Australians unaware of retirement underfunding
Australians expect to spend a total of 23 years in retirement but only have enough funds to sustain themselves for 10 years, however a portion of the population recognise the need to increase their retirement savings to sustain desired living standards in retirement.
A recent survey by HSBC revealed Australians' retirement saving rates are far behind retirement expectations with the large gap between expected time in retirement and retirement funds making Australians' saving rates for retirement "among the worst in the world".
However Mortgage Choice's recent survey of 1,100 Australian, Happy As Index, showed an acknowledgement of this retirement fund gap with 50 per cent of mortgage holders planning to make changes to their financial situation this year, of which 22.9 per cent recognised the need to increase their retirement savings to sustain the standard of living they want in retirement.
Mortgage Choice financial planning spokesperson Jessica Darnbrough, suggested superannuation could be a good starting place for Australians looking to make changes to their retirement savings.
"When planning for retirement a good place to start would be with your superannuation. There are a few simple ways that Australians can boost their super and make a considerable difference to their final nest egg."
AUTHOR
Priya Prakash
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