There are compelling reasons for policy reforms that would encourage later retirement, but one important drawback to many reforms is that they would adversely affect the household incomes of the many workers who experience large involuntary earnings losses as they approach retirement. Employment Support for the Transition to Retirement (ESTR) is a set of supports designed to encourage and help such workers increase their earnings and postpone reliance on their retirement benefits until the benefits are larger. This paper describes the need for such a program; presents options with respect to eligibility and benefit design; considers the potential cost, financing, and administration of the program; and compares the approach embodied in ESTR with other approaches designed to address the needs of those most adversely affected by retirement policy reforms.
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