Millions of Australians are counting on their superannuation to support them in retirement, yet many could still be behind the amount needed for a comfortable lifestyle.
A healthy super balance can play a major role in retirement, helping cover regular household bills, healthcare, leisure activities and unexpected expenses after full-time work ends.
Checking how your superannuation compares with others in your age group can offer a useful guide. Figures from the Association of Superannuation Funds of Australia (ASFA), published by Rest Super, outline average balances by age and gender.
In your 40s
Men aged between 40 and 44 had an average superannuation balance of $140,680, according to the data. For women in the same age group, the average was $109,209.
Among Australians aged 45 to 49, men held an average of $193,501 in super, compared with $147,146 for women.
In your 50s
For those aged 50 to 54, the average super balance was $254,071 for men and $190,175 for women.
Millions of Australians are relying on superannuation to fund retirement, but many may not have saved enough for a comfortable lifestyle
Superannuation can help retirees meet everyday expenses, healthcare costs, leisure spending and unexpected bills
The average superannuation balance for men aged 55 to 59 was $319,743, while women in that age bracket had an average of $242,945.
In your 60s
For Australians aged 60 to 64, men had an average super balance of $395,852 and women had an average of $313,360.
Men aged 65 to 69 recorded an average balance of $448,518, compared with $392,274 for women.
How much super will you need in retirement?
ASFA measures retirement needs against two key benchmarks: a modest retirement and a comfortable retirement.
The comfortable retirement standard goes beyond covering basic needs. It is intended to allow retirees to manage day-to-day costs while also paying for travel, hobbies and social activities.
ASFA estimates that a single homeowner needs $55,923 a year for a comfortable retirement. Homeowner couples are estimated to require $78,566 annually.
Association of Superannuation Funds of Australia figures published by Rest Super show average super balances by age and gender
ASFA describes a modest retirement as a lifestyle slightly above one based solely on the Age Pension. It includes basic private health insurance, along with occasional social, leisure and recreational activities.
Homeowners seeking a modest retirement are estimated to need $36,434 a year for a single person and $52,473 annually for a couple.
How to catch up on your super
Rest Super says workers may wish to consider making extra superannuation contributions in addition to compulsory employer payments, depending on their individual circumstances.
Regular contributions, even when relatively small, may benefit from compound investment returns over time. However, investment returns are not guaranteed.
Rest Super also recommends reviewing your fund’s fees and investment performance regularly. Small differences in costs and returns can make a substantial difference to the final balance over several decades.
Rest Super says consolidating multiple accounts may help some members avoid duplicate fees and insurance premiums, but warns they should first check whether they would lose insurance cover or other benefits.
The figures are general benchmarks only and do not take into account individual circumstances. Australians should consider seeking licensed financial advice before making major changes to their superannuation.
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