How Much Do You Need to Retire in Australia?
Stop for a moment and picture your retirement…
Maybe it means road trips along WA’s coast, lazy mornings on the back deck, or time spent with grandkids. Whatever it looks like, one thing makes it possible: a retirement plan you believe in.
But according to Vanguard, half of Australians worry they’ll run out of money in retirement. At Evolve Wealth Management in Perth, we help clients build retirement plans—whether they’re five or fifteen years away from the big day—so you retire with purpose and peace of mind.
Working with a trusted financial planner in Perth means you’ll have clarity on where you’re going, how to get there, and confidence that your lifestyle won’t fall short when work stops.
Key Takeaways
- The difference between modest and comfortable budgets—what it means per year
- How much super you might need, based on lifestyle
- The super boost in 2025 that can shift your trajectory
- Why time (your age and timeline) is your planning superpower
- How a financial planner in Perth can tailor a retirement plan that works for you
Looking for a full breakdown of retirement preparation? Check out our step-by-step guide to retirement planning in Australia.
1. What Does “Modest” vs “Comfortable” Lifestyle Look Like?
The Association of Superannuation Funds of Australia (ASFA) provides updated quarterly benchmarks for retirement lifestyles:
Annual income needed (assumes mortgage-free):
| Lifestyle | Couple | Single |
|---|---|---|
| Comfortable | $72,600 p.a. | $51,300 p.a. |
| Modest | $47,400 p.a. | $32,700 p.a. |
These benchmarks reflect real-world expenses—from basic living costs to lifestyle upgrades like holidays, dining out, or healthcare support.
It’s worth noting that these figures don’t include renting or mortgage repayments. If you’ll still have housing costs, factor that into your plan early with the help of a financial advisor.
2. So, How Much Super Do You Actually Need?
There’s no magic number. But we do have guidelines:
- A couple targeting a comfortable lifestyle will likely need around $690,000 to $1 million in super.
- For a modest lifestyle, that target drops to about $100,000 to $300,000, especially when supported by the Age Pension.
Your number depends on:
- Homeownership
- Spending habits
- Life expectancy
- Whether you’ll supplement super with investments or passive income
As your financial planner in Perth, we can help you run scenarios and set an achievable savings goal—while still enjoying life today.
3. Super Is Getting a Boost – The 2025 Update
From 1 July 2025, the Superannuation Guarantee (SG) rate increases to 12%. For younger Australians, this could mean an additional $125,000 or more by retirement.
This means even small salary sacrifices or after-tax contributions made now can make a big impact later—especially when paired with investment growth over time.
Want to see the numbers? Ask us to run projections based on your income and time until retirement.
4. The Power of Timeline
How long until you retire shapes how you should plan.
In your 30s or 40s:
- Prioritise growth investments like shares or ETFs
- Review insurance coverage
- Consider voluntary super contributions
In your 50s or early 60s:
- Focus on tax strategy and risk reduction
- Investigate Transition to Retirement strategies
- Reassess spending, assets, and downsizing opportunities
Your financial planner can align these strategies to your specific goals and stage of life.
5. What’s Your Alternative Retirement Plan?
Not everyone retires at 65, sells the house, and moves north.
Many of our Perth-based clients opt for alternative retirement paths:
- Semi-retirement: Continuing part-time work or consulting
- Early retirement: Supplementing income with investments
- Downsizing: Moving to a smaller home and adding to super via the Downsizer Contribution
- Passive income: Building a diversified portfolio outside of super for flexibility
Your plan should reflect your lifestyle—your passions, your priorities—not just a fixed number.
6. What If You Don’t Have Enough?
Not hitting the super targets doesn’t mean you’re in trouble. But it does mean it’s time to act.
Here’s what a financial planner in Perth can help you do:
- Maximise super contributions
- Shift investments to suit your timeline
- Build other income streams
- Map out pension eligibility and supplements
- Track down lost super
Remember: every step counts, and starting late is better than not starting at all.
7. Should I Rely on the Age Pension?
Many Australians will.
As of 2025:
- A full Age Pension pays about $42,000 p.a. for couples
- Income and asset tests apply
The pension is a great safety net—but it’s rarely enough on its own for a comfortable lifestyle. Your best bet is blending it with personal savings and super. A retirement planning session can clarify whether and when you’ll qualify, and how it fits into the bigger picture.
8. Estate Planning & Later Years
Retirement planning doesn’t stop at 65. Some important long-term considerations include:
- Aged care options and affordability
- Leaving an inheritance or legacy
- Medical and health-related costs
- Enduring Power of Attorney and Will
Even if these feel far off, having a framework now brings peace of mind for you and your family.
9. The Evolve Approach to Retirement Planning
We’re not here to just talk numbers. We’re here to help you:
- Get clear on your retirement vision
- Calculate the resources you’ll need
- Build a plan to get there with confidence
As experienced financial advisors in Perth, we’ll tailor a strategy that considers tax, investment returns, Centrelink eligibility, estate planning, and your unique lifestyle goals.
Whether you’re self-employed, working full-time, or navigating blended family finances, our advice is practical, personalised, and future-focused.
Ready to Take the First Step?
A confident retirement doesn’t happen by chance. It’s planned. And it starts with one conversation.
If you’re looking for a financial planner in Perth to guide your next move, Evolve Wealth Management is here for you.
Let’s talk about your future — book your free initial consultation today.