Keywords

401(k) plan design, savings outcomes, asset allocation

Abstract

We assess the impact of 401(k) plan design on four different 401(k) savings outcomes: participation in the 401(k) plan, the distribution of employee contribution rates, asset allocation, and cash distributions. We show that plan design can have an important effect on all of these savings outcomes. This suggests an important role for both employers in determining how to structure their 401(k) plans and government regulators in creating institutions that encourage or discourage particular aspects of 401(k) plan design.

Original Publication Citation

“Plan Design and 401(k) Savings Outcomes.” 2004. National Tax Journal, 57(2): 275-298 (with James J. Choi and David Laibson). http://ntj.tax.org/

Document Type

Peer-Reviewed Article

Publication Date

2004

Publisher

National Tax Journal

Language

English

College

Marriott School of Business

Department

Finance

University Standing at Time of Publication

Full Professor

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