An increasing number of Australians are failing to contribute enough to their superannuation to comfortably retire, research by industry super fund Club Plus Super has shown.
The survey showed that while more than half of respondents understood how much money they need to have at retirement age, only one third were making extra contributions to their super fund.
Paul Cahill, CEO of Club Plus Super, said there remains a clear gap between people’s realisation of what they need to adequately retire on, and the action taken to satisfy those future demands.
“While it’s pleasing to see that the level of people contributing extra funds to their superannuation is growing, these contributions remain at an unsatisfactory level when one considers Australia’s rapidly ageing population,” he said.
“A rapidly ageing population coupled with already strained healthcare and retirement infrastructure means that we may have the 'perfect storm' approaching the world in the coming decades.
“It is clear from this research that the super industry needs to continue to work at educating and incentivising Australians to adequately plan for their retirement – otherwise we risk making this storm unnecessarily severe,” Mr Cahill said.