Chapter 3
How Much Super Is Enough?
In This Chapter
Seeking a comfortable lifestyle in retirement
Wanting more than $42,000 (or $58,000 for a couple) a year
Planning for your life expectancy
Assuming an investment return for the long-term
T he most popular question about superannuation and retirement planning is, without doubt: ‘How much money is enough?’
A glib response to this question may be: ‘Enough money for what?’ From the many times, though, that I’ve been asked this question, I know that when most Australians ask it, they really want to discover the answer to: ‘How much money do I need to maintain (or improve) the lifestyle I currently have until the day I die?’ For some Australians, the question also includes: ‘And to leave enough money to help my family after I’ve gone.’
Your own answer to this question depends on four main factors: