Only a tiny proportion of older Australians expect property income to be their main source of income in retirement, despite these people being among the least worried about their finances.
A new report from National Seniors Australia has found that while a majority of Australians are concerned about outliving their retirement savings, there is a very small proportion who do not display such fears.
“Having a source of income that will last for life” is a key factor behind the lack of worry – with the group of people living on dividends, rent or business income depicted as “relatively unconcerned” regarding their savings situation.
“These people are likely to have more wealth and be in a better financial position than most retirees,” the report outlined.
While one in 10 respondents (10.1 per cent) in the survey used for the report indicated that rent from investment property does already or would be a source of income in retirement for their household, just 1.6 per cent of the same respondent pool indicated that rent from investment property does or would be the main source of income in retirement.
The report also found that rates of worry around retirement savings and finances were 68 per cent higher among those who had yet to retire than those who had already transitioned beyond the work years.