Majority of Australians worry about their retirement

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May 05 2021
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The majority of Australians believe in raising the aged pension as well as lifting the rate of superannuation to 12 per cent as they worry about having enough in retirement, new research has revealed.

Majority of Australians worry about their retirement

Survey data of 3,500 adults by Australian National University found that seven in 10 Aussies believe the current pension rate of $944.30 per fortnight for a single person is not enough to survive on.

Instead, they support lifting the rate to $1,115 per fortnight.

The survey data also showed that over half of people (55.7 per cent) who aren’t yet retired are worried they won’t have enough savings to live comfortably when they stop working.

This is a big jump from 39.6 per cent when the ANU did a similar survey in 2015, study co-author Nicholas Biddle said.

“Of those Australians who say they are worried about not having enough money in retirement in 2021, females, people who hadn’t finished year 12 and those outside capital cities were most concerned,” Professor Biddle said.

It found that a clear majority of Australians, 55 per cent, think the rate of superannuation payments should be increased from 9.5 per cent to 12 per cent by 2025 – a change already legislated.

Another 20.8 per cent said the rate should be greater than 12 per cent.

JobSeeker also a concern

When it came to the question of unemployment benefits, the survey showed that Australians think the rate of $620.80 per fortnight for a single person with no children is too low despite the government recently announcing an increase in benefit payments.

Instead, on average respondents believe the government should lift the rate to $711 per fortnight.

“On balance, it would appear that there is very little support for JobSeeker to return to its pre-COVID level, with a little under three quarters of the population thinking it should be higher,” the study showed.

However, roughly a third thought it should be higher than the $620.80 per fortnight currently paid.

About the author

Cameron is a journalist for Momentum Media's nestegg and Smart Property Investment. He enjoys giving Aussies practical financial tips and tricks to help grow their wealth and achieve financial independence. As a self-confessed finance nerd, Cameron enjoys chatting with industry experts and commentators to leverage their insights to grow your portfolio.

About the author

Cameron is a journalist for Momentum Media's nestegg and Smart Property Investment. He enjoys giving Aussies practical financial tips and tricks to help grow their wealth and achieve financial independence. As a self-confessed finance nerd, Cameron enjoys chatting with industry experts and commentators to leverage their insights to grow your portfolio.

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