Spike in desired retirement savings as Aussies dream big

In just two years there’s been a 19% jump in how much Australians think they’ll need to fund their desired retirement, as they dream big about their golden years.

Research commissioned by one of the nation’s largest superfunds, Australian Retirement Trust (ART), found the average amount Australians estimate they’ll need in retirement is now $940,509, up from $791,796 in 2022 (a 19% increase).

ART’s Executive General Manager of Advocacy and Impact Anne Fuchs said more Australians are aspiring towards a better retirement.

"If we think back to 2022, we were still experiencing a lot of pandemic impacts – people weren’t travelling as much, working from home more, and even skipping regular medical check-ups,” Ms Fuchs said.

"Fast forward to now, and life is back to normal – Aussies are heading overseas for holidays in droves, spending more time in the office and our city centres, and enjoying their lives.

"This changing lifestyle could be one of the reasons Australians are now wanting to have more in retirement, and that’s fantastic for workers who’ll see their guaranteed super contributions jump to 12% this year."

Ms Fuchs said it’s not the only change in how Australians are thinking about retirement.

“Over the same two-year period we also saw a drop in the number of people who responded, ‘I don’t know’ when we asked them how much they need to retire,” she said.

“In 2022, 42% couldn’t estimate how much they would need to retire, compared to 38% in the most recent survey.

“We’re seeing more Australian Retirement Trust members engage with the fund. Last year we saw a 41.7% increase in the number of people using our website, and 50.3% more logins to ART Member Online in October compared to the same time in 2023.

“We believe this engagement is helping our members to get a better understanding of what they may need in retirement and take the steps to awaken their super."

"There are lots of positive, easy steps you can take to plan, and set yourself up for retirement.”

ART's Executive General Manager of Advocacy and Impact Anne Fuchs’ top retirement tips:

1. Check your balance, and that your employer is making their required contributions.
2. Once you know your balance, and income, jump on and use ART’s retirement calculator or visit your super fund’s or ASIC’s Moneysmart’s website and use their retirement calculators to see how you’re tracking and what your retirement could look like.
3. If it’s not tracking how you would like, talk to your fund, at Australian Retirement Trust, advice on your super is included as part of your membership.
4. It’s worth looking at the investment performance of your fund¹, and consider it against your objectives and needs and if there is a fund with options that are better for you.
5. If you’re in a position to, it may also be worth considering some extra contributions, even small amounts add up quickly with the power of compound interest.

• On average, Australians estimate needing $940,509 in their superannuation account when they retire, in order to fund their desired retirement, up from $791,796 in 2022 (a 19% increase). However, nearly two in five (38%) are unable to estimate a figure (42% in 2022) – in other words, they don’t know how much they’ll need.
• This figure is higher among men than among women ($1,040,346 compared to $825,382).

Research findings are drawn from a survey of 1,002 Australians, carried out by YouGov on behalf of Australian Retirement Trust in October 2024.

1. Past performance is not a reliable indicator of future performance.