To retire comfortably in Australia, the amount of superannuation needed depends on the lifestyle desired. According to the Association of Superannuation Funds of Australia (ASFA) Retirement Standard estimates for age 67:
- For a modest retirement, a super balance of about $100,000 is needed (assuming Age Pension support).
- For a comfortable retirement, singles need approximately $595,000 and couples about $690,000 in super balance.
If retiring earlier at age 60, a single person may need about $515,000 in super for a comfortable retirement income, while a couple may need around $660,000. These figures assume a combination of super drawdown and Age Pension payments to fund retirement income. As a rough rule of thumb, aiming for two- thirds of the current yearly income in retirement super is another guideline to maintain the same standard of living, assuming the home is owned outright. For context, the average super balance desired by age varies, with about $571,000 targeted by age 65 for a comfortable retirement. Overall, the specific amount varies based on individual circumstances, desired lifestyle, home ownership, and eligibility for the Age Pension, but $595,000 to $690,000 is a common benchmark for a comfortable retirement for singles and couples respectively at the current retirement age of 67 in Australia.
