Couples' joint retirement by household type: Evidence from Finland

Abstract

AbstractThis study examines joint retirement in Finland. Employing a regression discontinuity design, the study leverages the exogenous variation provided by the eligibility age for earnings‐related pensions. The analysis yields three key findings. First, reaching the eligibility age has a significant effect on an individual's retirement. Second, male spouses' retirement at the age of 63 has a spillover effect on their female spouses. Third, disaggregated analyses show that older spouses in low‐income households delay their retirement, older male (female) spouses with female (male) primary earners postpone their retirement, and younger female spouses with male primary earners expedite their retirement.