How much super is enough?

Working out how much money you will need in retirement depends on your personal situation. Not only does the amount of money you need depend on your lifestyle choices, but you may have some other income options in retirement (such as part-time work or payments from other investments) which will supplement your super.

But you need to think about how much you’ll need early enough to do something about it.

The Association of Superannuation Funds of Australia believes a single person needs an annual income of $42,433* and a couple needs $58,128* to live comfortably in retirement. To achieve this, depending on when you intend to retire, you would need to have in your super fund:

Now you may be thinking you can rely on the Government Aged Pension, but it’s only about $33,036 (effective 1 July 2014) per year in total for a couple and $21,913 for a single if you satisfy the eligibility requirements. So the chances are you’ll need more money to fund the lifestyle you want.

*Source: Association of Superannuation Funds of Australia Westpac ASFA Retirement Living Standard, ‘How much do you need to spend to have a comfortable standard of living in retirement’ June 2014.

How can I get more from my super?

This diagram shows a few ways you can increase your super. You may also want to look at the section on super if you’re self employed.

How you can increase your super



What to consider next

Speak to your financial adviser or choose an option here:

call us on Download pds Apply now

Colonial First State Investments Limited ABN 98 002 348 352, AFS Licence 232468 (Colonial First State) is the issuer of super, pension and investment products. This document may include general advice but does not take into account your individual objectives, financial situation or needs. You should read the relevant Product Disclosure Statement (PDS) carefully and assess whether the information is appropriate for you and consider talking to a financial adviser before making an investment decision. A PDS is available at colonialfirststate.com.au or by calling us on 13 13 36.

Taxation considerations are general and based on present taxation laws and may be subject to change. You should seek independent, professional tax advice before making any decision based on this information. Colonial First State Investments Limited is also not a registered tax (financial) adviser under the Tax Agent Services Act 2009 and you should seek tax advice from a registered tax agent or a registered tax (financial) adviser if you intend to rely on this information to satisfy the liabilities or obligations or claim entitlements that arise, or could arise, under a taxation law.

Past performance or awards are no indication of future performance.