Saving for retirement has become all the more pertinent as expenditure for couples looking for a ‘comfortable' retirement rose by 0.3 per cent to $57,817 a year in the March quarter.
The Association of Superannuation Funds of Australia (ASFA) said this meant they would need a joint superannuation balance of around $510,000.
Couples hoping for a ‘modest' retirement lifestyle would need $33,509 a year, up 0.5 per cent from the previous quarter.
Single retirees will need $22,283 per year, up 0.5 per cent from the previous quarter. Those looking for a ‘comfortable' retirement will need $42,254 a year, up by 0.2 per cent.
They need a super balance of $430,000.
The cost of retirement shot up 2.7 per cent for the comfortable level and 2.8 per cent for the modest level.
The biggest contributor to the increase in cost was fuel (up 4.1 per cent), medical and hospital services (up 1.9 per cent) and pharmaceutical services (up 6.1 per cent).
Electricity prices increased by 1.4 per cent in the quarter, but not in all states and territories.
With the federal Budget due this week, ASFA CEO Pauline Vamos said it was a good time for the Government to think about how its policies would affect cost of living for retirees.
"Retirees often have less flexibility in their budgets, which means policy changes that increase the cost of non-discretionary items, such as electricity or fuel, may mean they have to cut back in other areas, and lower their standard of living," she said.
