Life expectancy and pension shortfall
GTM – U.S.
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Probability of reaching ages 80 and 90
Mandatory and voluntary savings by country
Persons aged 65, by gender, and combined couple
Contribution to pre-retirement income replacement goal of 80%
100%
100%
Men 90%
Voluntary savings
90%
Women Couple – at least one lives to specified age
80%
Mandatory savings & government pensions Gap
80%
73% 70% 63%
60%
60% 50%
33%
29%
49%
91%
13%
40%
82%
30%
70%
40% 34%
30% 20%
20%
45% 38%
37%
35%
Japan
Italy
Spain
France
Canada
Australia
Source: J.P. Morgan Asset Management; (Left) SSA 2014 Life Tables; (Right) OECD Pensions at a Glance 2015. Mandatory savings & government pensions is the total public pension or forced savings in defined contribution plans; Voluntary savings is defined contribution savings by employers and employees; Gap is the savings shortfall assuming a desired pre-retirement income replacement rate of 80%. Pre-retirement income replacement is calculated for the average earning worker who is assumed to have worked a full career, defined as entering the labor market at age 20 and working until the normal pension age within each country. Guide to the Markets – U.S. Data are as of August 31, 2017.
Germany
90 years
Netherlands
80 years
UK
0%
0%
61
35%
22%
10%
U.S.
Investing principles
22%
55%