Scared to stop: 12 million Aussies concerned about retirement
Dreams of departing the day job are out of reach for many Australians, according to new research by Finder.
A nationally representative survey of 1,057 Australians found 3 in 5 (62%) Aussies – equivalent to over 12 million people – are concerned about not having enough money in retirement.
A worrying 28% admit they don't think they'll have enough superannuation to stop work.
Just 18% of respondents believe they have amassed enough money to retire comfortably.
Alison Banney, superannuation expert at Finder, said insufficient superannuation is a growing problem.
"Millions of Australians are not actually able to save enough to walk away from their jobs.
"Most people aspire to retire in their mid-60s – but many don't have enough for a comfortable retirement.
"The cost of living crisis has made it especially hard to plan for."
Men are much more assured about their ability to afford to retire, with 26% confident they have enough money to live well in retirement, compared to only 11% of women.
Finder's research revealed only 18% of Australians make additional salary sacrificed contributions to their superannuation.
Those who are putting away extra savings are contributing $713 a month on average.
One-third of Australians (34%) said they will "manage" but will have to cut back on spending.
Banney urged Aussies to pump up their retirement nest egg as soon and as regularly as possible.
"If you're able to contribute a little bit extra to your super now, it will make a big difference by the time you retire.
"Making extra contributions isn't the only thing you can do, though. The first step is to make sure you're in a super fund that has low fees and a history of strong long-term performance.
"It's also important to make sure you've only got one super fund in your name, so you're not losing thousands of dollars to multiple sets of fees.
"If you have more than one, consolidate them as soon as possible."
|Are you concerned about not having enough money to get by in retirement?|
|Yes, I'll have enough to get by but will probably have to cut back on my spending||34%|
|Yes, I don't think I'll have enough to get by||28%|
|No, I'll never think about it||19%|
|No, I've got enough money to live well in retirement||18%|
|Source: Finder survey of 1,057 respondents, September 2022|
- Finder's Consumer Sentiment Tracker is a monthly recurring nationally representative survey of more than 30,000 respondents.
- The Consumer Sentiment Tracker is owned by Finder and operated by Qualtrics, an SAP company.
- The survey has been running monthly since May 2019.
You can compare superannuation funds for free at Finder.