Pensions at a Glance 2017

OECD and G20 Indicators

image of Pensions at a Glance 2017

The 2017 edition of Pensions at a Glance highlights the pension reforms undertaken by OECD countries over the last two years. Moreover, one special chapter focuses on flexible retirement options in OECD countries and discusses people’s preferences regarding flexible retirement, the actual use of these programs and the impact on benefit levels.

This edition also updates information on the key features of pension provision in OECD countries and provides projections of retirement income for today’s workers. It offers indicators covering the design of pension systems, pension entitlements, the demographic and economic context in which pension systems operate, incomes and poverty of older people, the finances of retirement-income systems and private pensions.

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Gross pension replacement rates for different earnings profiles

The future gross replacement rate shown in indicator 4.2 for the average-wage worker assumes that this worker earns the average wage all along her or his career from age 20 (baseline case). The indicator here assumes a wage-age profile, with the relative wage increases until age 50. It computes the replacement rate assuming that over the whole career the average wage is the same as someone earning the average wage all along. Such a varying relative wage with age has little impact on replacement rates relative to the baseline case, with the average gross replacement rate remaining at 53%.

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