ASIC has launched a new retirement planning publication and online calculator at a meeting of the Australian Government Financial Literacy Board.

People planning their retirement finances now have two new tools to help them make informed decisions. Financial Decisions at Retirement clearly explains the financial choices available to people at retirement and the pros and cons of each retirement income option.

The guide covers:

  • when you can access your super
  • how much money you’ll need in retirement
  • how you can use your super when moving to part-time work
  • the benefits and drawbacks of withdrawing super as a lump sum or income stream
  • how low-tax retirement income streams work, and
  • risky or more complex investment strategies to think twice about.

To accompany the new guide, ASIC also launched an upgraded MoneySmart Retirement Planner, an online calculator that shows people how to boost their retirement savings in simple, sensible ways.

ASIC Chairman, Greg Medcraft said, ‘The MoneySmart Retirement Planner provides people with an estimate of how much they are likely to have in every year of retirement and even calculates the best way to make extra super contributions. It also generates a personalised printout for people to give to their employer to increase their super contributions.

Financial Decisions at Retirement will help people decide what to do with their retirement nest egg. It has been extensively user-tested to ensure it meets the needs of people on the verge of retirement. Trial users said the guide explained a complex subject in simple terms. They liked the case studies, explanations of different super income options and unbiased, simple facts. They also said they wanted to be better informed about retirement income choices,’ said Mr Medcraft.

Financial Decisions at Retirement should be used to complement professional financial advice.

View, download or order copies of Financial Decisions at Retirement (new window)

To use the Retirement Planner, also visit www.moneysmart.gov.au (new window)