When you’re planning and saving up for your future, you have an end goal in mind. Ideally, most Australians would like to have saved upwards of $250,000. However, just like any other accomplishment, it’s essential to check in with your progress and understand how close you’re coming to that number.
If you’re unsure about how much superannuation you should have, you can always use your age as a measure. It’d be best to have saved up a certain amount in your 20s right up until your 60s to feel comfortable when you finally retire. If you’re running into any difficulties in decision-making and saving, be sure to seek superannuation advice from a financial expert.
So how much should be in your super account at certain stages of your life? And why should it be that amount? Based on data from the Australian Bureau of Statistics, here’s a short guide to help you out:
In Your 20s
It’s recommended that you start saving up for your super in your 20s as soon as you start working. There’s a possibility that you can start even earlier though, with the help of your parents or by your own volition. Plus, with fewer financial responsibilities, it is ideal to put away as much as you can.
By your mid-20s, it’s great to have around $5500 in your superannuation balance. And as you reach the end of your 20s, it’s suggested to have a goal of at least four of five times that amount. This is assuming that you’re earning a more stable and higher income.
In Your 30s
Your 30s may entail more financial responsibilities, whether it’s getting a more reliable car, buying your own home, or starting a family. There are also other expenses like socialising with your peers, travelling for leisure, and more. Keeping up with your super may be a little tougher to do at this age.
Aside from age, there’d also be a distinct gender gap. How much a woman would have saved in their super during their 30s ($25,000) will significantly differ from how much men have saved ($33,000). Knowing this fact is important for you to strategise and achieve your financial goals. Meeting with an experienced financial adviser can significantly help you close this gap.
In Your 40s
Being in your 40s is that halfway point where you’re just a few years away from retiring and accessing your super already. Most people who haven’t undergone any life changes during their 30s may experience them during this period. At this point, it’d be ideal to get your super’s balance around $70,000.
In Your 50s
As you approach closer to accessing your super and enjoying your retirement life, you need to be more serious about your superannuation. It’d be ideal to have reached the $130,000 mark in your superannuation’s balance. Any working person should be able to reach the peak amount of income that they can have in their career by this point in time already. If you start a little late, it’s best to chip in extra into your account.
In Your 60s
Getting into your 60s, you should have hopefully accumulated at least $245,000 before accessing your super. It can be exciting as you finally use all your hard-earned money, but it wouldn’t be ideal to sap up all the funds at once. Be sure to seek advice about how you can manage and extend the use of your cash.
Growing with Your Super
The ages and milestones may differ for each person depending on their experience, their career and more. However, it’s crucial to make ways to grow your super as you age. Getting the right financial advice can greatly help you in staying right on track though, up until your last day of being in the workforce.
Looking for superannuation advisers in Australia? Central Coast Financial Planning Group’s advisers on the Central Coast Highway in Erina, NSW provide superannuation advice while assisting you in making sound financial decisions. Contact us today!
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