Determination of Contribution Rates in the Retirement System of an Institution of Higher Education Through an Optimization Model

Benítez, Marco Antonio Montufar; Esparza, José Raúl Castro; Gress, Eva Hernández; Reyes, José Luis Mota; Rivera-Gómez, Héctor; Acosta, Octavio Castillo

doi:10.1007/978-3-030-76307-7_4

Production Research

2021

DOI: 10.1007/978-3-030-76307-7_4

|View full text |Cite

Determination of Contribution Rates in the Retirement System of an Institution of Higher Education Through an Optimization Model

Marco Antonio Montufar Benítez

José Raúl Castro Esparza

Eva Hernández Gress

et al.

Help me understand this report

Search citation statements

Order By: Relevance

Paper Sections

Select...

Citation Types

Supporting

Mentioning

Contrasting

Year Published

2024

Publication Types

Select...

Article1

Relationship

Self Cite0

Independent1

Authors

Journals

Cited by 1 publication

References 2 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

A simulation model to analyze the behavior of a faculty retirement plan: a case study in Mexico

Montufar-Benítez,

Mora-Vargas,

Soto-Campos

et al. 2024

Comput Stat

View full text Add to dashboard Cite

The main goal in this study was to determine confidence intervals for average age, average seniority, and average money-savings, for faculty members in a university retirement system using a simulation model. The simulation—built-in Arena—considers age, seniority, and the probability of continuing in the institution as the main input random variables in the model. An annual interest rate of 7% and an average annual salary increase of 3% were considered. The scenario simulated consisted of the teacher and the university making contributions, the faculty 5% of his salary, and the university 5% of the teacher’s salary. Since the base salaries with which teachers join to university are variable, we considered a monthly salary of MXN 23 181.2, corresponding to full-time teachers with middle salaries. The results obtained by a simulation of 30 replicates showed that the confidence intervals for the average age at retirement were (55.0, 55.2) years, for the average seniority (22.1, 22.3) years, and for the average savings amount (329 795.2, 341 287.0) MXN. Moreover, the risk that a retiree of 62 years of age and more of 25 years of work, is alive after his savings runs out is approximately 98% and this happens at 64 years of age.

show abstract

A simulation model to analyze the behavior of a faculty retirement plan: a case study in Mexico

Montufar-Benítez,

Mora-Vargas,

Soto-Campos

et al. 2024

Comput Stat

View full text Add to dashboard Cite

show abstract

scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.

Contact Info

customersupport@researchsolutions.com

10624 S. Eastern Ave., Ste. A-614

Henderson, NV 89052, USA

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Blog Terms and Conditions API Terms Privacy Policy Contact Cookie Preferences Do Not Sell or Share My Personal Information

Made with 💙 for researchers

Part of the Research Solutions Family.

Determination of Contribution Rates in the Retirement System of an Institution of Higher Education Through an Optimization Model

Cited by 1 publication

References 2 publications

A simulation model to analyze the behavior of a faculty retirement plan: a case study in Mexico

A simulation model to analyze the behavior of a faculty retirement plan: a case study in Mexico

Contact Info

Product

Resources

About