New Zealand and Ireland are the only OECD countries where public pensions have flat and universal payments, without second-tier schemes. As a result, they have the most progressive pension system (Figure 5). Other countries with highly progressive pension systems are Canada, the United Kingdom, Israel, Korea and the Czech Republic. Low-income earners tend to die at a younger age than high-income earners (e.g. Waldrom, 2007, Christia, 2007, Marmot and Shipley, 1996). Pension income is in general taxed at lower rates than work-related income because: i) the personal income tax is progressive and gross replacement rates are generally below 100%, ii) pensioners are often exempt from certain types of social security contributions or pay them at a reduced rate. Still, in 15 out of the 34 countries, taxes and social security contributions enhance the progressivity of pensions.