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Using fresh starts to nudge increased retirement savings

Author

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  • Beshears, John
  • Dai, Hengchen
  • Milkman, Katherine L.
  • Benartzi, Shlomo

Abstract

We conducted a field experiment to study the effect of framing future moments in time as new beginnings (or “fresh starts”). University employees (N = 6,082) received mailings with an opportunity to choose between increasing their contributions to a savings plan immediately or at a specified future time point. Framing the future time point in relation to a fresh start date (e.g., the recipient’s birthday, the first day of spring) increased the likelihood that the mailing recipient chose to increase contributions at that future time point without decreasing their likelihood of increasing contributions immediately. Overall, fresh start framing increased retirement plan contributions in the eight months following the mailing. Our findings represent the first experimental demonstration of the benefits of fresh start framing in a consequential field setting.

Suggested Citation

  • Beshears, John & Dai, Hengchen & Milkman, Katherine L. & Benartzi, Shlomo, 2021. "Using fresh starts to nudge increased retirement savings," Organizational Behavior and Human Decision Processes, Elsevier, vol. 167(C), pages 72-87.
    • Handle: RePEc:eee:jobhdp:v:167:y:2021:i:c:p:72-87
    DOI: 10.1016/j.obhdp.2021.06.005
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    References listed on IDEAS

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    Cited by:

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    3. Nurit Nobel & Michael Hiscox, 2026. "Enhancing climate resilience with proximal cues in personalized climate disaster preparedness messaging," Nature Human Behaviour, Nature, vol. 10(3), pages 505-513, March.

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