The retirement you imagine probably doesn’t involve tight budgets and a lot of sacrifice, but do you know exactly how much super will you need to live comfortably?
With life expectancies much higher these days, you’ll probably need to budget for at least 20 to 30 years in retirement, so it will really depend on the type of lifestyle you want to lead.
In this short video (1.40), Ant from AMP discusses how the priorities you have in retirement will influence how much super you need. He also talks about some tools that'll help you crunch the numbers to see if you're on track to reaching your super goal.
We’re here to assist
For more information:
- Learn more about the basics of super, the different types of super contributions and how consolidating your super could minimise the fees you pay
- Try our super simulator to see if you’re on track to achieving your retirement savings goals
- See how additional contributions can grow your balance with our salary sacrifice calculator
- Find the right financial adviser for you.
About this video
In this video Ant from AMP looks at how much super is enough to retire on comfortably.
He explains that it really depends on what type of retirement you want—it could involve travelling or living overseas, but it probably doesn’t involve tight budgets and a lot of sacrifice.
Most of us want to be in a position where we can draw on super, relax and enjoy.
As life expectancy in Australia continues to increase, you’ll probably need to plan for at least twenty to thirty years in retirement.
For that reason it’s important to sit down sooner rather than later to crunch the numbers and see how much money you’re going to need to get there.
To get a rough idea of the amount of money you’ll need to achieve a comfortable lifestyle, it’s estimated that if you were to retire today most Australians would need about $43,000 a year while couples would need around $59,000 a year.
To help you work out if you’re putting enough into your super for retirement, there are lots of online tools you can use.
For example, AMP’s My Super Simulator will give you an idea of how much super you need in retirement and how you’re tracking towards it.
Obviously, you’ll have to consider your own situation before making any financial decisions and it’s worth seeking tax and financial advice if you need help working out a plan that suits you.
We look at the average super balances for different age groups in Australia so you can see how your super savings compare.