Everyone has a different idea of what their ideal retirement will look like. It can make it hard to answer one of the top questions that gets asked in super:

“How much do I need at retirement?”

If you’re aiming for champagne and caviar at every meal, you’ll need a very different amount to someone who expects to live on tap water and toast. (And if you’re looking to eat nothing but caviar or toast, you’ll need to make sure you’ve got access to good medical services!)

Luckily, the Association of Super Funds of Australia (ASFA) has put together guidelines to give people a broad idea of what you could need in your super at retirement at age 67 to live what they call a “comfortable” retirement or a more “modest” one. Plus, this year, for the first time, they have incorporated what someone who rents their home will need at retirement at 67 to live ‘modestly’.

What do you need to live ‘comfortably’?

At the age of 67, a couple will need about $690,000 between them to live comfortably.

A single person would need about $595,000.

These figures assume that you own your home and that you’ll access a part-Age Pension from the Australian Government.

What do you need to live ‘modestly’?

A modest retirement lifestyle will need about $100,000 in super at age 67, if you own your home. It’s the same amount, whether you’re a single person or a couple due to the way the Age Pension works.

If you rent your home, the amount you’ll need to live ‘modestly’ is $385,000 for a couple or $340,000 for a single person.

What’s the difference between living ‘comfortably’ and living ‘modestly’?

ASFA provides a great amount of information about what they use to calculate their ‘comfortable’ and ‘modest’ lifestyles.

The table below comes from their website and shows you what the difference in living standards are across a number of different areas of spending. They also include the lifestyle they would expect for someone who is living solely on the Age Pension.

Area of spending
Comfortable lifestyle
Modest lifestyle
Age Pension
Amount in super at retirement
(age 67)
  • $690,000 for a couple
  • $595,000 for a single person
  • $100,000 for home-owner single or couple
  • $385,000 for a renter couple
  • $340,000 for a renter single
Housing Home repairs, updates and maintenance to kitchen and bathroom appliances over 20 years Limited budget for home repairs and household appliances

OR

for a renter, a modest one- or two-bedroom apartment in a middle to outer ring suburb

Struggle to pay for repairs, such as leaky roofs or major plumbing problem
Transport Own a reasonable car, car insurance and maintenance and upkeep Own a cheaper, older, more basic car Limited budget to own, maintain or repair a car
Utility bills Confidence to use air conditioning in the home, afford all utilities Need to keep a close watch on all utility costs and make sacrifices Limited budget for home heating in winter
Health Top level private health insurance, doctor and specialist visits, pharmacy needs Basic private health insurance, limited gap payments No private health insurance
Leisure and hobbies Regular leisure activities including club membership, cinema, theatre and sport visits, exhibitions, dance/yoga classes Infrequent leisure activities, occasional trip to the cinema Rare trips to the cinema
Clothing and shoes Replace worn-out clothing and footwear items, modest wardrobe updates Limited budget to replace or update worn items Very basic clothing and footwear budget
Eating out Occasional restaurant meals, home-delivery meals, take-away coffee Limited meals out at inexpensive restaurants, infrequent home-delivery or take-away Only local club special meals or inexpensive take-away
Holidays Annual domestic trip to visit family, one overseas trip every seven years Annual domestic trip or a few short breaks Occasional short break or day trip in own city
Internet and phone Fast reliable NBN, computer and iPhone with good data allowance, streaming services Fast reliable NBN, computer and basic android mobile, modest mobile internet data allowance Very basic mobile and limited internet connectivity
Haircuts Regular professional haircuts Budget haircuts Less frequent haircuts, self-haircuts

If you want to see a much more in-depth breakdown of expected spending in these, and other, areas, you can view the Retirement Standard on the ASFA website. The Standard is updated quarterly and reflects the current trends in costs and spending. You can also find more information about the assumptions that ASFA have used to create their Standard on their website.

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