ABSTRACT
The goal of pension policy is to provide an income for people no longer in work; however, the discussion often focuses on public finance rather than people. Retirement withdraws one source of income from an older person, but it does not free a person from the need for money. To understand how older people secure the goods and services they require, one need to think of people having a portfolio of economic resources, of which a state-guaranteed social security pension is but one element. The goal of older people is to maintain their independence, both physical and financial. Older people live in households that combine a portfolio of resources, monetized and non-monetized. The adequacy of economic resources is a function of household needs as well as resources. Only 20% of the population in economic difficulties are in households with people age 60 or above.
