will your community be ready?
You are leaving AARP.org and going to the website of our trusted provider. The provider’s terms, conditions and policies apply. Please return to AARP.org to learn more about other benefits.
Your email address is now confirmed.
Manage your email preferences and tell us which topics interest you so that we can prioritize the information you receive.
Explore all that AARP has to offer.
In the next 24 hours, you will receive an email to confirm your subscription to receive emails
related to AARP volunteering. Once you confirm that subscription, you will regularly
receive communications related to AARP volunteering. In the meantime, please feel free
to search for ways to make a difference in your community at