Post-Retirement Financial Planning In Indonesia: A Comparative Study Based On Demographic Location, Educational Attainment, Generational Cohorts, And Occupational Class

Abstract

This study examines post-retirement financial planning in Indonesia through a comparative lens, focusing on demographic location, educational attainment, generational cohorts, and occupational class. The primary objective is to investigate how these socio-demographic variables influence retirement preparedness, investment behavior, and financial self-efficacy among individuals aged 50 years and above. Employing a quantitative research design, the study utilized a structured questionnaire distributed to 150 respondents across urban and suburban regions, followed by statistical analyses including descriptive statistics, t-tests, ANOVA, and multiple regression using SPSS v29. The findings reveal significant disparities in retirement preparedness: urban residents, highly educated individuals, and white-collar professionals consistently demonstrated higher financial readiness compared to their suburban, less-educated, and blue-collar counterparts. Generational differences were also evident, with Baby Boomers and Generation X exhibiting greater preparedness relative to Millennials and Generation Y, who often struggled with unstable labor markets and lower pension engagement. Multiple regression results indicate that educational attainment and generational cohort are the strongest predictors of retirement readiness, with demographic location and occupational class also exerting meaningful influence. Beyond structural factors, psychological readiness and investment behavior emerged as critical determinants, highlighting the role of financial self-efficacy. The study concludes that retirement preparedness in Indonesia is unevenly distributed and shaped by systemic inequalities. These findings underscore the need for inclusive financial education programs, policy reforms extending pension coverage to informal workers, and behavioral interventions that enhance financial literacy and self-confidence in long-term planning.