Retiree cost of living increases

25 February 2016
| By Jassmyn |
image
image
expand image

Domestic and international holiday travel pushed a moderate rise in the cost of living for retirees in the December quarter, according to the Association of Superannuation Funds of Australia (ASFA).

ASFA figures found couples aged around 65 living a comfortable retirement needing to spend $59,236 per year and singles $43,184, both had 0.5 per cent increases on the previous quarter.

ASFA chief executive, Pauline Vamos, said it was positive for current retirees that the cost of retirement had not substantially increased over the past few quarters.

"However, many Australians are still retiring with an inadequate amount of superannuation. In order to achieve a comfortable standard of living in retirement, an individual requires a minimum of around $545,000 and a couple around $645,000," she said.

ASFA's report found domestic holiday travel and accommodation had an increase of 5.9 per cent to annual budgets, followed by international holiday travel and accommodation (+2.4 per cent). The most significant offsetting price falls were automotive fuel (-5.7 per cent), fruit (-2.6 per cent), and communications (-2.4 per cent).

Insurance prices also increased 2.1 per cent in the quarter, and over the last 12 months it increased 3.8 per cent.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

11 months ago
Kevin Gorman

Super director remuneration ...

11 months 1 week ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

11 months 1 week ago

Jim Chalmers has defended changes to the Future Fund’s mandate, referring to himself as a “big supporter” of the sovereign wealth fund, amid fierce opposition from the Co...

3 days 18 hours ago

Demand from institutional investors was the main driver of growth in Australia’s responsible investment (RI) market in 2023, as the industry continued to gain momentum....

3 days 18 hours ago

In a new review of the country’s largest fund, a research house says it’s well placed to deliver attractive returns despite challenges....

3 days 19 hours ago