How much you’ll need in retirement will depend on your own circumstances and the type of lifestyle you’re after.
As a guide, the Association of Superannuation funds of Australia (ASFA) puts dollar amounts, released quarterly, on how much retirees may need to fund a ‘comfortable’ retirement. Access the latest figures here.
A more individualised way of working out a dollar amount might be to calculate how much of your annual after-tax income you’ll need when you retire and then fine-tune that figure depending on the type of lifestyle you want in retirement. Don’t forget to factor in both inflation and life expectancy. After all, Australians are living longer and healthier lives than ever before. As with any big decision, you may want to seek professional advice from a financial adviser.