How much $ is needed in retirement
#1
Guest
Posts: n/a
How much $ is needed in retirement
The latest Westpac-ASFA Retirement Living Standard released in February 2004, benchmarks the annual budget needed by Australians to pay for a comfortable and modest standard of living in the post-work years. It shows that:
to achieve a comfortable retirement lifestyle, a couple needs an annual income of $43,350 and a single person needs $32,800
to achieve a modest retirement lifestyle, a couple will need $23,550 each year and singles $16,930.
The items allowed for in the comfortable budget include:
to achieve a comfortable retirement lifestyle, a couple needs an annual income of $43,350 and a single person needs $32,800
to achieve a modest retirement lifestyle, a couple will need $23,550 each year and singles $16,930.
The items allowed for in the comfortable budget include:
- eating out from time to time
- mid-quality clothes from department stores (not discount chains)
- entertaining at home fortnightly
- private health insurance at the top rate
- a mid-range second hand car
- a few alcoholic drinks, including wine, per week
- being able to replace worn-out whitegoods with reasonable quality ones
- some kitchen or bathroom renovations, or alternatively house modifications to accommodate a mild disability.
#2
Banned
Joined: Mar 2003
Posts: 4,432
Retire at 65, $43,350 / yr until 85, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$771,568.71
Retire at 55, $43,350 / yr until 85, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$1,010,762.94
$43,350 / yr might be comfortable but not budgetting hassle free.
Tip for allocated pensions / annuities: take out the minimum required payments at first and increase to the maximum allowed at 80.
How much invested capital do you need:
$771,568.71
Retire at 55, $43,350 / yr until 85, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$1,010,762.94
$43,350 / yr might be comfortable but not budgetting hassle free.
Tip for allocated pensions / annuities: take out the minimum required payments at first and increase to the maximum allowed at 80.
Last edited by Megalania; Jun 29th 2004 at 3:54 am.
#3
Banned
Joined: Mar 2003
Posts: 4,432
Retire at 65, $43,350 / yr until 80, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$621,046.68
Retire at 55, $43,350 / yr until 80, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$900,435.65
How much invested capital do you need:
$621,046.68
Retire at 55, $43,350 / yr until 80, APRA approved investment yield 6.25%, inflation 3%, tax on allocated pension 15%.
How much invested capital do you need:
$900,435.65
#4
Rocket Scientist
Joined: Aug 2003
Location: Dreamland AKA Brisbane which is a different country to the UK
Posts: 6,911
But invested in what Megs!?!?!?!?!
#5
Banned
Joined: Mar 2003
Posts: 4,432
Originally posted by MrsDagboy
But invested in what Megs!?!?!?!?!
But invested in what Megs!?!?!?!?!
Where will one passively get 6.25% yield net of all charges and losses and will inflation average 3% for a real yield of ~3.25% over 15 to 30 years?
#6
Rocket Scientist
Joined: Aug 2003
Location: Dreamland AKA Brisbane which is a different country to the UK
Posts: 6,911
Originally posted by Megalania
Ah, now that IS the question, the rest is arithmetic.
Where will one passively get 6.25% yield net of all charges and losses and will inflation average 3% for a real yield of ~3.25% over 15 to 30 years?
Ah, now that IS the question, the rest is arithmetic.
Where will one passively get 6.25% yield net of all charges and losses and will inflation average 3% for a real yield of ~3.25% over 15 to 30 years?
#7
Banned
Joined: Mar 2003
Posts: 4,432
Originally posted by MrsDagboy
I have no idea, but if you find out, let me know, OK?
I have no idea, but if you find out, let me know, OK?
#8
Forum Regular
Joined: Jul 2003
Location: Manly West, east of Brisbane
Posts: 236
I saw a figure today that said the average needed in a Super fund for a comfortable retirement was $400K +. It seems that the average fund for retirees is under $200k - seems there may be a pensions problem waiting to happen out here as well as the UK.
Steve
Steve
#9
Banned
Joined: Mar 2003
Posts: 4,432
Originally posted by cookies
I saw a figure today that said the average needed in a Super fund for a comfortable retirement was $400K +. It seems that the average fund for retirees is under $200k - seems there may be a pensions problem waiting to happen out here as well as the UK.
Steve
I saw a figure today that said the average needed in a Super fund for a comfortable retirement was $400K +. It seems that the average fund for retirees is under $200k - seems there may be a pensions problem waiting to happen out here as well as the UK.
Steve
#10
Investment's easy: just buy shares when they are low and sell them when they are high.
Friend of mine let me into this secret some years ago.
Just finished selling all my shares prior to moving: I don't need to pay CGT. there's a clue there!
Friend of mine let me into this secret some years ago.
Just finished selling all my shares prior to moving: I don't need to pay CGT. there's a clue there!
#11
Banned
Joined: Mar 2003
Posts: 4,432
Originally posted by Rog Williams
Investment's easy: just buy shares when they are low and sell them when they are high.
Friend of mine let me into this secret some years ago.
Just finished selling all my shares prior to moving: I don't need to pay CGT. there's a clue there!
Investment's easy: just buy shares when they are low and sell them when they are high.
Friend of mine let me into this secret some years ago.
Just finished selling all my shares prior to moving: I don't need to pay CGT. there's a clue there!
#12
To get a retirement 410 visa for australia you are required to have at least$260,000 capital and $45,000 per year income and have to prove this every time you re-apply for the visa.:scared:
#13
BE Enthusiast
Joined: Sep 2003
Posts: 322
Originally posted by yafm
To get a retirement 410 visa for australia you are required to have at least$260,000 capital and $45,000 per year income and have to prove this every time you re-apply for the visa.:scared:
To get a retirement 410 visa for australia you are required to have at least$260,000 capital and $45,000 per year income and have to prove this every time you re-apply for the visa.:scared:
Peter