Women take control of planning for retirement
27 November 2006
Women are taking up the challenge of funding their retirement and are proactively contributing money into a range of investments including superannuation, shares and property, according to research from Commonwealth Financial Planning.
Commonwealth Financial Planning’s ‘Lifestyle Aspirations’ research also revealed that the majority of women aged between 45 and 64 aren’t planning to work past the age of 65. However, to help boost their retirement income, nearly four in ten (37%) women in this age group are making additional super contributions or additional savings outside of their standard superannuation. Furthermore, almost half (46%) are building assets such as shares, property or other investments to save for their retirement.
Robyn Johnson, a financial planner with Commonwealth Financial Planning, said,
"Relying purely on statutory superannuation contributions to maintain a comfortable lifestyle in retirement is unlikely to be sufficient, so it’s encouraging that so many women are taking control of their finances and exploring additional avenues for investment."
The main research findings include:
The majority (70%) of women aged between 45-64 don’t plan to work past the age of 65.
Nearly four out of ten (37%) women aged 45-64 years are making additional contributions to superannuation on a regular basis or making additional savings outside of superannuation.
Almost half (46%) of women aged between 45-64 years are building assets such as shares, property or other investments to save for their retirement.
The majority (85%) of women aged between 25-44 are currently planning to fund their retirement lifestyle with income from their superannuation fund, and more than half (57%) are planning to draw down from general savings or the sale of other assets, while just 29% are planning to fund it through the government pension.
According to Ms Johnson, the fact that the majority of younger women are aware that the government pension alone will not sustain their retirement lifestyle is a positive sign. However, she stressed that they need to take a more proactive approach to retirement savings.
"The earlier that people start to proactively save for their retirement years, the more financially secure they’ll be in the long term. It’s never too early to start making additional savings over and above standard superannuation contributions. A financial planner can advise how those savings can be made and what the best options are," Ms Johnson said.
Commonwealth Financial Planning employs financial planners who have diverse financial backgrounds including investment, superannuation and insurance specialists. With over 200 female financial planners, Commonwealth Financial Planning has one of the largest groups of female financial planners in Australia.
For more information, contact:
Executive Manager, Media and Issues Management
Marketing and Communications
Phone: (02) 9378 5965 / Mobile: 040009692
Mobile: 0407 901 441
Editors please note Robyn is available for interviews Sunday night between 7PM and 8PM.