Major bank finds Aussies have grim retirement hopes

In the months following the federal budget, new research has found that two in three Australians still feel unprepared for retirement and are uneasy about their retirement planning.

The survey, conducted by NAB-owned wealth management provider MLC, revealed that just 15 per cent of Australians feel confident about their retirement savings.

Executive general manager, superannuation and investment platforms, Paul Carter, says government meddling has resulted in doubt in the superannuation scheme.

“Over the past decade, too often the debate has focused on the year-to-year tax concessions in a system that has not fully matured. Too many have ignored dramatic and ongoing changes to workforce participation, earnings, increasing health costs that will be borne by individuals and other significant changes affecting salary and wage patterns and indeed ‘wealth’,” Mr Carter said.

“The end result has been constant tinkering or significant unanticipated change which has left Australians feeling uncertain about their retirement.”

The survey found uncertainty is being disproportionately felt by women, with 74 per cent believing they will outlive their super compared to 57 per cent of men.

Mr Carter said Australians need to have better knowledge about superannuation and retirement.

“This research shows that regardless of how much you earn, you need to have a solid understanding of your finances in order to save for retirement. As a nation, more needs to be done to help Australians equip themselves with the knowledge and information they need to progress on their paths to a self-funded retirement,” Mr Carter said.

“By doing so, we not only improve our quality of life but also reduce the budgetary burden of an ageing population for future generations.”

 

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