This research explored the effect of financial knowledge on workers' expectations of never retiring. We extended previous research on factors related to workers stating that they would never retire, by analyzing the impact of financial knowledge variables on the expectation. Financial knowledge, the ability of an individual to better allocate lifetime resources, includes objective financial knowledge (the actual understanding of financial matters) and subjective financial knowledge (people’s perceived financial knowledge). The objective financial knowledge was based on three financial knowledge questions. In the descriptive analyses, the rate of people reporting never retiring was significantly related to objective financial knowledge, with the rate being 25% for those who answered all financial knowledge questions incorrectly, compared to 12% for those who answered all questions correctly. For subjective financial knowledge, those who perceived their financial knowledge to be low had a never retire rate of 23%, compared to a rate of about 14% for those who had average subjective financial knowledge.  However, in logistic regressions, the objective and subjective financial knowledge variables did not have significant effects after we control household characteristics, financial situation, and financial attitude.

Accepted Oral Presentation