WHO SAVES FOR RETIREMENT? SOCIO-ECONOMIC DETERMINANTS OF VOLUNTARY RETIREMENT SAVINGS IN SLOVAKIA

MICHAELA SAMSELYOVÁ

https://doi.org/10.53465/ER.2644-7185.2026.2.91-122

Abstract: Rising demographic pressure on public pension systems and the expected decline in wage replacement rates are increasing the importance of individual retirement savings, as insufficient private provision may lead to a decline in living standards in old age. This issue is particularly relevant in the Slovak Republic, which ranks among the most rapidly aging populations in Europe. The aim of this paper is to identify the demographic and socio-economic determinants of voluntary retirement saving. The empirical analysis draws on microdata from the Slovak wave of the 2021 Household Finance and Consumption Survey (HFCS) and focuses on economically active individuals aged 18-64. The determinants of participation are estimated using a binary logistic regression model. The results indicate that the probability of participation follows a nonlinear life-cycle pattern, peaking in middle age. Tertiary education, partnership status, employment in the public sector, and ownership of a second property are positively associated with participation. In contrast, the presence of a retiree in the household is negatively associated with voluntary retirement saving. The findings provide empirical evidence relevant for policies aimed at strengthening financial preparedness for retirement, particularly among younger, lower-educated, and low-income households.

Keywords: voluntary retirement savings, retirement behavior, socioeconomic determinants, household financial behavior, population aging

JEL Classification: J11, J26, J32

Fulltext: PDF

Online publication date: 29 June 2026

To cite this article (APA style):

Samselyová. M. (2026). Who saves for retirement? Socio-economic determinants of voluntary retirement savings in Slovakia. Economic Review, 55(2), 91-122. https://doi.org/10.53465/ER.2644-7185.2026.2.91-122

Publisher: Bratislava University of Economics and Business

ISSN 2644-7185 (online)

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This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.