With three numbers you already know, you can calculate what you may need to achieve the lifestyle you want when you are no longer working.
|Of course this is based on some general assumptions|
The Retirement Number calculator assumes your retirement income is 75% of current income (which is assumed to grow at the same rate of growth in Average Weekly Ordinary Time Earnings (AWOTE) (est. 4%) up to your selected retirement age. Your retirement amount is invested so that it earns a gross rate of return of 8.16 p.a. for a period based on the average life expectancy of women and men (from the nominated retirement age) plus 5 years – investments are subject to investment risk including the loss of income and principal invested. This rate of return is representative of a balanced portfolio, with investments across various underlying asset classes. Your retirement income is indexed annually by inflation (est. 3%). Your retirement income payment is drawn at the start of year and the net return is credited at the end of year. You do not receive other sources of income during your retirement such as an age pension. Tax is not taken into consideration in terms of the earnings on your retirement amount and the retirement income that you receive. Fees have not been taken into consideration in terms of the earning on your retirement amount and the retirement income that you receive.
We believe that the assumptions made in the Retirement Number calculator are reasonable but they are only illustrative of the relevant matters taken into consideration and they may change. While ANZ has taken all reasonable care in producing this information, subsequent changes in circumstances may occur at any time and this will impact on the results produced. The estimate of your retirement amount is provided for illustrative purposes only and the Retirement Number calculator does not provide an accurate prediction of your retirement planning requirements. It does not take into account your particular objectives, financial situation or needs and the variables and assumptions that it is based upon are unlikely to match your situation precisely.
Your retirement number could be easier to achieve than you think
When you take into account all your current and future savings and investments, plus the potential growth of assets you may already have, like shares and real estate, you may be pleasantly surprised at your current financial position.
The important thing is to start putting together your financial plan as soon as possible. Based on your current situation and your choices, an ANZ Financial Planner can help you achieve the type of retirement you want.
Everyone deserves a plan
It's easy to put off developing your plan, but the longer you leave it, the harder it is to achieve your chosen goals – and the more it can impact your lifestyle in retirement. So for a happy and comfortable retirement, start today.
We recommend that you obtain financial advice specific to your personal objectives, financial situation or needs before making any financial investment or insurance decision, and how tax laws may impact upon your retirement planning and needs. Unless specifically stated otherwise, this material is only prepared for residents of Australia. Australia and New Zealand Banking Group Limited (ANZ) ABN 11 005 357 522 AFSL 234527. ANZ's colour blue is a trademark of ANZ.
ANZ Financial Planners are representatives of ANZ, the holder of an Australian Financial Services License number 234527.