How much will I need

Australians are living longer due to many factors including increasing quality of life and advances in medical technology. Governments are aware of this trend and the burden it will place on future generations to provide pensions for an ageing population. Consequently, generous taxation incentives are provided encouraging people to make provisions for their own retirement through superannuation.

How much you need to retire will depend on your lifestyle expectations, but in general terms an income of around 60% of your pre-retirement income should provide a reasonably comfortable lifestyle, if you own your home and have no debt when you retire. To provide this income you will need to start generating income from the investments and assets that you have accumulated over your working life.

A MAP Financial Planner can help you identify your specific needs and goals and give you sound advice on a range of investment and retirement options to ensure you are more likely to meet your lifestyle expectations.

For assistance on how much you will need to save to reach retirement goals, use the superannuation calculator at Australian Securities & Investment Commission (ASIC) Superannuation.