Retirement savings by age in Australia 2026 averages, targets + reality check

The Finance Desk · Editorial team, accountants + mortgage brokers + financial planners + conveyancers · Updated 30 May 2026 · How we rank · Editorial standards

Most Australians sit well below ASFA's "comfortable retirement" targets at every age band. Bridging the gap usually requires deliberate contributions plus non-super savings. The good news: 30-40 year compounding makes early adjustments powerful. Use the ASFA Retirement Standard and the Moneysmart retirement planner for current figures and your own scenarios.

★Key takeaways

  • ✓Median super balances by age are published by ATO Taxation Statistics — check those before relying on a headline figure.
  • ✓ASFA publishes quarterly comfortable and modest retirement budgets and target balances for singles and couples.
  • ✓Age pension is the safety net — current rates and thresholds are on Services Australia.
  • ✓Most Australians retire on a combination of modest super, age pension and non-super savings.
  • ✓Salary sacrifice contributions are taxed at 15% vs your marginal rate — mid-career contributions are powerful but cap-bound.

Where to find current median super balances by age

Median and mean super balances by age band, gender and state are published by the ATO in its annual Taxation Statistics release, and by the ABS in its Survey of Income and Housing. Both updates publish at different times each year, and the numbers move materially between updates, so we link out to the sources rather than reproducing a snapshot table here.

A few patterns hold consistently across releases:

  • Mean balances are materially higher than median balances because of wealth concentration.
  • Women hold less super than men at every age band, reflecting the pay gap and career breaks.
  • Median balances at retirement sit well below the ASFA comfortable target — see the ASFA Retirement Standard for the current target balance.

The "comfortable" vs "modest" reality

ASFA publishes two retirement living standards based on detailed budgeting research — comfortable and modest, each for couples and singles aged 65–84. The age pension is the floor underneath both. Current dollar figures (annual income, weekly budget, indicative super balance required) are listed on the ASFA Retirement Standard page and are revised quarterly.

The reality for most Australian retirees is somewhere between modest and comfortable, with part age pension topping up super-funded income.

Where the medians come from (and what they hide)

ABS and ATO publish the most comprehensive data on super balances by age. A few important caveats:

  • Median vs mean. Mean balances are materially higher than median due to wealth concentration at the top. Median is the more realistic central tendency.
  • Gender gap. Women consistently hold less super than men at every age band, reflecting the pay gap, career breaks for caregiving and lower lifetime earnings.
  • By occupation. Professionals, managers and technical workers hold materially higher super than service, retail and hospitality workers.
  • By state. ACT and WA tend to have higher balances; TAS and NT lower.
  • By household. Couples often have combined balances substantially higher than individual figures suggest.

What ASFA targets actually mean

The ASFA comfortable retirement target is based on the assumption of partial age pension supplementation. Without age pension top-up, the required balance is significantly higher.

Self-funded retirement (no age pension), and aspirational high-living-standard retirement, both require materially larger combined super and non-super balances than the headline ASFA comfortable figure. The specific dollar gap depends on draw rate, investment returns, life expectancy and homeownership status — model your own scenario in the Moneysmart retirement planner rather than relying on a single number.

How to close the gap by age

If you are 25-34

Time is your biggest asset. Even small additional contributions compound dramatically over 30-40 years. Practical moves:

  • Choose a low-fee super fund (annual fees over 1% are a red flag)
  • Switch from default Balanced to higher-growth option if appropriate (more equities, more risk, more return over long horizon)
  • Consider salary sacrifice even $50-100/week for the 15% tax rate advantage
  • Maximise government co-contribution if eligible (income below $58,445)

If you are 35-44

The decade where median Australians fall furthest behind ASFA targets. Focus areas:

  • Audit your super fund: fees, investment performance over 5-10 years, insurance costs
  • Consolidate multiple super accounts (each charges fees)
  • Increase salary sacrifice if possible; $30,000 annual concessional cap allows substantial top-up
  • Start building non-super savings (offset accounts, taxable investments) for diversification
  • Address insurance inside super (often expensive default cover)

