How much is enough?

How big is your nest egg?

When it comes to super, size does count. Your employer's super contributions may not be enough if you want to be financially secure when you retire.

Find out approximately how much money you'll need when you stop working.

How much is enough?

How much extra money you contribute to your super depends on what you'll need to live off once you retire. The amount of super you need depends on:

  • How long you live
  • What type of lifestyle you want
  • Future medical costs

The table below will give you a rough idea of how much money you need to support a modest or comfortable retirement. It applies for people retiring at age 65 who will live to an average life expectancy of about 85. It assumes you own your home.

ASFA Retirement Standard Annual living costs Weekly living costs
Couple - modest $34,064 $653
Couple - Comfortable $58,922 $1,130
Single - Modest $23,651 $454
Single - Comfortable $42,893 $823

Another way to estimate how much money you will need in retirement is to assume you need 67% (two-thirds) of your income before you retire in order to maintain the same standard of living in retirement. This estimate is only suitable for above average income earners.

ASFA estimates the lump sum needed to support a comfortable lifestyle for a couple is $640,000 (or $545,000 for a single person) assuming a partial Age Pension. ASFA also estimates that because a modest lifestyle is mostly met by the Age Pension the lump sum required to support it for a couple is $35,000 ($50,000 for a single person).

Source: ASFA Retirement Standard, March Quarter 2016.

Work out how much you need

Use our retirement planner to find out how much money you'll have to put away now for your retirement.

Retirement planner

Knowing how much you'll need when you stop work is a good starting point. The key is to act now and do as much as you can to grow your super.


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Last updated: 02 Aug 2016