| With people living longer, we are all going to need a lot | | | | a year (singles) or $23,754 a year (couples), you don't |
| more money than we imagine. Many have disruptions | | | | need this book. But relying solely on the Pension in the |
| to working life (like having babies), so just compulsory | | | | future may not be viable; a part pension is more |
| super is probably not enough to cover the many years | | | | probable. The sheer number of baby boomers retiring |
| we might survive. Australia's new Simplified Super | | | | will mean a continuation of miserly Government |
| system will improve payouts and super pensions, but it | | | | pensions, and those unprepared may need to delay |
| may not be the answer to our prayers. | | | | retirement and work on. Currently the Government |
| "How much will I need?" is the catch cry. That all | | | | rewards the over 65's who keep working - over 960 |
| depends on your needs and expectations: do you | | | | hours per year - under a pension bonus scheme, with |
| want to live on a lesser salary than what you are | | | | a lump sum of $1,336 (year 1) up to $33,409 maximum |
| used to, such as 50%? Do you think that your super | | | | (year 5) for a single registered person (see Centrelink). |
| capital's returns will keep up with inflation? Would you | | | | These types of schemes and beneficial changes to |
| like a private nurse? Is a life-saving operation going to | | | | superannuation pave the way for the Federal |
| cripple you financially? What about travelling? | | | | Government's grand plan for us: self-funded retirement. |
| Financial advisers might suggest that you are going to | | | | Rising Cost of Living |
| need $1 million to retire on for 25 years. This is to spur | | | | It seems clear that the cost of living is going to rise |
| you to plough more into super and managed funds | | | | dramatically, with the droughts and fewer oil resources |
| from your income. Of course it is up to you. You may | | | | having deep impacts on groceries, water, petrol and |
| want to strike the fine balance of living well now but | | | | transport costs. Already we are seeing a rise in food |
| sacrificing a small amount to super, so that you can live | | | | costs. Health costs continue to spiral upwards every |
| without hardship later. | | | | year. Truly, I am not trying to make you depressed! |
| The Association of Superannuation Funds of Australia | | | | I firmly believe everyone can create their own goals |
| believes a single person needs an annual income of | | | | unhindered by Government rules, for example, to have |
| $35,668 and a couple needs $47,766 to live | | | | an income stream of $80,000 per year, or $2 million |
| comfortably in retirement. Varying amounts up to | | | | net worth. I suggest such high goals because you |
| $700,000 are needed for this current target, depending | | | | never know what is around the corner for you and |
| on retirement age (and age you are going to live to!). | | | | your family. Why settle for retiring on half of what you |
| Check how long your own money will last with the | | | | now earn? |
| range of super calculators at | | | | But how are you going to achieve this? Well, there are |
| What about the Age Pension? | | | | many wealth tips and financial planning strategies in my |
| If you are near retiring age and you can live on $14,217 | | | | book, "Sack Your Financial Planner" - see my website. |