Extra $34.5k needed in super to keep dogs
Australians will need an extra $34,500 in superannuation savings to cover the cost of a dog or $25,600 for a cat, according to the Association of Superannuation Funds of Australia (ASFA).
ASFA said these amounts were on top of the estimated $640,000 in savings needed to cover the standard retirement costs of a couple, and $545,000 for a single person.
The association said around 60 per cent of Australian households owned a pet but that it dropped to around 30 per cent for retiree households.
ASFA chief executive, Dr. Martin Fahy, said: “Many people would find it difficult to contemplate ditching the dog at retirement due to cost factors but it does happen and it’s a tragedy for the pet and owner”.
“Ideally, one’s retirement shouldn’t mean your pet’s untimely retirement from the household budget,” he said.
Fahy said with the cost of a dog or a cat being tens of thousands of dollars over its lifetime and in some cases much more, depending on diet, health issues, and age, Australians should check their super calculations to make sure they had fully factored in their pet.
“Many Australians would not consider their retirement as comfortable without their pet so boosting your super savings to cover pet costs can add to both your creature comforts,” he said.
ASFA said Australians spent $12.2 billion on pet products and services in 2016 and the ongoing yearly cost for a dog on average was $1,725, a cat at $1,280, birds at $120, and fish at $60.
Recommended for you
AMP is to launch a digital advice service to provide retirement advice to members of its AMP Super Fund, in partnership with Bravura Solutions.
Unveiling its performance for the calendar year 2024, AMP has noted a “careful” investment in bitcoin futures proved beneficial for its superannuation members.
SuperRatings has shared the median estimated return for balanced superannuation funds for the calendar year 2024, finding the year achieved “strong and consistent positive” returns.
The second tranche of DBFO reforms has received strong support from superannuation funds and insurers, with a new class of advisers aimed to support Australians with their retirement planning.
