First-Generation Immigrants in the United States: Retirement Strategies and Income Reporting Practices

Patino, Tabata

Peacock Scholarship

First-Generation Immigrants in the United States: Retirement Strategies and Income Reporting Practices

Public Deposited

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Abstract

This study examines the financial behaviors, retirement planning strategies, and Social Security engagement of first-generation immigrants in the U.S. Through a survey-based analysis, the research highlights key challenges, including limited knowledge of Social Security benefits, a predominant focus on short-term financial stability over long-term wealth accumulation, and the burden of financially supporting family members both locally and abroad. The findings indicate that while legal status correlates with high tax compliance, undocumented immigrants face significant barriers to formal employment and earnings reporting, which in turn impacts their contributions to the Social Security system. Additionally, gender disparities in employment and income reveal that female respondents earn less than their male counterparts, despite having higher education levels and equal English proficiency. This discrepancy is partially attributed to higher rates of part-time employment among women and a greater percentage of male respondents pursuing higher education. The study also explores the retirement intentions of different immigrant groups, showing that visa holders are more likely to retire abroad, while refugees, asylees, and many undocumented immigrants intend to remain in the U.S. These trends have significant implications for economic policy, Social Security sustainability, and immigrant integration efforts. Ultimately, this research underscores the need for targeted financial literacy initiatives, expanded legal pathways, and policies that enhance economic inclusion, ensuring that first-generation immigrants can transition from financial survival to long-term stability and wealth-building.

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