TY  - JOUR
AU  - Coile,Courtney
AU  - Gruber,Jonathan
TI  - Social Security Incentives for Retirement
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 7651
PY  - 2000
Y2  - April 2000
UR  - http://www.nber.org/papers/w7651
L1  - http://www.nber.org/papers/w7651.pdf
N1  - Author contact info:
Courtney Coile
Department of Economics
Wellesley College
106 Central Street
Wellesley, MA  02481
Tel: 781/283-2408
Fax: 781/283-2177
E-Mail: ccoile@wellesley.edu

Jonathan Gruber
MIT Department of Economics
E52-355
50 Memorial Drive
Cambridge, MA 02142-1347
Tel: 617/253-8892
Fax: 617/253-1330
E-Mail: gruberj@mit.edu
M1  - published as Courtney Coile, Jonathan Gruber. "Social Security Incentives for Retirement," in David A. Wise, editor, "Themes in the Economics of Aging" University of Chicago Press (2001)

AB  - We present a detailed analysis of the incentives that Social Security provides for continued work at older ages.  We do so using information on older males from the Health and Retirement Study over the 1980-1997 period to calculate the changes in the present discounted value of Social Security entitlements from additional work at each age.  We find that the median male worker faces a small tax on work at ages 55-61, a near zero tax at ages 62-64, and a large tax at ages 65-69.  However, there is significant heterogeneity in tax rates.  We also document significant non-monotonicities in the accrual of Social Security entitlements with additional work, and suggest a more appropriate measure of incentive effects that considers accruals over not just the next year but future years as well.
ER  -