Comfortable retirement costs increase, ASFA says

ASFA/superannuation-funds/cent/association-of-superannuation-funds/

16 November 2011
| By Milana Pokrajac |
image
image
expand image

The amount needed for retirees to fund their post-work lifestyle continues to increase, albeit slowly, according to the Association of Superannuation Funds of Australia (ASFA) Retirement Standard.

A couple looking to achieve a comfortable retirement will need to spend $55,316 a year, while those seeking a 'modest' retirement lifestyle need to spend $31,767 a year, according to figures from the September quarter - an increase of 0.7 per cent from June 2011.

Retiree households on average have somewhat different spending patterns to the rest of the population, ASFA said.

"Along with generally owning their own home outright, they don't tend to spend as much on education services," ASFA stated. "In contrast, food, health, transportation and recreation spending form a large part of retiree budgets."

Despite a slight decrease in cost of food in the September quarter, there was an increase of 6.4 per cent over the year to September 2011.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

4 weeks 1 day ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

3 weeks ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

1 week 6 days ago

TOP PERFORMING FUNDS