IDEAS home Printed from https://ideas.repec.org/a/cai/ecoldc/ecop_194_0079.html
   My bibliography  Save this article

Le Produit d'Épargne Retraite Populaire (Perp) : caractéristiques des détenteurs et projection des niveaux de rentes

Author

Listed:
  • Alexis Direr
  • Muriel Roger

Abstract

The French law called ?Fillon Act, ? which came into effect on August 21, 2003, set up an individual savings contract called PERP (Plan d?Épargne Retraite Populaire) aimed at supplementing public pensions. It is a defined-contribution plan in which contributions are deductible from taxable income up to 10 % of the holder?s annual income. At retirement, benefits are paid in the form of annuities and taxed at a normal rate. We use a large dataset on saving behavior of 9,880 households in order to determine the profile by age, socio-economic status, income, wealth, and tax status of holders of at least one PERP. We show that this savings product has spread evenly across all socio-economic categories. The participation rate is highest for households headed by persons aged 25-34 or 50-54. We use simulated residuals and bracket information available in our dataset to simulate continuous distribution of PERP assets and contributions. We can thus project the future growth of assets in personal retirement plans until age 60 and estimate the annuities that households will obtain after retirement. We find that most households are likely to benefit from a very small annuity, equal to less than 1 % of their last earnings before the conversion of their plans.

Suggested Citation

  • Alexis Direr & Muriel Roger, 2010. "Le Produit d'Épargne Retraite Populaire (Perp) : caractéristiques des détenteurs et projection des niveaux de rentes," Economie & Prévision, La Documentation Française, vol. 0(3), pages 79-92.
  • Handle: RePEc:cai:ecoldc:ecop_194_0079
    as

    Download full text from publisher

    File URL: http://www.cairn.info/load_pdf.php?ID_ARTICLE=ECOP_194_0079
    Download Restriction: free

    File URL: http://www.cairn.info/revue-economie-et-prevision-1-2010-3-page-79.htm
    Download Restriction: free
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Alexis Direr & Rim Ennajar-Sayadi, 2019. "How price-elastic is the demand for retirement saving?," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 44(1), pages 102-122, January.
    2. Alexis DIRER & Rim ENNAJAR-SAYADI, 2016. "How Price Elastic is the Demand For Retirement Saving?," LEO Working Papers / DR LEO 2437, Orleans Economics Laboratory / Laboratoire d'Economie d'Orleans (LEO), University of Orleans.

    More about this item

    Keywords

    retirement saving;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cai:ecoldc:ecop_194_0079. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jean-Baptiste de Vathaire (email available below). General contact details of provider: https://www.cairn.info/revue-economie-et-prevision.htm .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.