Australian superannuation balances rise as pension reliance falls

New research from the Association of Superannuation Funds of Australia (ASFA) indicates that Australians are becoming increasingly self-sufficient in retirement, with fewer people relying on the age pension. The proportion of people aged over 65 receiving a full or partial Centrelink pension has dropped to 56 per cent, down from 70 per cent in 2012.

For Australians aged 60 to 64 with superannuation, the average balance is $371,379. Within this demographic, men hold an average of $413,700, while women hold an average of $327,440. ASFA CEO Mary Delahunty attributed these growing balances to increasing superannuation guarantee rates and strong investment returns.

To achieve what ASFA defines as a ‘comfortable retirement,’ a single homeowner requires at least $630,000, while couples need a combined $730,000. The estimated annual cost for such a lifestyle is $55,923. To stay on track, individuals at different stages of their careers should aim for specific milestones: $70,500 for 30-year-olds, $178,000 for 40-year-olds, $313,500 for 50-year-olds, and $496,500 for 60-year-olds.