If you are 45-54

Crunch decade. Course corrections are still meaningful but window is closing. Priorities:

  • Make catch-up concessional contributions if super balance is below $500,000 (5-year unused cap rule)
  • Maximise spouse contributions if one partner has lower super
  • Review investment risk profile, may need slightly more conservative as retirement approaches but not yet defensive
  • Project retirement spending realistically; many people overestimate their needs but some underestimate healthcare
  • Consider professional advice if not already engaged, complexity increases significantly here

If you are 55-64

Final accumulation phase. Strategy shifts to optimisation:

  • Transition-to-retirement (TTR) pension can boost super through tax efficiency
  • Recontribution strategy: withdraw and recontribute to maximise tax-free component for inheritance planning
  • Re-evaluate insurance inside super (usually no longer needed after retirement age)
  • Consider downsizer contribution if selling family home (up to $300,000 per person)
  • Plan retirement date with attention to access ages (super preservation age, age pension age)
  • Strong case for professional advice; small mistakes here have outsized consequences

When professional advice is worth the cost

Financial planners typically charge $3,000-$6,000 for a comprehensive plan and $200-$400/hour for ongoing advice. The fee pays for itself when:

  • You have super exceeding $300,000 (where suboptimal decisions cost meaningful dollars)
  • You are within 10-15 years of retirement (where mistakes are harder to fix)
  • You have complex situations: SMSF, business sale, inheritance, divorce
  • You are unclear on whether your super fund is good or bad
  • You have not previously engaged with retirement planning seriously

See our cost of a financial planner guide and when you actually need one for more.

Related coverage

Sources

Information in this article is general and current as at 19 May 2026. Verify with an AFSL-licensed financial adviser or the linked authorities before relying on it.

Common questions

Retirement savings by age: frequently asked questions

How much super does the average Australian have by age 40?

Median and mean super balances by age band are published by the ATO and ABS Survey of Income and Housing. Balances vary materially by gender (men typically hold more super than women at every age band due to the pay gap and career breaks). For current published figures, see the ATO Taxation Statistics super tables.

What is the ASFA comfortable retirement standard?

ASFA publishes a quarterly Retirement Standard with a "comfortable" and "modest" budget for couples and singles aged 65–84, along with the indicative super balance needed at retirement (assuming partial age pension). Check the latest figures directly on the ASFA Retirement Standard page before using them in planning.

When should I see a financial planner about retirement?

Earlier than most people think. By age 40, having a clear strategy makes a measurable difference over compounding decades. By 50, course corrections become harder. The most common time people see a planner is age 55-60, often too late to materially change outcomes. The fee is a small fraction of the value of optimisation across 20-30 years.

Is super on its own enough for retirement?

For most Australians on average earnings throughout their career, super alone (plus age pension top-up) provides a modest retirement income. The ASFA comfortable standard typically requires super PLUS supplementary savings (offset accounts, investment property, taxable shares). The 12% SG contribution rate from 2026 helps but does not fully close the gap for higher-living-standard expectations.

How does the age pension fit in with super?

Age pension is the safety net. Eligibility is tapered by income and assets tests, and most retirees receive at least partial age pension. A common strategy is to draw down super to stay within the asset thresholds while still receiving part-pension. Check current rates and thresholds on Services Australia before relying on them.

What is the average super balance at retirement?

Median and mean super balances at age 65 are published by the ATO and APRA. Median figures generally sit well below ASFA comfortable targets, indicating most Australians retire on a combination of modest super, age pension and non-super savings.

Should I salary sacrifice to super in my 40s?

Generally yes, if cash flow allows. Salary sacrifice contributions are taxed at 15% (concessional rate) vs your marginal income tax rate, which is usually higher. The concessional contributions cap is published annually by the ATO; employer SG counts toward it. Model your scenario using the Moneysmart super calculator before locking in a salary-sacrifice agreement.

How much do I need to retire by 60 in Australia?

Highly dependent on lifestyle target. ASFA publishes indicative balances for comfortable and modest standards at each age — use those figures and the Moneysmart retirement planner with your own assumptions, rather than relying on a single headline number.