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Super changes reflected in later retirement plans
The recent negative publicity around the Government's Budget changes to superannuation may have prompted more Australians to plan on delaying their retirement, according to new data from Roy Morgan Research.
The research, released this week, found that the average age of Australians intending to retire in the next 12 months had increased from 58 two years ago to 61 today.
According to the Roy Morgan analysis, this increase is "likely to be a reaction to extensive negative publicity given in the lead-up to changes to pension eligibility and superannuation rules, combined with low deposit rates and economic uncertainty".
It said the increased average age of intending retirees had reduced their number in the next 12 months to 395,000, down from 411,000 in 2014.
The Roy Morgan analysis said that, currently, the average gross wealth (excluding owner-occupied homes) of intending retirees is $286,000, up just 3.6 per cent from $276,000 since 2014.
It said superannuation was playing an increasing role in retirement funding, accounting for 62.9 per cent of gross wealth of intending retirees, up from 57.6 per cent in 2014.
The analysis said that despite this increase, there remained major potential for superannuation funds to attract additional after-tax funds from many of their members.
"The average debt level of only $18,000 for this group is not a major problem and reduces the average net wealth to $268,000," it said.
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