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Planning for retirement is one of the most important financial decisions Australians make. Knowing how much super you need to retire comfortably can feel overwhelming, but it all comes down to your lifestyle expectations, relationship status, and how long you expect to live off your super.
In this blog, we break down what a comfortable retirement looks like in Australia, how much money should be going into your super, the realities of the current economy, and actionable strategies to improve your retirement savings.
What Is Considered a Comfortable Retirement in Australia?
According to the Association of Superannuation Funds of Australia (ASFA), a comfortable retirement means being able to enjoy leisure activities, travel occasionally, afford good healthcare, and have enough to cover everyday expenses without financial stress.
In 2025, the estimated super balances required for this standard of living are:
- Single person: Around $600,000
- Couple: Around $700,000
These figures are based on retirees owning their home outright and being eligible for a part-Age Pension. However, with rising living costs, many experts suggest these numbers may need to be higher by the time younger Australians retire.
Use our superannuation calculator to get a better idea of how much super you’ll need to retire based on your unique circumstances.
How Much Money Should Be Going Into My Super?
The current super guarantee (SG) rate in Australia is 11% of your ordinary earnings, contributed by your employer. This will increase to 12% by 2025.
But the real question is: how much money should be going into my super to meet retirement goals?
For most people, employer contributions won’t be enough. That’s why making additional contributions early on—whether through salary sacrifice or after-tax top-ups—can make a huge difference over time.
Using a super retirement calculator in Australia can help you see how different contributions today impact your future nest egg.
How the Economy and Cost of Living Impact Your Super
Rising inflation, increasing property prices, and higher living costs all affect how far your super will stretch in retirement.
Retiring in 10, 20 or 30 years’ time means adjusting your expectations. What seems like a decent amount today might not go as far in the future. For example, $700,000 in super today might have the spending power of only $500,000 in 15 years.
Taxes also play a part. If you withdraw super before age 60 or outside of a tax-free pension phase, you may face tax implications.
Factoring in inflation and taxes is essential when calculating your retirement targets. Our retirement planning experts can help ensure your super plan is future-proof.
Super for Singles vs Couples
Singles generally need more per person than couples, due to the lack of shared costs. While a couple might manage with $700,000 combined, a single person often needs $600,000 or more on their own.
Couples benefit from economies of scale—sharing housing costs, bills, and lifestyle expenses. Singles might need to plan for higher day-to-day costs and ensure their super contributions reflect that.
Can I Rely on Super Alone?
Super is a great foundation, but many Australians supplement it with additional income sources like:
- Shares and investments
- Rental property income
- Savings and term deposits
- Selling a business or assets
To build a broader strategy around retirement income, speak to a financial advisor or use our superannuation resources to weigh your options.
How Can I Improve My Super?
A question we hear often is: how can I improve my super before retirement?
Here are some smart, effective ways:
- Salary Sacrifice – Allocate part of your pre-tax income into super. This reduces your taxable income and boosts your balance.
- After-Tax Contributions – Make voluntary contributions from your take-home pay. You may also be eligible for a government co-contribution.
- Spouse Contributions – Help a lower-earning spouse grow their super, which can also reduce your own tax.
- Super Fund Review – Compare fund performance and fees to make sure you're in a strong-performing fund.
- Consolidate Accounts – Avoid paying fees on multiple accounts by rolling them into one.
If you’re unsure how to begin, our financial advisors in Melbourne can guide you through each step.
Ready to Take Control of Your Retirement Plan?
So, how much super do I need to retire? It depends on your lifestyle, goals, relationship status, and future cost of living. But one thing is certain: the earlier you start planning, the better.
If you’re still asking yourself how to plan retirement effectively, Inovayt can help. Our expert team is here to support you at every stage—from picking the right super strategy to mapping out your broader financial future.
Speak to one of our financial advisors today and take control of your retirement with confidence.
FAQs
What happens to my super if I move overseas before retirement?
If you permanently move overseas, your super stays in Australia unless you're a temporary resident. You won't be able to access it until you reach preservation age, unless you qualify for an early release. It's worth checking how your residency status and the tax laws of your new country could impact your super savings.
Can I access my super early if I plan to retire before age 60?
Generally, you can only access your super once you've reached your preservation age and retired. However, there are limited circumstances that allow early access—like severe financial hardship or medical conditions. Planning an early retirement? It's essential to understand the tax implications and whether you'll have enough saved.
How do I choose the right investment option within my super fund?
Most super funds offer options like conservative, balanced, or high growth. Your choice should reflect your age, risk tolerance, and retirement timeline. Younger individuals might benefit from high-growth options, while those nearing retirement often shift to lower-risk investments. Not sure what's best? A financial advisor can help tailor your investment mix.
