SuperGuide’s Super to income Reckoner can help you quickly and simply understand approximately how much retirement income your super savings might be able to generate.
The figures used in the reckoner have been sourced from the MoneySmart Retirement Planner, a powerful tool that we highly recommend you try for yourself. This reckoner is not intended to replace the calculator, but rather complement it by making it easier to quickly compare different scenarios.
The reckoner allows you to filter for the following factors:
- How much you are likely to have saved in super
- Whether you are single or a couple
- The age you would like to retire
- Whether or not you would be eligible to receive the Age Pension
- Whether you anticipate a return on your savings of 2%, 3%, 4%, 5%, 6%, 7% or 8% per year (net of fees)
- Whether you’d like your super to last until you’re 85, 90, 95 or 100.
Note
We do not consider it realistic to achieve returns of 7% or 8% per year net of all fees, particularly over such a long time period, but we have added these as points for comparison after requests from readers. Discover the top performing pension funds over 5 years.
Disclaimer
This reckoner is only intended as a guide to present approximate scenarios and should not be relied on to provide definitive figures on what your retirement income is likely to be. We highly recommend that you try the MoneySmart Retirement Planner for yourself but remember that it’s only a model and not a prediction.
To view a demonstration video of how to use the MoneySmart Retirement Planner, see SuperGuide article Video: How to use the MoneySmart Retirement Planner.
The tool then shows you approximately how much annual retirement income you would likely receive for each scenario. For example, if you are a couple seeking to retire at 65 with a super balance of approximately $1,250,000 (combined), are eligible for the Age Pension, are anticipating a return of 5% per year, and would like your super to last until you are aged 90, then you can expect an income of approximately $75,792 per year.
The Super to income Reckoner is similar to our Income from super Reckoner but works the opposite way.
To use the reckoner just click on the blue filter buttons, then select the boxes that you would like to filter on and click OK. The corresponding results will appear below. Repeat for each filter you would like to apply to further narrow down the results. We’ve also produced a short video to show you how the reckoner works which you can find below the table.
| Super balance at retirement | Single or couple | Eligible for the Age Pension? | Retire at | Return on savings (% per year) | Super lasts until | Annual retirement income | |
|---|---|---|---|---|---|---|---|
| wdt_ID | Super balance at retirement | Single or couple | Eligible for the Age Pension? | Retire at | Return on savings (% per year) | Super lasts until | Annual retirement income |
| 1 | 500000 | Single | Yes | Age 60 | 2% | After age 85 | 34,559 |
| 2 | 750000 | Single | Yes | Age 60 | 2% | After age 85 | 40,564 |
| 3 | 1000000 | Single | Yes | Age 60 | 2% | After age 85 | 45,539 |
| 4 | 1250000 | Single | Yes | Age 60 | 2% | After age 85 | 51,078 |
| 5 | 1600000 | Single | Yes | Age 60 | 2% | After age 85 | 59,946 |
| 6 | 2000000 | Single | Yes | Age 60 | 2% | After age 85 | 69,093 |
| 7 | 2500000 | Single | Yes | Age 60 | 2% | After age 85 | 80,355 |
| 8 | 3200000 | Single | Yes | Age 60 | 2% | After age 85 | 96,379 |
| 9 | 500000 | Single | Yes | Age 60 | 2% | After age 90 | 32,606 |
| 10 | 750000 | Single | Yes | Age 60 | 2% | After age 90 | 36,851 |
Assumptions
- You own your own home and have personal assets of $25,000 or less. These calculations do not allow any investment assets outside super. Note that the amount of investment assets you have can greatly affect the amount of Age Pension you are eligible for.
- Inflation costs are a 2% rise per year in cost of living plus a 1.2% additional rise per year in living standards
- You retire after you reach Age Pension age
- All returns are net of fees
- Results are in today’s dollars
- We recommend you also review the assumptions that MoneySmart list below their calculator
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