Your retirement income estimate
Is your personal retirement income estimate a picture of your future?
We created your personal retirement estimate to answer the two questions that almost everyone asks about their super:
- How much super will I have when I retire?
- How long will my super last?
We think it makes it a little bit easier to see the potential future income from your Media Super account. But we know the estimate may not reflect your personal situation. Full details of your personal retirement estimate are in your annual statement. Your personal video, the information on this page, and your annual statement all work together to give you an idea of what you could expect in retirement.
Here are some things to help you.
Three steps to getting a more accurate estimate
In addition to your Media Super account, there may be three other sources of income for your retirement you can consider to get a clearer picture.
Step 1: Consider all your super accounts
Many Australians have more than one super fund – it can happen as you change jobs. So by including all the super accounts you have, this will improve the accuracy of your estimate.
Check your paperwork or contact us to search for other super accounts for you.
Step 2: Include your partner’s super
Most of us plan to retire with our partner and the Government Age Pension is worked out on whether you have a partner or not, their age, income and assets they have.
So when creating your estimate, it makes sense to put your partner’s super in the mix. You can find more information about this in your annual statement.
Step 3: Think about any other income sources you may have
Super is just one way to save for the future. You may have a savings account, shares or an investment property. They may produce regular income (such as dividends or rent) or you may plan to sell them when you retire.
These other investments could have a big impact on your income so should be included in your estimate.
A few options that could improve your estimate
The good thing is that there are a number of activities you could consider doing today. And while they may seem small now, they could have a big impact over time.
If you want some advice our specialised our Advice Services Team is a great place to start and is one of the benefits of your membership.
1. Choose a high performing low-cost super fund
The difference between what you pay and what you get back in returns is what directly benefits you. You want this to be as large as possible.
2. Keep track of your super in one account
More than one account means extra fees could be eroding your savings. Combining all your super could save you money and make it easier to keep track of (but before deciding to combine, you should consider any insurance changes or fees first). It's never been easier to consolidate your super.
3. Make extra contributions
Putting a little more into your super account could make the biggest difference to how much you’ll retire with. Depending on how many years you’ve got before you retire and how much you earn, there are a couple of clever ways to boost your super. And you may not need to put in that much, just small, regular amounts could help.
4. Consider a different investment option
The longer your timeframe, the more opportunity you have to ride out short-term volatility in markets. As a Media Super member you have access to a range of investment options that have different objectives over the long term, to suit different types of investors. Remember, you can speak to an expert Media Super adviser about your super at no extra cost. It's part of your membership.
Help to better understand your estimate
While strict government rules have allowed us to base your personal retirement estimate on some of your Media Super account details, we know your estimate is not likely to match your personal situation or use assumptions which match your goals. We’ve highlighted some of the main assumptions required by the government that we think are the most important for you to know. Full details of the assumptions used to create your personal retirement income estimate are contained in your 2023 annual statement.
|Government assumption||What these mean for you|
|Investment return –for the growth stage it is the expected return of your current investment option over a rolling 10-year period (after investment fees and costs) based on inflation plus a return objective as outlined in the Investment Handbook. For the drawdown phase it is assumed you invest your super in the Conservative Growth option, or if you already invest some of your super in the Conservative, Diversified Fixed Interest or Cash options, then only the balance invested in other investment options will be transferred to the Conservative Growth option. Full details can be found in your annual statement.||While these investment objectives are set by our expert investment team, they may change over time or may not match your actual circumstances now or in the future.|
|You retire at 67 and will draw down from your super until you’re 92.||For Media Super members we know retirement can occur at a much earlier age.|
|You own and have paid off your own home before you retire||This is a good place to be in, but not always the case.|
|You’re in a couple and your partner has the same age, income and assets as you||This is very unlikely to reflect your personal situation.|
|Any account contributions or deductions made in this financial year will continue until retirement||Your actual income, super contributions and personal contributions and deductions will vary over time.|
|Wage growth inflation of 4% per annum and Price inflation of 2.5% per annum||These assumptions are based on the regulatory requirements and may not reflect actual inflation and wage growth rates.|
The Advice Team has the tools to craft an estimate that really matches your personal situation.
ASFA retirement standard modest and comfortable retirement costs
We’ve compared your retirement income estimate to the ASFA Retirement Standard benchmark, which shows how much a modest or comfortable retirement might cost in today’s terms. The ASFA amount used on annual statements and personalised videos was that:
- a modest retirement costs $881 a fortnight*
- a comfortable retirement costs $1,355 a fortnight*
These amounts reflect 50% of the ASFA couples budget for various households and living standards for those aged around 65 because our retirement income estimate calculations assume that you’re a couple (see above). The ASFA Retirement Standard is updated quarterly. If you’re single or would like the latest modest and comfortable amounts, visit the retirement standard section of the ASFA website.
*ASFA retirement standard as at March 2023.
We're here to help
If you’d like to learn more about Media Super or have any questions about joining, we can help you with any questions you might have.