How much super you will need is a very personal issue and comes down to a number of factors including how you would like to spend your retirement.
However, as a guide, the Association of Superannuation Funds of Australia (ASFA) tracks the cost of living in retirement. The latest figures suggest a couple wanting a comfortable lifestyle in retirement will need $60,457 each year while a single person will need $44,011 each year1.
The Australian Government’s Age Pension can provide you with income support and access to a range of concessions.
To be eligible you must:
You can learn more about the eligibility criteria for the Age Pension on the Department of Human Services’ website. If you are eligible, you may be able to top up the income you receive from your super with Age Pension payments.
Keep in mind opening, closing or starting a Pension account through your super fund could impact how much Age Pension you receive. If you apply for the Government Age Pension, 100% of your Pension account balance will be included in the assets test.
1. ASFA Retirement standard September Quarter 2017. The figures in each case assume that the retiree(s) own their own home, are around the age of 65 and relate to expenditure by the household. This can be greater than household income after income tax where there is a drawdown on capital over the period of retirement. Single calculations are based on female figures.
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Use our retirement income calculator to get an idea of your future finances.
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