Retirement
Boost your retirement savings with these useful tips
According to the Association of Superannuation Funds of Australia, couples will require $640,000 in retirement savings for a comfortable retirement, while singles need $545,000.
Boost your retirement savings with these useful tips
According to the Association of Superannuation Funds of Australia, couples will require $640,000 in retirement savings for a comfortable retirement, while singles need $545,000.
The ASFA retirement standard figures above are estimates based on expected expenses in retirement, so they may be a large amount if you have a low-income household. However, there are still ways to grow your retirement nest egg regardless of your target retirement age.
Consider the five tips below.
Tip #1: Plan early
It’s advisable to plan for retirement early – doing so would allow you to make necessary adjustments to your lifestyle before a lasting financial damage is done.
Develop good financial habits
Planning early may help you visualise how your lifestyle and spending habits can impact the growth of your retirement savings. Knowing the potential consequences may help you make objective financial decisions – or at least give you a reason to develop good financial habits, such as saving money and spending smart.
Be consistent
Consistency is one of the crucial keys to growing your savings – consider topping up investments regularly so that your super balance can benefit from compounded interest.
Likewise, review your portfolio regularly to ensure that your investments and objectives are aligned.
Time value of money
Time value of money (TVM) suggests that the money you hold in the present is more valuable if used as a principal investment compared with the same amount received at a later time.
This idea is that if you invest the money you hold today, it has the advantage of increasing in value from investment returns, thanks to simple or compound interest.
Basically, TVM expresses that “an investor’s time in the market is more important than timing the market”.
Tip #2: Review your super fund
The sole purpose of superannuation funds is to secure retirement benefits, but not all funds are equal. Is your super working to achieve your retirement goals? If not, it may be time to switch to another fund.
Make sure to do due diligence before choosing a super fund. Remember that contributing to a fund that isn’t appropriate for your financial circumstance and retirement objectives may not help you achieve your retirement goals.
Always consider your retirement objectives for any financial decisions that may affect your retirement savings.
If you simply chose a super fund without reading its product disclosure statement – a document that indicates the fund’s features – find your copy and review it now.
You may also ask the fund manager.
Tip #3: Find ways to increase your income or contributions
Once you generate a steady income, make sure to keep your spending below your after-tax dollars by following a sound budget and spending plan.
Consider contributing more or maximising your super contributions through salary sacrifice or non-concessional contributions. Your extra contributions can mean tens of thousands of dollars in additional retirement benefits as a result of TVM by the time you reach preservation or age pension age.
In turn, this would minimise your longevity risk because you may receive retirement income longer.
Tip #4: Consider investing outside of super
Investing through super is currently one of the most tax-effective ways to invest. However, you may also consider investing outside of super if you have the means to do so because access to your super account is restricted.
The only time you may access your contributions is when you satisfy a condition of release, such as reaching preservation age, full retirement or on compassionate grounds.
Tip #5: Seek professional advice
A licensed professional can help you work out ways to increase your savings, decrease your expenses and taxes, and optimise your portfolio.
When in doubt with your plan or decisions, consider seeking advice from a retirement, investment or financial professional.
However, make sure that the person you speak to is licensed to give the type of advice you need. Some financial advisers are only allowed by law to provide general advice without taking your personal circumstances into consideration.
Explore nestegg to learn more ways to prepare for retirement.
RELATED ARTICLES
About the author
About the author
Retirement Planning
Retirement happiness on the rise, but cost-of-living worries cloud confidence
Australians aged 60 and over are generally positive about their retirement, but concerns about the rising cost of living continue to impact their lifestyle and financial security, according to the ...Read more
Retirement Planning
Australia's retirement system nears tipping point as withdrawals surpass contributions
State Street has unveiled a significant new research series, "Reimagining Retirement," which highlights a critical juncture for Australia's retirement system. The study, released on 1 April 2026, ...Read more
Retirement Planning
Online wills initiative aims to boost superannuation and retirement engagement
In a bid to increase engagement with superannuation and retirement planning, Aware Super has expanded its online wills service, following a successful pilot program. The initiative, launched in ...Read more
Retirement Planning
New digital platform revolutionises retirement planning for Aware Super members
A groundbreaking digital platform by Aware Super is transforming the way retirees plan and manage their pensions, with significant results already seen in the pilot phase. The tool, named Retirement ...Read more
Retirement Planning
The retirement mortgage squeeze: how one bank turned a demographic risk into a strategic edge
An increasing share of Australians are entering their 60s still paying off mortgages, just as living costs and interest charges stay stubbornly high. For banks, super funds, retailers and ...Read more
Retirement Planning
The retirement mortgage crunch: what it means for banks, retailers and policy in Australia
A growing share of Australians are carrying mortgages into their 60s and beyond, colliding with persistent cost-of-living pressures and a “slow grind” macro outlook. This isn’t just a social story; it ...Read more
Retirement Planning
Majority of Australians still unsure about their retirement prospects
A recent survey conducted by MFS Investment Management® has shed light on the ongoing uncertainty faced by many Australians regarding their retirement plans. Despite a slight increase in confidence ...Read more
Retirement Planning
Wage growth steadies as businesses navigate economic challenges
In a sign that the Australian labour market may be finding equilibrium, wage growth has stabilised this quarter, according to Employment Hero's latest data. This development comes as employers ...Read more
Retirement Planning
Retirement happiness on the rise, but cost-of-living worries cloud confidence
Australians aged 60 and over are generally positive about their retirement, but concerns about the rising cost of living continue to impact their lifestyle and financial security, according to the ...Read more
Retirement Planning
Australia's retirement system nears tipping point as withdrawals surpass contributions
State Street has unveiled a significant new research series, "Reimagining Retirement," which highlights a critical juncture for Australia's retirement system. The study, released on 1 April 2026, ...Read more
Retirement Planning
Online wills initiative aims to boost superannuation and retirement engagement
In a bid to increase engagement with superannuation and retirement planning, Aware Super has expanded its online wills service, following a successful pilot program. The initiative, launched in ...Read more
Retirement Planning
New digital platform revolutionises retirement planning for Aware Super members
A groundbreaking digital platform by Aware Super is transforming the way retirees plan and manage their pensions, with significant results already seen in the pilot phase. The tool, named Retirement ...Read more
Retirement Planning
The retirement mortgage squeeze: how one bank turned a demographic risk into a strategic edge
An increasing share of Australians are entering their 60s still paying off mortgages, just as living costs and interest charges stay stubbornly high. For banks, super funds, retailers and ...Read more
Retirement Planning
The retirement mortgage crunch: what it means for banks, retailers and policy in Australia
A growing share of Australians are carrying mortgages into their 60s and beyond, colliding with persistent cost-of-living pressures and a “slow grind” macro outlook. This isn’t just a social story; it ...Read more
Retirement Planning
Majority of Australians still unsure about their retirement prospects
A recent survey conducted by MFS Investment Management® has shed light on the ongoing uncertainty faced by many Australians regarding their retirement plans. Despite a slight increase in confidence ...Read more
Retirement Planning
Wage growth steadies as businesses navigate economic challenges
In a sign that the Australian labour market may be finding equilibrium, wage growth has stabilised this quarter, according to Employment Hero's latest data. This development comes as employers ...Read more
