Australians are often thinking about retirement, but don’t know how long their retirement will be, according to research by BT Financial Group.
29% of Australians cannot give an estimate of how long they will be retirement, according to the BT Australian Financial Health Index. 26% of Australians give an estimate of 20-29 years.
Melinda Howes, General Manager of Superannuation for BT Financial Group, said people don’t know how long their retirement will be because of a lack of planning for this phase of life.
“Clearly none of us know how long we will live in retirement, but health and lifestyle are good indicators. Importantly, making a plan and sticking to it will give more control over how and when we retire,” Ms Howes said.
Though the index also finds that Australians are thinking about retirement, with 41% of people aged 55-64 thinking about retirement either ‘often’ or ‘daily’.
“It’s not surprising that those closest to retirement are thinking about it the most, but the big difference is between worrying and thinking about it, plan, to taking action, getting advice and feeling confident about retirement,” said Ms Howes.
Australians are also seemingly more positive about their retirement prospects. In 2012 7% of Australians expected to retirement before age 55, this had grown to 10% in 2015.
In 2013 44% of Australians said they worried about their finances in retirement, in 2015 this had fallen to 40%. Over the same time period those saying they felt ‘excited and energised’ when planning for retirement had increased from 14% to 21%.
“It’s great to see more Australians engaged with super, but the reality is, we can all be more proactive in affecting the outcome,” said Ms Howes.
“It’s really a great time for more Australians to seize the day, take stock and make a super plan.”