Total Defined Benefit Pension Entitlements Held by the Bottom 50% (1st to 50th Wealth Percentiles)
This dataset tracks total defined benefit pension entitlements held by the bottom 50% (1st to 50th wealth percentiles) over time.
Latest Value
480408.00
Year-over-Year Change
5.44%
Date Range
7/1/1989 - 1/1/2025
Summary
This economic trend measures the total defined benefit pension entitlements held by the bottom 50% of U.S. households by wealth. It provides insight into the retirement security of lower-income Americans.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
Defined benefit pension plans guarantee a fixed monthly payment during retirement, unlike defined contribution plans like 401(k)s. This metric tracks the aggregate value of these guaranteed pensions for the least wealthy half of the population.
Methodology
The data is calculated based on the Federal Reserve's Survey of Consumer Finances.
Historical Context
Policymakers and economists use this trend to assess the retirement readiness and financial stability of low-wealth households.
Key Facts
- The bottom 50% of U.S. households hold $3.1 trillion in defined benefit pension entitlements.
- Pension wealth is highly concentrated, with the top 10% of households holding over 70% of total entitlements.
- Defined benefit pensions provide a crucial source of guaranteed income for lower-wealth retirees.
FAQs
Q: What does this economic trend measure?
A: This trend measures the total defined benefit pension entitlements held by the bottom 50% of U.S. households by wealth. It provides insight into the retirement security of lower-income Americans.
Q: Why is this trend relevant for users or analysts?
A: This trend is relevant for understanding the financial stability and retirement readiness of lower-wealth households. Policymakers and economists use it to assess the distribution of guaranteed pension income in the U.S.
Q: How is this data collected or calculated?
A: The data is calculated based on the Federal Reserve's Survey of Consumer Finances.
Q: How is this trend used in economic policy?
A: Policymakers and economists use this trend to evaluate the retirement security of lower-income Americans and inform policies related to pensions, wealth distribution, and household financial stability.
Q: Are there update delays or limitations?
A: The data is updated every three years with the release of the Federal Reserve's Survey of Consumer Finances.
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Citation
U.S. Federal Reserve, Total Defined Benefit Pension Entitlements Held by the Bottom 50% (1st to 50th Wealth Percentiles) (WFRBLDBPB50), retrieved from FRED.