M. Sugabradhayini, Shri Abirami M. V. and R. Lakshmi |
Shri Shankarlal Sundarbai Shasun Jain College for Women, Tamil Nadu, India.
Abstract
This study examines the determinants of retirement planning behavior through a systematic synthesis of existing empirical literature. Guided by the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework, the review analyzes 52 peer-reviewed studies published between 2010 and 2024 to identify key factors influencing individuals’ retirement planning decisions. The findings reveal that retirement planning behavior is shaped by a multidimensional set of determinants, including financial literacy, psychological attributes, socio-economic conditions, institutional support, and cultural influences.
Among these, financial literacy emerges as a central determinant; however, its impact is significantly mediated by psychological factors such as financial self-efficacy, future time perspective, and retirement goal clarity. Socio-economic variables, particularly income and education, influence both the capacity and propensity to plan, while institutional factors such as pension schemes and financial accessibility act as critical enablers. The review further highlights that these determinants interact in complex ways, suggesting that retirement planning behavior cannot be explained through isolated variables.
This study contributes to the literature by proposing an integrated conceptual framework that combines cognitive, behavioral, and structural dimensions. The findings underscore the need for holistic policy interventions that extend beyond financial education to incorporate combehavioral and institutional mechanisms. Future research should empirically validate the proposed framework, particularly in emerging economy contexts, using advanced analytical techniques.
Keywords: Behavioral finance, Conceptual framework, Financial literacy, Retirement planning behavior, Socio-economic determinants, Systematic literature review.
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