When should I retire?

Partnervest

A practical guide for union members – brought to you by SimpleInvest

**This article shares handy tips and general information only to help think about retirement and does not take into account your personal objectives, financial situation or needs. It is not personal financial advice, so you should consider your own circumstances and speak to a qualified financial adviser before making decisions.

Retirement isn’t about hitting a magic age – it’s about knowing when your income, savings, and lifestyle line up so you can step back with confidence. For many union members, the biggest question is simple: “Will I have enough?”

The good news is that with the right planning, most Australians can retire comfortably between 60 and 67, depending on their super, savings, and whether they’ll receive the Age Pension.

It also helps to speak with your super fund’s financial adviser well before retirement, not just when you are ready to stop work. Getting advice early can help you understand your options, make better contribution and investment decisions, plan for when to access your super, and avoid last‑minute surprises that can affect your retirement income.

1. Start with the income you’ll need

Most members don’t think in terms of lump sums – they think in terms of weekly income. Illustrative ranges often referenced in industry research include:

• Singles: $45,000–$55,000 a year
• Couples: $60,000–$75,000 a year

These ranges cover everyday living, bills, food, transport, and some travel.

Some industry approaches use drawdown ranges (e.g. 5–6%), but outcomes vary significantly depending on individual circumstances.

2. How much super do I need?

Everyone’s situation is different, but:

• Illustrative figures often cited in industry research are in the range of $850,000–$1 million, depending on individual circumstances
• Less if you’ll receive a part Age Pension, which most Australians do

Remember: as your super balance reduces, your Age Pension usually increases, helping support your income later in life.

3. The big milestone: age 65

At 65, you can move your super into an account‑based pension, which means:

• Tax‑free investment earnings
• Tax‑free withdrawals
• More flexibility in how you manage your retirement income

For some members, this may be the point at which retirement options are considered.

4. Why savings outside super matter

In addition to super, many members want money they can access:

• Before retirement
• For emergencies
• For helping family
• For travel or home repairs
• Without affecting their super strategy

There are a range of options available to build savings outside super, and different approaches may be appropriate depending on individual circumstances. One option available is SimpleInvest.

How SimpleInvest helps union members

SimpleInvest is designed to sit alongside your super, not replace it. It gives members:

• A simple, low‑cost investment account for non‑super savings
• Access to diversified investment options
• The ability to build extra retirement income
• Flexible withdrawals whenever needed
• Clear reporting and no hidden fees

For members, SimpleInvest can act as a “retirement buffer” to assist in managing savings outside super.

It is also worth thinking about what you want retirement to look like day to day, not just whether you can afford it. Many people ease into retirement by working part time, volunteering, or supporting family members and grandchildren. Planning how you will use your time can make the transition smoother, because mental health and purpose are just as important as financial health when you retire.

SimpleInvest is one of a number of available options and may not be suitable for all members. You should consider your circumstances and the relevant PDS and TMD before deciding whether to use the product.

Putting it all together

In preparation for retirement people generally consider factors such as:

• whether super + SimpleInvest + Age Pension can cover their lifestyle
• debts are paid off (or close to it)
• there is a buffer for unexpected costs
• having confidence about income lasting through retirement

Most union members reach this point between 60 and 67, depending on their work history, super balance, and savings habits however union members have a wide range of financial circumstances, which can affect retirement outcomes.

General Advice Warning

This information is general in nature and does not take into account your personal financial situation, objectives, or needs. You should consider whether this information is appropriate for you, having regard to your own personal circumstances, and consider the relevant Product Disclosure Statement (PDS) and Target Market Determination (TMD) before making any financial decisions. Consider seeking personal financial advice if you require recommendations tailored to your circumstances.