Robert L. Clark|Annamaria Lusardi|Olivia S. Mitchell
EMPLOYEE FINANCIAL LITERACY AND RETIREMENT PLAN BEHAVIOR: A CASE STUDY
North Carolina State University|George Washington University|University of Pennsylvania
article uses administrative data active employees federal reserve fr system examine participation contributions thrift saving plan systems defined contribution dc plan link administrative records unique employee survey economicdemographic factors including set financial literacy questions surprisingly fr employees substantially financially literate population large importantly financially savvy employees also likely participate dc plan sophisticated workers contribute three percentage points earnings dc plan less knowledgeable hold equity pension accounts examine changes employee plan behavior 1 year employees completed learning module retirement planning compare baseline patterns find employees completed learning module likely start contributing less likely stopped contributing dc plan postsurvey sum employerprovided learning programs shown significantly impact employee retirement saving decisions consistent lot research higher levels financial literacy found beneficial impact retirement saving patterns jel j3 h7