Retirement in Australia
Every year there is about 120,000 people ready to retire in Australia at an average age of 64.8.
In 2022-23 there were 4.2mil retirees in Australia and Age Pension was the main source of income for most retirees
In 2022-23, 54% of retirees were women.
The population of retired men increased more than women.
On average, women retire sooner than men. However, women are retiring later than in previous years.
But life is becoming more and more expensive in Australia, so are those statistic about to change with the rising costs of living?
It might surprise you, but most people in Australia are still planning to retire in their mid 60s despite cost of living increase in recent years.
The average retirement age has risen slightly, but not significantly over the period of the last 10 years. Most people still plan to retire between age of 65-66
As you can see in the chart from Australian Buro of Statistics the main source of income for most retirees in Australia are:
- Australian Age Pension – the reliance on Age Pension has been reduced for both men and Women over the last 10 years
- Superannuation – income received from superannuation or income streams has increased for both men and women when comparing now and 10 years ago
- Personal income – the number of people with extra personal income during retirement has increased for both men and women over the same 10 year period.
Interesting facts:
- People working in agriculture, forestry and fishing have the highest retirement age of 68.3
- Other sectors of late retirement are real estate, manufacturing, wholesale trade and administrative services.
- Not surprisingly people working in mining retire the youngest at average age of 63.7
- People working in telecommunications, financial services, the arts and education also tend to retire earlier.
Over the next 5 year we expect approx. 710,000 people to retire in Australia with financial security being the number one requirement to make such a decision, followed by health and reaching Age Pension age.
By: Katherine Isbrandt CFP®
Money Strategist & Retirement Planner
Principal of About Retirement
