Do you have enough to retire?

Author name:: By Ashley Sim
Job title:
Date posted:: 15 October 2021, 8:30 AM

One of the most asked questions for those contemplating retirement is “Do I have enough to retire”? This question may be difficult to answer given some of the following major issues that retirees are facing.

Longevity

Australian’s life expectancies are increasing over time. We can now expect to live on average 5 – 7 years longer than our parents or grandparents did. This trend is rapidly increasing due to amazing medical breakthroughs we are experiencing, as well as our increased knowledge on diet and exercise. Therefore, we are required to support ourselves longer than ever during retirement and the importance of ensuring there is sufficient assets to fund retirement is increased.

Low interest rates

In the past, many retires have had the luxury of leaving their hard-earned savings in the bank and earning a high return. However, with today’s record low interest rates many retirees are being forced to invest or risk having their funds run out.

Income

Another issue is where will this income come from? How long will each income source last? Three major sources of income include:

Superannuation – in the form of an income stream
Non-superannuation assets - such as shares, property and cash
Centrelink – aged pension entitlement

If you are concerned about funding your retirement, a financial planner will be able to help you. They can sit down with you and help map out what your retirement could look like, evaluate potential income sources and run some financial projections to assess how long your funds could last you.

Let Us Help

If you are interested in discussing retirement planning please contact Morgans Mackay today by calling (07) 4957 3033 or visiting the Morgans Mackay webpage.

Disclaimer: The information contained in this report is provided to you by Morgans Financial Limited (Morgans) AFSL 235410 ABN 49 010 669 726 as general advice only and is made without consideration of an individual's relevant personal circumstances. Morgans, its related bodies corporate, directors and officers, employees, authorised representatives and agents ("Morgans") do not accept any liability for any loss or damage arising from or in connection with any action taken or not taken on the basis of information contained in this report, or for any errors or omissions contained within. It is recommended that any persons who wish to act upon this report consult with their Morgans investment adviser before doing so.