Figures released state nearly 50% of the population retiring between 2016 – 2055 will retire poor. They will not have enough to live comfortably.
Comfortable retirement equates to $58,000 per year for couples and $43,000 per year for singles. (Figures released for the Association of Superannuation Funds of Australia’s retirement standard)
The worst off will be women. 63% of women will fall $15,000 per year below what is needed to be comfort. Now factor in that women have a longer life expectancy. That is $288/week every week for the rest of your life.
Sadly this is already evident in the sharp rise of women aged 60+ who are now flooding into the homeless shelters. They no longer have partners or the income to support their lifestyles and need drastic intervention.
The Industry Super Australia’s chief executive officer David Whiteley said Australians were faced with the reality of having to work longer or retire with less, and face tight financial circumstances once they enter retirement.
Experts in the Super industry are quoted as saying:
“individuals need to take a proactive approach to fixing the shortfall”
“people will need to save more for their own retirement’’
- Now a few questions for you to ponder:
- How much do you have in your Super?
- What income per year will this give you?
- Will you retire debt free?
- How much will you need each year to live comfortably and enjoy all your free time? The free time you have worked your entire life to enjoy.
I implore you: think these questions through. Do not to make the mistake of expecting the ‘super’ system to deliver you a comfortable retirement.
You owe it to yourself and your family to find out exactly what you can and can’t do and what your options really are. Consult with an expert. From there you will be in the best position to make an informed decision on the next logical step in your ‘finance game’.
Couples require: $58,000 a year
Singles require : $43,000 a year.
Note: Based on a median income depending on person’s age and marital status, 2015 prices and retiring at age 65.