How much superannuation do I need to retire at 60 in Australia?

Looking to retire at 60? Here's a guide on how much super you might need.

A retiree relaxing in the pool and giving a thumbs up.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

According to the Australian Bureau of Statistics, the average age of retirement in Australia is on the up. But how much superannuation is enough to fund your retirement?

Of the 4.2 million retirees in Australia in 2022-23, the average age at retirement was 56.9 years.

However, research shows those aged 45+ intend to retire at 65 years, on average.

If you aim for somewhere in the middle — around the age of 60 — the amount of superannuation you require will largely depend on your lifestyle. 

Retiring at 60 

According to AFSA, singles who plan to spend modestly in retirement need $32,930 per year. 

The definition of a "modest" lifestyle according to ASFA is: 

A modest retirement lifestyle is considered better than the Age Pension, but still only allows for the basics.

Meanwhile, if you plan to live a "comfortable" lifestyle in retirement, AFSA estimates you need $51,814 per year as a single person. 

AFSA describes comfortable retirement as: 

A comfortable retirement lifestyle enables an older, healthy retiree to be involved in a broad range of leisure and recreational activities and to have a good standard of living through the purchase of such things as; household goods, private health insurance, a reasonable car, good clothes, a range of electronic equipment, and domestic and occasionally international holiday travel.

For couples, AFSA estimates needing $47,475 per year for a modest lifestyle and  $73,031 for a comfortable retirement. 

Both budgets assume that the retirees own their own home outright and are relatively healthy.

How much superannuation would you need?

According to AFSA, in order to fund these lifestyles as a retiree at 60, you will need the following (inclusive of pension):

Comfortable retirement:

  • Singles $595,000
  • Couples $690,000

Modest retirement:

  • Singles $100,000
  • Couples $100,000

The modest retirement estimate takes into consideration the base rate of the Age Pension. 

Another estimation from Equip Super suggests a single person could retire at 60 with a super balance of around $515,000. 

A couple retiring at age 60 would need a combined super balance of around $660,000.

What factors should you consider?

Data from the ABS shows Australians can expect to live until 81-85 years old. 

This means that if you plan to retire at 60, your retirement savings may need to last 20 – 25+ years. 

When considering retirement, the Australian Retirement Trust suggests some key factors to consider are: 

  • Your health
  • Your employment situation
  • The demands of your job
  • Your family's or partner's situation 
  • Your super and other savings
  • Your property or things you own (assets)
  • Any debts you have (e.g. credit cards or a mortgage)
  • Any large expenses like home renovations, overseas travel, or medical costs
  • Whether you could get the Age Pension

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the 'five best ASX stocks' for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right now...

See The 5 Stocks *Returns as of 7 February 2025

The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Superannuation

A green-caped superhero reveals their identity with a big dollar sign on their chest.
Superannuation

Should you set up an annuity in your superannuation?

Would you get more value by investing some of your hard-earned money into an annuity during retirement?

Read more »

A happy elderly man wearing a red cape smiles as he jumps up like a hero from a massage table.
Superannuation

Is my superannuation on track?

Here's how much superannuation you should have at your age right now to fund a comfortable retirement later.

Read more »

man and woman discussing superannuation
Superannuation

How is superannuation taxed in Australia?

Want to add or withdraw from your super? Here’s how you will be taxed. 

Read more »

Superannuation written on a jar with Australian dollar notes.
Superannuation

How much could your superannuation balance grow by the time you turn 70?

Our wealth can grow significantly in the coming decades.

Read more »

Couple holding a piggy bank, symbolising superannuation.
Superannuation

How much superannuation do I need to retire on $65,000 a year?

Do you want to enjoy your retirement to the fullest? Here's how you could do it.

Read more »

A group of older people wearing super hero capes hold their fists in the air, about to take off.
Superannuation

Revealed: The top 10 performing Australian superannuation funds of 2024

Chant West data shows Australian superannuation funds delivered a 'stellar result' for investors last year.

Read more »

An older gentleman leans over his partner's shoulder as she looks at a tablet device while seated at a table in their classic Australian old person's home, complete with comfortable furniture and family photographs on the walls.
Superannuation

Can I earn superannuation income in Australia and still get a pension?

It's a common question.

Read more »

An older man wearing a helmet is set to ride his motorbike into the sunset, making the most of his retirement.
Superannuation

What is considered a good superannuation balance for my age?

There's an easy way to find out.

Read more »