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Small Cues Change Savings Choices / James J. Choi, Emily Haisley, Jennifer Kurkoski, Cade Massey.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Choi, James J.
Contributor:
National Bureau of Economic Research.
Haisley, Emily.
Kurkoski, Jennifer.
Massey, Cade.
Series:
Working Paper Series (National Bureau of Economic Research) no. w17843.
NBER working paper series no. w17843
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2012.
Summary:
In randomized field experiments, we embedded one- to two-sentence anchoring, goal-setting, or savings threshold cues in emails to employees about their 401(k) savings plan. We find that anchors increase or decrease 401(k) contribution rates by up to 1.9% of income. A high savings goal example raises contribution rates by up to 2.2% of income. Highlighting a higher savings threshold in the match incentive structure raises contributions by up to 1.5% of income relative to highlighting the lower threshold. Highlighting the maximum possible contribution rate raises contribution rates by up to 2.9% of income among low savers.
Notes:
Print version record
February 2012.

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