Retiring at 60: Here’s How Much Superannuation You Will Need

Finally, you are just a few years from retiring. When you enter retirement, it is best to be adequately prepared. Proper preparation gives you peace of mind knowing you’re set for a happy and comfortable life. Many people feel that they are ready for retirement when they turn 60. This begs the question: how much superannuation do you need to retire at 60?

If this question has ever crossed your mind, the following article may be helpful for you. This article will cover just how much money you need to have in your super if you plan to stop working altogether when you reach the age of 60. 

Understanding What You Need

In a nutshell, you need to make sure that you have enough money to cover your everyday expenses for food, utilities, and other miscellaneous expenses that will continue despite not receiving your monthly wages. 

According to the Association of Superannuation Funds of Australia (ASFA), you need to have at least $545,000 to retire comfortably as a single person. As a couple, you’ll need to have $640,000 in your superannuation account. These conservative estimates assume that you’ll also receive a partial age pension from the federal government.

Pre-Planning

It pays to remember that you will incur different expenses after retirement. This only means that your budget will not look the same as it does now. Make sure you have the money to fund vacations and trips that you never got the chance to take when you were working. 

Aside from that, it would be prudent to consider what you will spend on medications, doctor’s visits, and other medical expenses. Pre-planning and anticipating your costs in this stage is critical. 

Adding Extra to Your Super

Based on the ATO rules in 2021, it is possible to add up to $27,500 to your super via concessional contributions and . Making small additional contributions may make a significant difference if you think your super will not be enough to cover all the expenses for your retirement lifestyle. However, it is still best to consult with a financial adviser to ensure that you take the proper steps to ensure that your super will be sufficient to pay for everything you need in retirement.

Consult the Experts

Thinking ahead for your retirement is the key to ensuring that your super will be enough to fund your retirement lifestyle. However, proper guidance and insight will give you an even better perspective. Speaking to a financial adviser will help ensure that you meet all your financial goals. A retirement planning adviser can outline all the steps and create a plan tailored to your unique situation. 

Retirement Planning Made Simple!

If you are planning to retire at 60, you must ensure that you will have enough money saved up in your super. This way, you won’t have a difficult time supporting all your needs and wants, including your medical expenses, along with any utility bills and other services that you will need to continue paying for after you retire. Working with an experienced financial adviser will ensure that you never run out of money during this stage in your life. 

Talk to the experts at Coastal Advice Ballina Byron if you need ethical superannuation advice! We offer trusted financial advice for Byron Bay, Ballina and the NSW North Coast. Book a complimentary meeting today!