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Australia

Retirement Planning Template for Australia

Map out your retirement - super balance, voluntary contributions, Age Pension eligibility, and projected expenses - in a Google Sheets template you own.

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Australia

Retirement Planning in Australia: Key Factors

Australian retirement planning centres on superannuation as the primary savings vehicle, supplemented by the means-tested Age Pension and personal savings.

1

Superannuation is the foundation

With 12% employer contributions compounding over a career, super is the primary retirement funding source for most Australians. The Association of Superannuation Funds of Australia (ASFA) suggests a comfortable retirement requires a super balance of $690,000 for a couple and $595,000 for a single (2024 figures). These are benchmarks - individual needs vary.

2

Preservation age and access rules matter

Super can't be accessed until preservation age (60 for those born after July 1964). After reaching preservation age, you can withdraw as a lump sum, start an income stream (account-based pension), or a combination. Withdrawals after 60 from a taxed super fund are generally tax-free. Planning around this access age is a key part of Australian retirement planning.

3

The Age Pension provides a safety net

The Age Pension (age 67) provides up to ~$1,144 per fortnight for singles or ~$1,725 for couples (2025 rates). It's means-tested on both income and assets. A super balance of roughly $301,750 (single homeowner) starts reducing the pension. Understanding where you'll fall on the means test helps project total retirement income.

4

Transition to retirement strategies

From preservation age, Australians can access super through a Transition to Retirement (TTR) income stream while still working. This can allow salary sacrifice into super (taxed at 15%) while drawing a TTR pension to supplement reduced salary. Some people use this in their late 50s to boost super while maintaining income.

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Getting Started

How to Set Up This Template for Australia

1

Enter your current super balance

Log into your super fund's online portal and enter your current balance. If you have multiple super funds (common if you've changed jobs), include all of them. The ATO's myGov portal shows all super accounts linked to your TFN.

2

Add contribution details

Enter annual employer contributions (12% of ordinary earnings), any salary sacrifice, and after-tax contributions. Note the $30,000 concessional cap and $120,000 non-concessional cap. The template tracks progress against these limits.

3

Estimate Age Pension eligibility

Based on your projected super balance and other assets at age 67, estimate whether you'll qualify for a full, partial, or no Age Pension. Services Australia's online estimators can help. Include any pension income as part of your retirement plan.

4

Project retirement expenses

Estimate monthly retirement costs. ASFA's retirement standard benchmarks can help: a comfortable retirement for a couple is roughly $72,000/year, modest is around $46,000/year (2024 figures). Your target depends on lifestyle, location, and whether your home is paid off.

5

Consider the pre-60 and post-60 phases

If planning to reduce work before 60, you'll need non-super savings to bridge the gap. After 60, super withdrawals are generally tax-free. The template can map both phases to ensure sufficient funds throughout.

Common Questions

Retirement Planning Template for Australia - FAQ

When can I access my super?

Preservation age is 60 for those born after July 1, 1964. After 60, you can access super as a lump sum, income stream, or both - generally tax-free from a taxed super fund. Before 60, access is limited to specific conditions (severe financial hardship, permanent disability, etc.).

How much super do I need to retire comfortably?

ASFA's comfortable retirement standard suggests around $595,000 for singles and $690,000 for couples (assuming you own your home and qualify for a part Age Pension). These are benchmarks - your number depends on lifestyle, location, health, and Age Pension eligibility.

Should I consolidate my super funds?

Multiple super accounts mean multiple sets of fees, which erode your balance. Consolidating into one fund (through the ATO's myGov portal) often reduces fees. However, check for any insurance policies attached to old funds - consolidating may cancel that coverage.

Will I get the Age Pension?

It depends on your assets and income at age 67. As a rough guide, single homeowners with assets under $301,750 (excluding the home) receive the full pension. Above that, the pension reduces by $3 per fortnight for every $1,000 of assets over the threshold. Your super balance counts as an asset.

Can I retire before 60?

Yes, but you'll need non-super savings to cover living expenses until you can access super at 60. Some people build investments outside super specifically for this bridge period. The template helps calculate how much you need in both super and non-super accounts.

Is salary sacrificing to super worth it?

Salary sacrifice contributions are taxed at 15% inside super, compared to your marginal tax rate outside super. For someone in the 30% or 37% bracket, the tax saving is meaningful. However, the money is locked until preservation age. Whether it's worth it depends on your current tax rate and when you need access to the funds.

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