Do you look forward to retirement? Motivational biases in pension decisions

Abstract

This study examines the relationship between subjective perceptions and motivational biases in pension decisions among trained economists. Results show that search for information and the number of options examined before making the decision regarding pension plans were significantly lower compared to other private decisions (i.e., car, electric appliance, and apartment purchase). Moreover, participants’ satisfaction with their chosen pension plan was significantly lower than their satisfaction with the other three choices. A positive view of the balance between gains and losses in pension payments, and optimism regarding the probability of receiving pension payments for at least 20 years after retirement, enhanced both involvement and satisfaction with the chosen plan. Overall, the study suggests that making positive aspects of pension more dominant at the time of the decision might increase motivation and involvement in the decision process. – AI-generated abstract.