How much super should you have at your age?

Whether retirement is 30 years away or just around the corner, paying attention to your super is vital. After all, for most of us, it will be our major source of income when the day comes to hang up our work boots.

The tricky part can be figuring out whether your super balance will be enough to fund the lifestyle you hope to have in retirement. 

How much super do you need to retire?

This raises the first question - how much super do you need to retire? The reality is this number will be different for everyone. It depends on a number of factors including when you want to retire, the type of life you want to live and any other assets you'll have to draw on. 

That said, a common benchmark in Australia is the ASFA Retirement Standard which shows the lump sum amount needed by the average Australian to fund a comfortable and modest retirement. ASFA estimates a single person aiming for a "comfortable" retirement will need $595,000, while a couple will need $690,000.

What does a comfortable retirement look like according to ASFA? The retirement standard figure accounts for daily essentials, such as groceries, transport and home repairs, as well as private health insurance, a range of exercise and leisure activities and the occasional restaurant meal. It includes an annual domestic trip and an international trip once every seven years.

Is your super on track?

So, how do you know if you're super is on track to hit that goal? One option is to plug some numbers into a retirement calculator. There are plenty online that will give you a projection of what your super balance is likely to be based on the figures you provide. 

Another option is to use SuperGuru's Super Balance Detective calculator. All you need to do is enter the year you were born and it will show you roughly how much you should have in super now to reach the ASFA Comfortable Standard balance by age 67. 

How much super should you have at your age?

We used the calculator to estimate how much you would need based on various ages. As you can see, if you are 30 you should have about $66,500 in super but if you're 40 that figure more than doubles to $168,000.
 

Source: SuperGuru's Super Balance Detective calculator, November 2024. 

Now it's time to put your super to the test to see how your balance stacks up. Keep in mind these figures are based on a single person hitting the $595,000 goal. If you're part of a couple your balance doesn't need to be quite as high. 

If you find there's a shortfall, chances are you're not alone. APRA's latest quarterly superannuation bulletin, for example, shows that the average super balance for a male aged between 40 and 44 is $115,009 and $89,408 for a female. These figures are below the 'required' balance for a 40-year-old.

Tips to boost your super balance

The good news is that even if your balance isn't where you'd like it to be, there are a few things you can do to give it a boost. Better yet, some of the options don't even require you to add in a cent of your own money. Check out these tips:

• Track down any lost super. There's almost $18 billion in lost super waiting to be claimed. If you find out if any of that belongs to you that will give your balance an instant lift.
• Consider consolidating super funds. If you have multiple super funds, you may want to look into rolling them into a single fund so that you can save on fees. Moneysmart warns that you should check your insurance before leaving a fund because you might not be able to get the same cover. It suggests being particularly careful if you have a pre-existing medical condition or are aged 60 or over.
• Give your super a health check. Take a closer look at how your fund has been performing over the long term and how it compares with similar options. Also check the fees because they can eat into your returns.
• Check out cashback sites. You've probably heard of cashback sites such as Cashrewards and ShopBack that pay you each time you shop using their platform. Grow My Money and Boost Your Super work in a similar way but instead of adding the money to your bank account, they will add it to your super. 
• Make extra contributions. You can do this from your before-tax income via salary sacrifice. Or you can make contributions out of your own pocket, which can usually be claimed on tax. These are both considered 'concessional' contributions and a cap of $30,000 a year applies. Keep in mind this limit also includes your boss's contributions. If your before-tax super contributions reach the $30,000 annual limit, it's possible to make additional after-tax contributions - up to $120,000 a year.