October 21 2024
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Have you ever wondered how your super compares with people your age? Use this guide from the Association of Superannuation Funds (ASFA) to see if your super is on track with the average account balance across your age group and gender.
Average super balances by age and gender
| Under 18 |
$7,666 |
$5,088 |
| 18-24 |
$8,069 |
$7,297 |
| 25-29 |
$25,407 |
$23,273 |
| 30-34 |
$53,154 |
$44,053 |
| 35-39 |
$90,822 |
$71,686 |
| 40-44 |
$131,792 |
$102,227 |
| 45-49 |
$180,958 |
$136,667 |
| 50-54 |
$237,084 |
$176,824 |
| 55-59 |
$301,922 |
$228,259 |
| 60-64 |
$380,737 |
$300,717 |
| 65-69 |
$428,533 |
$379.483 |
| 70-74 |
$474,898 |
$422,348 |
| 75 or more |
$487,525 |
$416,279 |
Source: ASFA, 16 September 2024
Keep in mind that this table shows a difference in super balances between genders across age groups. Women in their early 60s still retire, on average, with less super than men the same age. This is due to several reasons, including taking time out of the work force for caring, as well as taking on a greater amount of unpaid work at home.
We believe that every Australian is entitled to the same comfort and security in retirement regardless of their gender. Which is why you can find tools, advice, and super-boosting strategies in this article and across the Rest website (including our Women and Super webpage) to empower you to help level the playing field between men and women’s super.
How much do you need in your super for your retirement?
The amount you will need to retire will be different for everyone according to your target retirement age and goals. The ASFA defines two retirement lifestyles:
- Comfortable retirement – budgets for a “good” standard of living, including meeting everyday needs, enjoying health and leisure activities, and staying close to family and friends through technology and regular trips.
- Modest retirement - budgets for a lifestyle slightly above the Age Pension, including affording basic health insurance and infrequent exercise, leisure and social activities with family and friends.
As a guide, the ASFA2 suggests the minimum annual amount required for a ‘comfortable retirement’ is:
- $52,085 p.a for singles
- $73,337 p.a for couples
Alternatively, ‘modest retirement’ offers a slightly higher quality of life than what the Age Pension offers. For this, ASFA suggests:
- $33,134 p.a for singles
- $47,731 p.a for couples
The numbers above are correct for the June 2024 quarter.
Keep in mind these benchmarks only apply to retirees aged 65-84 who own their own home outright and are considered “relatively healthy”.
Calculate now
To get a more personalised idea of how much super you could have to spend in retirement and how long it may last, visit Rest’s Superannuation Calculator.
What if your super balance is lower than the AFSA Retirement Standard?
Firstly, don’t worry, there may be many things you can do now to improve your super. These numbers are simply a guide – it doesn’t consider your individual circumstances and work arrangements. For example, you may have less in your super if you:
- took a career break for personal reasons
- are or were a casual, part-time, or freelance worker
- withdrew funds from your super during COVID-19
So, while super isn’t something you should put on the backburner, don’t panic if you have less than the official recommendations as super isn’t a ‘one size fits all’ situation. If you think your super could use a boost, here are a few realistic ways to enhance your future savings:
- Consider topping up your super – Adding small after-tax contributions to your super regularly could mean more for your retirement down the track. Bonus: you might also be able to benefit from tax breaks – speak to a tax adviser for professional advice about this
- Take control of your super – It’s a good idea to review your super fund’s fees and performance regularly. Even small differences in both investment performance and fees and costs can have a substantial impact on your long-term returns. When looking at the investment performance of a super fund, Moneysmart3 reckons people should compare long-term returns over at least 5 years.
Consider consolidating your super – According to the Australian Taxation Authority (ATO)4, around 4 million individuals hold 2 or more super accounts. If you’re one of them, combining your super may mean avoiding multiple sets of fees and insurance premiums*.
* Before combining your super, consider which fund is right for you. Check out the fees and costs of your other fund plus any benefits that would be lost, such as insurance cover. Make sure your other fund knows about any contributions you intend to claim a tax deduction for, before combining. Speak to a licensed financial adviser or visit the ASIC MoneySmart website for more information.
