Abstract
When defined benefit pension plans provided strong financial incentives to retire at a particular age, financial factors played a significant role in retirement decisions. Incentives to retire at a particular age are absent in today’s 401(k)s and retirement decisions are much less responsive to financial considerations. Studies instead identify the importance of non-financial rewards in keeping some workers in the labor force and pulling others into retirement. An employer seeking to retain older workers thus should see that they get such non-financial rewards – and understand the risks of being pulled into retirement too early to gain a financially secure retirement.