The data used in this fact sheet are from Hewitt Associates, a benefits consulting firm. The number of observations available for 1996 and 1993 were larger, although the amounts distributed were smaller. The data show that rollover propensities increase with the size of the distribution, i.e., the larger the distribution, the more likely it will be preserved in a tax-qualified vehicle.
Analogous findings emerge when the analysis focuses on the dollars distributed.
The likelihood of rollover is also positively correlated with the recipient's age. Sixty-four percent of the dollars distributed to recipients in their 20s were rolled over. This figure increased to 89 percent for workers in their 50s. The same trend emerges when the fraction of dollars distributed is examined over time.