If you are in your 50s or 60s and starting to think seriously about retirement, one question likely keeps coming back to you: do I have enough super?
You are not alone. A recent survey found that 21% of Australians say they will worry about retirement later, and 19% admit they have no idea where to start. Meanwhile, headlines regularly declare that you need $1 million in super to retire comfortably. The reality is far more nuanced, and for many Australians, the number is lower than you might expect.
This guide breaks down the latest retirement benchmarks, explains how the age pension interacts with your super, and outlines practical steps you can take right now to strengthen your position.
What the Experts Say: 2026 Retirement Benchmarks
Two key organisations publish retirement income benchmarks in Australia, and they paint quite different pictures.
ASFA Retirement Standard (Updated December 2025 Quarter)
The Association of Superannuation Funds of Australia (ASFA) estimates the annual income and lump sum super balance needed for either a modest or comfortable retirement. These figures assume you own your home outright and are in good health at age 67.
A comfortable retirement under ASFA includes top-level private health insurance, a newer car, regular dining out, domestic travel each year, and an overseas trip roughly every seven years.
Super Consumers Australia
Super Consumers Australia, an independent consumer advocacy group, takes a different approach. Rather than describing an aspirational lifestyle, they base their numbers on what Australian retirees actually spend, using Bureau of Statistics data.
Their finding: a single homeowner retiree spending at a medium level needs approximately $322,000 in super. For couples, the figure is around $432,000.
Key takeaway: The gap between $322,000 and $630,000 is not about right or wrong. It reflects different lifestyle expectations. What matters is understanding which benchmark aligns with your goals.
The Age Pension Does a Lot of Heavy Lifting
Many Australians underestimate how much the age pension contributes to retirement income. As of March 2026, the full age pension pays approximately:
At the medium spending level estimated by Super Consumers Australia, roughly 67% of a single retiree’s income comes from the age pension. Your super supplements the pension rather than replacing it entirely.
However, eligibility depends on both income and asset tests. If your combined assessable assets (excluding your home) exceed approximately $722,000 as a single homeowner or $1,085,000 as a couple, you will generally not qualify for any pension in 2026.
This is where professional advice becomes critical. Small differences in how you structure your assets, the timing of your retirement, and how you draw down your super can mean thousands of dollars a year in pension entitlements.
Why the Number Keeps Getting Bigger
Several factors are pushing recommended super balances higher than they were even five years ago.
Longer life expectancy. Australians retiring at 67 may need income for 25 to 30 years. Compared with a few decades ago, people are less likely to die in their 60s and 70s and more likely to live well into their 80s and 90s.
Rising living costs. The costs that hit retirees hardest, including insurance, utilities, council rates, healthcare, and groceries, have been rising faster than general inflation. The age pension is indexed to CPI, but retiree-specific costs have outpaced it.
Higher deeming rates. Recent increases to deeming rates mean your assessed income can rise even if your actual investment returns have not changed. This can reduce your age pension entitlement without your circumstances changing at all.
Housing uncertainty. All major benchmarks assume you own your home outright. Research shows the share of Australians aged 55 to 64 still carrying mortgage debt has tripled since 1990. If you are renting or carry a mortgage into retirement, you will need significantly more.
Where Do Real Australians Stand?
The latest data from the Australian Prudential Regulation Authority shows that average super balances for Australians approaching retirement are:
The gender super gap remains significant at approximately 25%, driven by the pay gap compounding over a working lifetime and career breaks. Women also live longer on average, meaning their savings need to stretch further.
If your balance is below the comfortable benchmark, that does not mean a good retirement is out of reach. It means having a clear strategy is essential.
Practical Steps You Can Take Now
1. Get clear on your actual spending. Forget the headlines. Map out what you spend now, remove work-related costs, and think about what retirement looks like for you specifically. The free MoneySmart Retirement Planner is a useful starting point.
2. Check your super balance and consolidate. If you have multiple super accounts, you may be paying multiple sets of fees and insurance premiums. Use your myGov account to find and consolidate lost super.
3. Maximise your contributions before 30 June. The concessional contributions cap for 2025/26 is $30,000. If you have unused cap amounts from previous years and your total super balance is under $500,000, you may be able to carry forward and contribute more. Unused amounts from the 2020/21 financial year expire permanently on 30 June 2026.
4. Understand how the age pension interacts with your super. The difference between a full pension, a part pension, and no pension can be tens of thousands of dollars a year. Asset structuring, the timing of when you start drawing super, and whether you use an account-based pension all affect your entitlements.
5. Consider your housing situation. If you still have a mortgage, factor repayments into your retirement budget. If you are considering downsizing, the downsizer contribution allows you to contribute up to $300,000 per person from the sale of your home into super, regardless of your total balance or age (provided you are 55 or older).
6. Talk to a financial adviser. A personalised retirement plan is worth more than any benchmark. The right strategy can mean the difference between a modest retirement and a comfortable one, even if your super balance stays the same.
The Bottom Line
There is no single number that works for everyone. A homeowning couple with $730,000 in super and a well-structured drawdown strategy will likely live very comfortably. A single renter with $400,000 faces different challenges that require different solutions.
What matters most is not where you are today, but whether you have a plan to make the most of what you have.
Ready to find out where you stand?
Great Advice offers a free initial Goals Meeting where we review your super, assess your age pension eligibility, and build a clear picture of your retirement readiness. No jargon, no pressure, just honest guidance from Brisbane financial advisers who specialise in pre-retirement and retirement planning.
Call 1300 205 522 or visit greatadvice.com.au to book your free consultation.
References
- Association of Superannuation Funds of Australia (ASFA), ASFA Retirement Standard, December 2025 Quarter.
- Super Consumers Australia, Retirement Spending Levels.
- Australian Taxation Office (ATO), Key Superannuation Rates and Thresholds: Contributions Caps.
- Services Australia, Age Pension: How Much You Can Get, March 2026 rates.
- Services Australia, Assets Test for Age Pension, 2026.
- MoneySmart (ASIC), How Much Super You Need.
- Australian Prudential Regulation Authority (APRA), Annual Superannuation Bulletin, June 2025.
- Australian Bureau of Statistics (ABS), Life Tables, Australia 2022–2024.
- Australian Taxation Office (ATO), Downsizer Contributions.
General Advice Warning: This article contains general information only and does not take into account your individual objectives, financial situation, or needs. Before making any financial decisions, you should consider whether the information is appropriate for your circumstances and seek personal financial advice from a licensed adviser. Great Advice Financial Advisers is a Corporate Authorised Representative of Akumin Financial Planning Pty Ltd (AFSL 232706).
