Australian women need to take an active role in their superannuation savings in order to plan for retirement, according to the Australian Taxation Office.
Figures show that the average superannuation balance at the time of retirement is only $112,600 for Australian women, well below what it needed for a comfortable retirement.
“That’s much less than the amount a single woman needs for a $40,000 a year retirement income, which is at the lower end of the ‘what’s adequate’ scale,” Assistant Commissioner Megan Yong said at the Women’s Super Summit in Melbourne today.
The Summit is being held by Women in Super and the Australian Institute of Superannuation Trustees to discuss the superannuation gender gap and potential policies for closing it.
“It’s never too late for women to start learning about all sorts of practical things they can do to make a difference to their super over time,” Yong says.
According to ATO calculations, putting the equivalent cost of a cup of coffee into your super each day can add up to $128,000 to your retirement savings pool over a 35-year period.
“Put whatever extra you can afford into your account. As the cup of coffee example demonstrates, it can pay you back many times over,” Yong said.
The ATO is also encouraging women to increase their understanding of superannuation by visiting the ATO’s 5-step super check.
“We’ve explained super in easy-to-understand language and provided practical steps women can take to improve their retirement incomes in the long term,” Yong said.
