You get used to doing what you love while you’re working and sometimes don’t even think about the costs – super is a way to hold onto these things when you finish working.

Could you travel the world in retirement? It's a dream that crosses many Australians’ mind at some point in time. How can you turn that dream into a reality?
Looking ahead in 2024, there will be two price hikes on passports. Inflation and the stubbornly high price of hotels, flights and rental cars could make those travel dreams seem hard to attain. To combat this, take advantage of off-peak travel periods, pre-book airport parking and take your own food on flights, which are all good tips to help make your travel dreams more affordable. If you plan on travelling into retirement – even just taking domestic trips – putting money into your super early could be your best bet for achieving your goals, with the potential for compound interest to work for you over a longer time.

 

The average Victorian household spends over $2,300 a year on clothes and shoes.^ The Age Pension allows for the purchase of basic clothes, but if you want to keep up with fashion or buy the latest Nikes, you’ll need to plan. Beauty treatments like haircuts, waxing or regular pedicures can also add up and if you’re planning on having any nips or tucks done, they could cost you thousands.

Your new-found freedom will allow you all the time you need to see the latest movies when they come out and catch your favourite band when they’re in town – but only if you can afford to. Even spending hours on end binge-watching Seinfeld re-runs isn’t free by the time you factor in the cost of your TV and subscription services like Foxtel or Netflix. Think about the types of activities you want to take part in when you retire and adjust your savings accordingly.

If you enjoy regularly running the heater or air conditioner, you might be shocked to hear that it isn’t possible for all retirees. The Association of Superannuation Funds of Australia retirement standard shows people solely reliant on the Age Pension don’t have much scope financially to run an air conditioner and have to make do with less heating in winter*.

It might not be the most exciting topic, but private health insurance can be particularly important as you approach older age. Premiums tend to go up each year so, unfortunately the bills won’t stop coming any time soon. But, if you want to avoid long waiting lists or wish to be treated in a private hospital, it might be worth it.

You’ll have a lot of free time when you stop working. Enjoying that free time will be based on doing things you enjoy. Hobbies such as golf, photography, painting or whatever it is you may enjoy or want to try, can cost money. Staying healthy and hitting the gym is also an expense many people will want to do more of once they have the time. Don’t give up the things that will keep you active by not having enough saved to pay for them.

Our Retirement Lifestyle Planner is an easy-to-use, interactive tool that lets you estimate your income at retirement and see whether you’re likely to have enough money to do the things you want to do. You can see if you are on track to achieve your lifestyle goals and see what impact different scenarios could have on your retirement outcome.

If you feel concerned about your balance or need a hand you can also receive simple advice about your super over the phone at no additional cost by calling 1300 033 166. If you need more detailed advice, then help is available through TelstraSuper Financial Planning. Fees may apply.