More than 40 per cent of Australians have no retirement savings, according to a survey.
And many have less than $10,000 in savings, or are struggling to get by.
That means many are left to struggle through a financial crisis that is expected to leave them worse off than before the financial meltdown in 2008.
But how to avoid a similar financial crisis is a question being raised by Australians who want to retire with dignity.
The National Committee for Retirement Security has released a national report to help those looking to get on the ladder.
The organisation, which is part of the Australian Retirement Council, is calling on people to think differently about retirement.
The report focuses on two major areas: the amount and type of retirement they want and how they can prepare for it.
There are four main questions in the report: what do I want my retirement to be?
what do you need to prepare for retirement?
what is my retirement savings worth?
and how do I make sure it is worth it?
Here are some of the key takeaways from the report.
Retirement savings are worth about $7,000 for a single person, with more than $20,000 being a viable retirement for people aged 60-64.
But that is still well below the median retirement savings of about $80,000.
So what are the key issues for people looking to retire in a way that makes sense?
The number one concern is that people don’t have enough savings.
That is a major problem in many Australian households, especially those in the lower-income bracket.
The average age for an Australian woman to reach retirement is 57, and it is estimated that a woman who starts working at 40 will spend $8,000 per year, while her child reaches retirement at 46.
The survey found that while the majority of Australians are saving, there is a shortage of people who have enough to do so.
There were also many people who had low savings in previous years, and were either not able to put it to good use or were struggling to find enough to put away for retirement.
This is a big issue because you don’t just want to be able to retire at your best, you want to have enough in your retirement to live on and support your family.
The median age for a household to retire is 60, but many people will need to have some savings to support themselves financially, such as health insurance, student loans or other debt.
In the meantime, the average income for an individual to retire from work is $71,000, and people are facing higher levels of debt and unemployment.
There is also the issue of debt levels, which have increased dramatically.
The average debt of an individual in retirement is about $20.
So, there are a lot of issues facing the retirement community, and the national report offers some advice for how to help them.
How to prepareFor a better retirement:How much should you save for retirement in the short-term?
The National Council for Retirement Planning recommends saving $10-15,000 annually.
The Institute of Family Studies recommends saving about $50,000 a year.
And the Retirement Association of Australia recommends saving a minimum of $10k a year and then $20k in retirement savings in the first three years of retirement.
There have been suggestions for more modest saving, such of about half a million dollars a year, but it is recommended that people make up to $50k a month and then a minimum $30k in savings each year.
There also needs to be a healthy mix of investment and saving in the long-term.
There has been a lot written about the importance of having enough in retirement.
It is recommended by the Institute of Retirement Studies that the minimum savings should be about $30,000 and then ideally $60,000 at the end of retirement, and then up to an additional $50-60k a few years later.
And that is what the National Committee recommends: $70,000-80,00 for a person who is over 60 years old.
The Federal Government has been urging people to save, with the aim of living on for at least 10 years.
So it is important to think carefully about the retirement savings you can afford, as well as the amount you are saving in retirement, because it will depend on your income, age and gender.
You also need to take into account how much of your savings you have to pass on to your children, who will be more likely to use it.
For example, women and men tend to be more conservative about their savings than women and young people, so the amount of savings needed to support a family will be higher for a family with younger children.
For more information, go to the National Council of Retirement Planning website