New research reveals two-thirds of Australians unsure about superannuation preparedness
- Replies 22
As people age, the thought of retirement becomes increasingly significant, and with it, the concern for financial security during their golden years.
Many Australians, especially those who are part of the Seniors Discount Club, are concerned about this topic.
However, recent research has brought to light a concerning trend.
The Australian Retirement Trust (ART) revealed some startling figures that only 37 per cent of Australians feel knowledgeable about managing their super investment options and two-thirds of Australians are not confident that their superannuation is in a good position for their age.
This is particularly worrisome considering the same percentage are planning to retire within the next two decades.
Additionally, the research also indicated the specific among of superannuation needed for a comfortable retirement by age 67.
So, what does 'enough' look like?
According to ART, the benchmarks to aim for are an average of $59,000 by age 30 and $156,000 by age 40.
Anne Fuchs, ART's Executive General Manager of Advice, pointed out a stark reality: people are not engaging with their super.
‘The average balance of our more than 2.3 million members this month is $123,000. If they had $123,000 in cash on their dining room table, I think they would pay attention to it, and we want them to do the same with their super,’ Ms Fuchs explained.
However, these figures were significantly different from the findings of another research conducted by the Swedish loan broking group Sambla, which suggested that retirees in Australia need a minimum of $640,911 in retirement savings to retire comfortably.
The gender gap in superannuation was also evident, with women aged 25-34 having an average of $34,500 in their super, compared to $42,100 for men.
Alarmingly, the research also found that 22 per cent of people haven't checked their super account in the last year.
‘There are some easy fixes for this, the obvious ones being to actually check your account and have a rough idea of your balance—this will help you understand how you're tracking,’ Ms Fuchs suggested.
‘The next is to see where you should be at for your age. With two-thirds of Australians not feeling good about this, my advice is, don't put your head in the sand, have a look at it and see what you can do to improve, remember, it's your money.’
‘If you aren't feeling good about where your super is at, start looking at how your fund is performing, and what your investment mix looks like—is it the right risk level for your age and circumstances?’ she added.
As concerns about the state of Australians' superannuation grow, these new findings highlight additional concerns for many Aussies.
This sentiment reflects broader anxieties among retirees, with another study showing that two-thirds of them are feeling the pinch due to the increasing cost of living.
These findings underscore the pressing need for effective financial planning and support systems to ensure a secure retirement for all.
How do you feel about your super? Have you taken steps to ensure you're on track for a comfortable retirement? Share your experiences and tips in the comments below.
Many Australians, especially those who are part of the Seniors Discount Club, are concerned about this topic.
However, recent research has brought to light a concerning trend.
The Australian Retirement Trust (ART) revealed some startling figures that only 37 per cent of Australians feel knowledgeable about managing their super investment options and two-thirds of Australians are not confident that their superannuation is in a good position for their age.
This is particularly worrisome considering the same percentage are planning to retire within the next two decades.
Additionally, the research also indicated the specific among of superannuation needed for a comfortable retirement by age 67.
A new study revealed that two-thirds of Australians believe their superannuation is not adequately positioned for their age. Credits: Shutterstock
So, what does 'enough' look like?
According to ART, the benchmarks to aim for are an average of $59,000 by age 30 and $156,000 by age 40.
Anne Fuchs, ART's Executive General Manager of Advice, pointed out a stark reality: people are not engaging with their super.
‘The average balance of our more than 2.3 million members this month is $123,000. If they had $123,000 in cash on their dining room table, I think they would pay attention to it, and we want them to do the same with their super,’ Ms Fuchs explained.
However, these figures were significantly different from the findings of another research conducted by the Swedish loan broking group Sambla, which suggested that retirees in Australia need a minimum of $640,911 in retirement savings to retire comfortably.
The gender gap in superannuation was also evident, with women aged 25-34 having an average of $34,500 in their super, compared to $42,100 for men.
Alarmingly, the research also found that 22 per cent of people haven't checked their super account in the last year.
‘There are some easy fixes for this, the obvious ones being to actually check your account and have a rough idea of your balance—this will help you understand how you're tracking,’ Ms Fuchs suggested.
‘The next is to see where you should be at for your age. With two-thirds of Australians not feeling good about this, my advice is, don't put your head in the sand, have a look at it and see what you can do to improve, remember, it's your money.’
‘If you aren't feeling good about where your super is at, start looking at how your fund is performing, and what your investment mix looks like—is it the right risk level for your age and circumstances?’ she added.
As concerns about the state of Australians' superannuation grow, these new findings highlight additional concerns for many Aussies.
This sentiment reflects broader anxieties among retirees, with another study showing that two-thirds of them are feeling the pinch due to the increasing cost of living.
These findings underscore the pressing need for effective financial planning and support systems to ensure a secure retirement for all.
.png){kind=icon}
