Here's the average Australian superannuation balance at age 50 in 2024

How does your super compare to the average person?

A green-caped superhero reveals their identity with a big dollar sign on their chest.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Given how low the Australian pension is, if you are aiming for a comfortable retirement, you will undoubtedly want to finish your career with as much superannuation as possible.

But given that most people understandably don't talk about their superannuation balances with their friends and colleagues, it can be difficult to know how you compare to the average person and whether you are on course to retire wealthy or not.

Knowing your balance and where you stand compared to your retirement goals is very important. That's because if you have fallen behind the curve, you have time to make extra contributions to hit your target.

For example, if you have recently turned 50, you currently have 17 years until you hit retirement age. Thanks to the power of compounding, that's more than enough time to generate significant wealth from ASX shares.

But what is the average Australian superannuation balance at age 50 in 2024? Let's take a look at what the data shows.

The average Australian superannuation balance at age 50 in 2024

Well, firstly, the data for 2024 is not yet available, but it's safe to say that the numbers won't have changed much since the last data release.

According to the nation's largest super fund, AustralianSuper, the average superannuation balance for women aged 50-54 in 2023 was $191,400. For men aged 50-54, the average balance stood at $289,900.

Though, it is worth noting that this is the average across the 50-54 years old range. It is probable that most 50-year-olds will have superannuation balances below the average of this group.

Nevertheless, let's imagine that we can compound these figures by 9% per annum for 17 years and add $750 a month to the balances. What will we end up with?

For women aged 50, their superannuation balance would grow to $1,177,081 by the time they are 67. And for men aged 50, their balance would become $1,603,352.

Is this good?

The good news is that these figures are at the comfortable side of retirement life.

For example, financial services company AMP Ltd (ASX: AMP) estimates that a single retiree needs to have $1.25 million in their superannuation to fund a "comfortable retirement." This allows for $50,207 in annual expenses using only their superannuation.

Whereas for a "modest retirement," a single retiree would need $795,000 for $31,867 per annum expenses.

What if you're behind the curve?

If you're behind the curve with your superannuation balance, the best thing to do is to make extra contributions wherever possible.

For example, if you were 50 years old with a superannuation balance of $150,000, if your balance compounds 9% per annum, you could grow your superannuation to $1.2 million in 17 years by adding $1,200 to it monthly.

The key is to understand your balance and your goals, and what you need to do now to achieve the latter.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Superannuation

Man looking at his grocery receipt, symbolising inflation.

Is your superannuation keeping up with the cost of living crisis?

Superannuation is an integral asset. How is inflation affecting things?

Read more »

a line of job applicants sit on stools against a brick wall in an office environment, various holding laptops , devices and paper, as though waiting to be interviewed for a position.

6 ways young investors can boost their superannuation

Young Australians' investment preferences are influencing their superannuation strategies and outcomes.

Read more »

an older man dressed in singlet wearing thick neck chains and a side turned cap holds up two fingers while operating DJ mixing equipment with a record player and headphones around his neck.

Why I'd buy high-yield ASX dividend shares for superannuation in retirement

High-yield ASX dividend shares can make a lot of sense in retirement.

Read more »

An older man throws his hands up in excitement as he rides a carnival swing high up in the air.

Top ASX shares to buy for your superannuation fund in May 2024

Is your super working hard for you?

Read more »

Smiling elderly couple looking at their superannuation account, symbolising retirement.

Guess how many Australians know their superannuation balance?

We reveal how much you need in superannuation to properly enjoy your retirement.

Read more »

A middle-aged man working from home looks at his mobile phone with a laptop open on the table in front of him.

Will you need to keep working after retirement?

Two-thirds of Australians say they plan to continue working beyond their retirement age.

Read more »

parents putting money in piggy bank for kids future

Is the Bank of Mum and Dad now expanding to superannuation?

Three in four Australians are planning to give some of their superannuation as an inheritance to loved ones.

Read more »

Two people smiling at each other while running.

Australians overestimate how much they need in retirement: report

A new survey shows Australians think they need $1.6 million to retire.

Read more »