For many Australians, age 57 feels like the "make-or-break decade" for superannuation.
You're still working, but the finish line is in sight. With just ten years until age pension access, the choices you make now will heavily influence whether you step into a comfortable retirement or face financial strain.
Where do you stand?
The Australian Retirement Trust reports that the average super balance at retirement (age 65-74) is $435,900 for men and $381,700 for women. These figures, while improving, fall well short of what's needed to fully fund a comfortable retirement without additional income.
If you're 57 today, that means you have a decade to push beyond the averages. The next ten years are your best chance to close any gaps.
Comfortable vs modest retirements
ASFA's Retirement Standard shows a sharp contrast between modest and comfortable lifestyles.
- Comfortable: top-level health insurance, leisure and fitness, domestic and occasional overseas travel, dining out, new household items, and digital subscriptions.
- Modest: the basics — food, utilities, transport, and limited leisure — with little scope for bigger expenses.
Importantly, these budgets assume you own your home. If you're renting, retirement costs can climb by more than 30% a year.
Costs rising faster than inflation
The cost of retirement isn't standing still. In the year to June 2025, the price of both modest and comfortable lifestyles rose 2.75%, outpacing the broader CPI increase of 2.1%.
Key pressures include:
- Health: more than $11,000 a year for couples in insurance and out-of-pocket costs.
- Utilities: electricity and gas bills are climbing by double digits.
- Food: groceries topping $13,000 annually for a comfortable couple.
- Technology: nearly $3,000 each year for broadband, mobiles, and streaming.
This means the bar for retirement readiness is moving higher every year.
How much do you need?
ASFA's savings benchmarks at retirement are:
- Comfortable couple: $690,000
- Comfortable single: $595,000
- Modest couple (homeowners): $100,000
- Modest single (homeowners): $100,000
- Modest couple (renters): $385,000
- Modest single (renters): $340,000
At 57, measuring your super balance against these benchmarks gives you a reality check — and a chance to adjust course.
Ten years to act
The good news is that the final decade before retirement is also the most powerful. With focus and discipline, there's still plenty of time to add meaningful dollars to your nest egg.
1. Boost concessional contributions
Salary sacrifice is one of the most effective strategies. Contributions are taxed at 15%, often lower than your marginal rate, so you grow your super faster while cutting your tax bill.
2. Use non-concessional and bring-forward rules
If you have extra savings, after-tax contributions can make a big difference. The bring-forward rule even allows up to three years' worth of contributions in a single hit.
3. Consider downsizer contributions
At 55 and over, selling your home lets you contribute up to $300,000 into super (or $600,000 as a couple), boosting balances without breaching other caps.
4. Review and consolidate
Check your investment mix. Too conservative, and your super may lag inflation; too aggressive, and volatility could derail your plans. Many funds offer lifecycle or balanced options. Also, consolidate accounts and review insurance premiums to cut unnecessary fees.
Foolish Takeaway
At 57, retirement is no longer a distant thought; it's a looming reality. The next decade is your best chance to turn uncertainty into confidence. By maximising contributions, exploring downsizer and bring-forward strategies, and keeping your investments aligned with your goals, you can give yourself the best shot at a comfortable retirement.
