Retirement on Hold: Aussies Working Longer as Living Costs Soar
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Once upon a time, retirement at 65 was almost guaranteed. You worked hard, saved a bit, and eventually kicked back with a pension and some super. But things have changed. Aussies today are grappling with higher rents, grocery bills, and energy costs, making it harder to walk away from the workforce. The rising cost of living is pushing people to keep working well into their 60s and even 70s. For many, super balances aren’t what they hoped for, and the Age Pension doesn’t stretch as far as it used to. As a result, a growing number of older Australians are either staying in their jobs or returning after retirement.
Why Living Costs Are Pushing Retirement Further Away
Everything from housing to food is more expensive, and wages haven’t kept up. Older Australians, especially renters, are feeling the squeeze as they try to cover the basics. Medical costs and energy bills add even more pressure. Many find their savings drying up faster than expected, and some are even dipping into super early just to keep up with day-to-day expenses. The idea of retiring comfortably is becoming more of a luxury than a norm. It's not just a money issue; it's about survival.
Superannuation Falling Short
For years, Australians were told that superannuation would secure their golden years. But for many especially those with interrupted work histories, lower-income jobs, or time out raising families super just isn’t enough. Women are particularly affected, with much lower balances compared to men. Even for full-time workers, rising living costs are eating away at savings faster than anticipated. A significant number of Aussies now say they’ll have to rely partly or entirely on the Age Pension. And that, unfortunately, doesn’t go far in today’s economy.
Back to Work: The New Retirement Plan
More people are rejoining the workforce after retiring or choosing to delay retirement entirely. It's not always about wanting to stay active; many are returning out of financial necessity. Casual and part-time jobs are common, especially in retail, hospitality, or administrative work. Some take on gig jobs like driving or deliveries to make ends meet. For others, it’s about topping up super or paying off lingering debts. Working longer is quickly becoming the new norm, not the exception.
What This Means for the Future
With more Aussies working into their late 60s and beyond, the job market is shifting. Employers are slowly beginning to value older workers more, but age discrimination is still a problem. At the same time, policies around retirement age, super contributions, and housing support are being re-evaluated. There’s also growing pressure on governments to increase pension rates and offer more affordable housing for seniors. Ultimately, the way Australians retire and how long they work—will continue to evolve as economic pressures mount.
Why Living Costs Are Pushing Retirement Further Away
Everything from housing to food is more expensive, and wages haven’t kept up. Older Australians, especially renters, are feeling the squeeze as they try to cover the basics. Medical costs and energy bills add even more pressure. Many find their savings drying up faster than expected, and some are even dipping into super early just to keep up with day-to-day expenses. The idea of retiring comfortably is becoming more of a luxury than a norm. It's not just a money issue; it's about survival. Superannuation Falling Short
For years, Australians were told that superannuation would secure their golden years. But for many especially those with interrupted work histories, lower-income jobs, or time out raising families super just isn’t enough. Women are particularly affected, with much lower balances compared to men. Even for full-time workers, rising living costs are eating away at savings faster than anticipated. A significant number of Aussies now say they’ll have to rely partly or entirely on the Age Pension. And that, unfortunately, doesn’t go far in today’s economy.Back to Work: The New Retirement Plan
More people are rejoining the workforce after retiring or choosing to delay retirement entirely. It's not always about wanting to stay active; many are returning out of financial necessity. Casual and part-time jobs are common, especially in retail, hospitality, or administrative work. Some take on gig jobs like driving or deliveries to make ends meet. For others, it’s about topping up super or paying off lingering debts. Working longer is quickly becoming the new norm, not the exception. What This Means for the Future
With more Aussies working into their late 60s and beyond, the job market is shifting. Employers are slowly beginning to value older workers more, but age discrimination is still a problem. At the same time, policies around retirement age, super contributions, and housing support are being re-evaluated. There’s also growing pressure on governments to increase pension rates and offer more affordable housing for seniors. Ultimately, the way Australians retire and how long they work—will continue to evolve as economic pressures mount. Next Story