A new study Workplace Exit: Cause for Reflection, sheds light on what can happen when older Australians take the time to reflect on when to retire.
The aim of this research was to create and evaluate an online retirement planning program that encourages people to think carefully about best retirement age. Close to 300 super fund members from State Super and industry funds participated in the research.
Retirement is harder for some
Workplace Exit reports that while most Australians plan to retire around 65, the average retirement age in Australia is 55*. However, retirement can be harder for some people compared to others, particularly when a retirement is forced and out of a person’s control.
The ABS reported in 2020 that over 50% of retirees who go back to work say it is due to insufficient funds or boredom. This finding is supported by State Super’s 2018 Study Beyond Paid Work which found that of those who returned to work after retirement, 36% quoted financial reasons and 17% said it was boredom.
Key insights from the 2020 study
Some of the key insights from Workplace Exit: Cause for Reflection include:
- There are five characteristics of effective retirement preparation programs
- A 20-minute self-reflection was enough to help 48% of super fund members to re-evaluate their retirement plans
- People whose work is central to their lives will retire later
- More research is needed into effective retirement planning programs.
About the authors
Workplace Exit: Cause for Reflection was the result of research in 2020 by Isaac Dunn and Professor Joanne Earl from Macquarie University.
The research was made possible in part from the funding Mr Dunn received from the State Super Academic Scholarship.
*Source: Australian Bureau of Statistics https://www.abs.gov.au/statistics/labour/employment-and-unemployment/retirement-and-retirement-intentions-australia/latest-release