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The Cost of a Comfortable Retirement in 2026

The Cost of a Comfortable Retirement in 2026

How much does it really cost to retire comfortably in Australia in 2026? The answer depends on your lifestyle, but benchmarks provide a useful guide.

The ASFA Retirement Standard

According to the Association of Superannuation Funds of Australia (ASFA), a “comfortable” retirement costs:

  • $52,383 a year for singles
  • $73,875 a year for couples*

This covers a range of discretionary spending such as holidays, dining out and home improvements – not just the basics.

A Modest Lifestyle

A more “modest” retirement, which covers essentials without many extras, costs about:

  • $32,665 for singles
  • *$46,994 for couples

How Much Super Is Needed?

To achieve the “comfortable” standard, ASFA estimates retirees need around $595,000 for singles and $690,000 for couples. But most retirees combine super with the Age Pension, meaning actual balances can be lower.

The Impact of Inflation

Recent cost-of-living increases have pushed these benchmarks higher – adding several thousand dollars to annual budgets compared with just a few years ago. Retirees need to plan for ongoing rises in essentials like energy and food.

Final Thought

Benchmarks are useful, but comfort is personal. The best plan matches resources with your lifestyle expectations, not someone else’s average.

References

  • Association of Superannuation Funds of Australia (ASFA). Retirement Standard, March 2025.

Disclaimer: This information is of a general nature only and does not constitute advice. It has been provided without taking account of your objectives, financial situation or needs. Because of this, we recommend you consider, with or without the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Hendrie Financial Strategies is a corporate authorised representative of the Madison Financial Group Pty Ltd, Australian Financial Services License No 246679, ABN 36 002 459 001.

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