The cheapest places to retire in Australia often involve regional areas with lower housing costs, like Rockville (QLD) near Toowoomba, Hervey Bay (QLD), Ingham (QLD) (very low prices), Adelaide (SA) as an affordable capital, Launceston (TAS), Wodonga (VIC), and Mandurah (WA), all offering good access to amenities, healthcare, and a relaxed lifestyle without the big city price tag, though costs vary by specific suburb and property type.
Hot Springs Village, Arkansas, is the best place to retire with little to no savings. More than 60 percent of the town's population is aged 65 and above, and annual expenses are estimated to be $21,114. Foley, Alabama, and The Villages, Florida, are the second and third best places to retire without savings.
Yes, $600,000 can be enough to retire at 60 in Australia for many, especially if you're a single person aiming for a comfortable lifestyle, but it depends heavily on your spending, assets, and eligibility for the Age Pension. While some sources suggest $600k covers a single's comfortable retirement (around $52k-$53k/year), it's near the lower end, and couples might need closer to $700k for a similar standard, making financial planning crucial for a stress-free retirement.
Yes, $80,000 a year can be enough for a comfortable retirement in Australia, especially for a single person with a good super balance, but it depends heavily on your lifestyle goals (e.g., travel), housing status (mortgage-free?), and whether you'll receive the Age Pension; while a single might aim for $1.4M in super, a couple might need closer to $1.2M-$1.4M, or potentially less if they get some pension, but figures vary significantly based on individual circumstances.
As a guide, the Association of Superannuation Funds of Australia's Retirement Standard indicates to have a 'comfortable' retirement, single people (aged 65 - 84) will need $595,000 in retirement savings, and couples will need $690,000.
The biggest retirement mistake is often failing to plan adequately, which includes underestimating expenses (especially healthcare), ignoring inflation's impact on purchasing power, not starting savings early enough to benefit from compound interest, and leaving retirement savings in the wrong place (like not converting super to a tax-free pension), leading to running out of money or living a constrained lifestyle. A lack of a clear budget, not understanding investment options, and neglecting lifestyle/purpose planning also rank high.
As a single person, a balance of around $360,000 would be enough for an income of about $52,000 per year (using a combination of super drawdown and Age Pension payments), which is close to what ASFA estimates is needed for comfortable retirement.
Fewer people have $1 million in retirement savings than commonly thought, with around 4.6% to 4.7% of U.S. households having $1 million or more in retirement accounts, according to recent Federal Reserve data (2022), though this percentage rises for older age groups, with about 9% of those aged 55-64 reaching that milestone. However, the median retirement savings are much lower (around $88,000-$200,000), showing a large gap between averages and reality, with many retirees having significantly less, notes.
Concessional super contributions are taxed at 15% when they are received by your super fund. There are some exceptions to this rule: If you earn $37,000 or less, the tax is paid back into your super account through the low-income super tax offset (LISTO) .
The $1,000 a month rule for retirement is a simple guideline: save $240,000 for every $1,000 you want in monthly income, based on a 5% annual withdrawal rate ($240,000 x 0.05 = $1,000/month). It's a popular tool for estimating total savings needed, but it doesn't fully account for inflation, healthcare, or taxes, so it serves as a starting point rather than a definitive final number for a personalized plan.
Des Moines, IA
For retirees looking to live in a big city on a small budget, Des Moines is a good choice. Affordability is just one reason the Milken Institute ranked the state capital among the 100 large U.S. metro areas for successful aging in 2025.
Cheapest States to Retire In
For the cheapest beachside living in Australia, look to regional South Australia, Tasmania, and regional Western Australia, with towns like Port Lincoln, Burnie, Geraldton, and Albany offering lower median house prices compared to the East Coast, while spots in Queensland (like Yeppoon) and NSW (like Stuarts Point) also provide more affordable options away from major cities, balancing coastal lifestyle with value.
The superannuation 'sweet' spot refers to the point where your super and other assets' total balance sits just under the asset test limit which allows you to receive the full Age Pension. When your super balance grows over this limit, your pension is reduced by $3 a fortnight for every $1,000 above the threshold.
Once you have $1 million in assets, you can look seriously at living entirely off the returns of a portfolio. After all, the S&P 500 alone averages 10% returns per year. Setting aside taxes and down-year investment portfolio management, a $1 million index fund could provide $100,000 annually.
The median savings are much lower: Federal Reserve data shows that 65 to 74-year-olds have a median of $164,000 in their retirement accounts. In other words, half of that age group has less than $164,000, and half have more. The median for those 75 and older is $83,000.
The top ten financial mistakes most people make after retirement are:
If you have superannuation in Australia, even from temporary work, that account remains when you move overseas.
The golden rule of saving 15% of your pre-tax income for retirement serves as a starting point, but individual circumstances and factors must also be considered.
Not Saving Enough
If there's one regret that rises above all others, it's this: not saving enough. In fact, a study from the Transamerica Center for Retirement Studies shows that 78% of retirees wish they had saved more.
Once you pay off the house, I want you to keep making monthly payments—to yourself. Invest that same amount in a Roth IRA. If you follow a few simple rules, you'll be able to withdraw all the money in retirement without paying a penny of tax.