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Retirement in Canberra

Many pre-retirees worry that they do not have enough income to maintain their pre-retirement lifestyle. The reality is most couples are only living on $40,000 to $50,000 net income per year before they retire. During their life time of work, around ¼ of their income goes in taxes, children’s costs and loan repayments. Most clients once they retire will not have debts, children at home or pay much tax and so their living costs are very low.

Also retirees, aged between 65 and 67, can obtain an income from the Age Pension plus fringe benefits such as rates, utilities, medical and public transport discounts.

Retirees generally will have enough income to live on but may not have much in the way of lump sums to cover larger expenses such as car replacement, house repairs, travel and medical costs. A lump sum, accumulation target before retirement should allow for funds of at least $200,000 for a couple and $100,000 for a single person.

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