Aussies delaying retirement

More Australians want to retire in the next 12 months, but negative factors are forcing potential retirees to reassess their plans.

The number of people intending to retire in the next 12 months is estimated at 426,000, a 30% increase on the level seen in 2008, according to market research company Roy Morgan.

Roy Morgan industry communications director Norman Morris said factors affecting retirement decisions included declining real estate and stock market values, which could force people to delay retirement.

“The average level of savings and superannuation for those intending to retire in the next 12 months is well below what is required to be able to lead what the Association of Superannuation Funds of Australia (ASFA) describes as a comfortable lifestyle,” he said.

“This will put more pressure on government funding for some time yet unless there are changes to eligibility rules, taxation or superannuation regulations.

“Additional pressures on retirement decisions are the declining real estate and stock market values, which have the potential to delay retirement and encourage people to keep their jobs longer.”

ASFA estimates an individual would need $545,000 and a couple $640,000 for a ‘comfortable lifestyle’.

Currently, the average gross wealth of intending retirees is $331,000, up from $238,000 since 2008.