The size and distribution of augmented wealth – A look at Austria and beyond

This paper contributes to the literature on augmented wealth (the sum of public pension entitlements and net wealth) along three dimensions. First, it provides new country-specific estimates of augmented wealth for Austria in the year 2017 by combining data from the HFCS (Household Finance and Consumption Survey) and the social security registry. Second, it shows that the main results, which are based on statistical matching, are surprisingly similar to estimates that utilize direct survey responses or information on work history. This finding suggests that international comparisons might be possible even if the results are based on different methodologies. Third, the paper also contrasts the size and distribution of augmented wealth for Austria with comparable estimates for other countries. The household averages of the present value of pension entitlements and of private net wealth turn out to be similar (both amounting to around € 250,000), which is in line with the results for other countries like Switzerland, Germany, and the US. Also, the reduction in the Gini coefficient due to the inclusion of pension entitlements (a decrease from 0.73 to 0.53) is similar for Austria in comparison to other countries.