Aging & Social Change: Tenth Interdisciplinary Conference

Abstract

The majority of Americans do not save enough for retirement: one in three Americans has no accumulations in retirement accounts, 56% saved less than $10,000, and 13% saved a minimum of $300,000. Understanding why is essential to addressing the retirement savings shortfall. This research project explains how Americans today are building social capital, supporting and caring for one another, and investing in informal networks instead of accumulating formal savings. The study marries economic methodology with anthropological theory to produce a novel approach to measuring the relationship between collectivist and savings behaviors. The study analyzes a large national data set: the re-engineered 2014 Survey of Income and Program Participation (SIPP), which covers all demographics including by age, net worth, income level, gender, ethnicity, race, partner status, citizenship and residence. The project’s findings provide tangible evidence of how Americans across demographics are employing collectivist practices as a bulwark against insecurity, as a substitute for employment-based retirement savings and as a caregiving safety net for elders.