In this guide
There comes a point, generally in your mid-50s or early 60s, when retirement beckons. You may be wondering if you can afford to retire at 60, delay for a few years, or perhaps keep working part time for a while.
Getting the timing right is not only a financial decision but also a matter of the lifestyle you hope to enjoy throughout your retirement years. Even so, before deciding, it’s important to consider the financial viability of your choice.
For Australians with superannuation but few other investments, the size of their super balance, perhaps combined with a part Age Pension, will determine their retirement income.
In this case study, we use the Moneysmart Retirement Planner calculator to look at three different scenarios to consider potential retirement dates for a couple in their 50s.
Case study: John and Mary
John and Mary are both 55 and are considering whether they can afford to retire at age 60. If not, they are willing to work until age 65 but would also like to see the financial impact of delaying retirement until age 70.
| John’s current income | $150,000 per year plus super |
| Mary’s current income | $100,000 per year plus super |
| John’s current super balance | $550,000 |
| Mary’s current super balance | $400,000 |
| Non-financial assets (cars, furniture, etc.) | $25,000 |
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