In this study, we review the connection between individuals private wealth and their timing of the retirement. The study begins with a review of related international literature. In the second section, we describe how Finnish citizens have responded when asked about the impact of their wealth on the timing of their retirement. In the third section of the study, we construct a life cycle model of an individuals savings and retirement decisions. When making these decisions, the models individual will take into consideration the earnings-related and national pension benefits and uncertainties relating to future earnings. Using the model, we examine, among other things, to what extent the incentive effects of certain pension reforms that aim to prolong careers depend on personal wealth.
