There is only an approximate correspondence between transfers paid to “elderly” and “non-elderly” age groups and the functional classification used in the OECD social expenditure data. A considerable share of spending on old-age benefits is received by those drawing retirement benefits before they reach the age of 65. At the same time, a part of expenditures in the categories “incapacity related”, “housing” or “other social policy areas” may provide income support to the elderly. The decline is somewhat smaller, but still substantial, when early retirement benefits are included. The statistical data for Israel are supplied by and under the responsibility of the relevant Israeli authorities.