Australians who plan early are nearly twice as comfortable in retirement

4 December 2025

Australians who plan early are nearly twice as comfortable in retirement with significantly higher super balances, according to the new Brighter Super and Investment Trends 2025 Retirement Income Report¹.

The national survey shows that prepared pre-retirees who plan earlier, overwhelmingly save more, use more advice and take more action, result in far stronger financial readiness than those who feel unprepared.

The research found that 75% of retirees who started preparing before age 40, report living comfortably, compared to 44% who began after 60, and just 16% who did not plan at all.

“Australians who plan ahead generally feel more in control, have greater financial resilience and experience a smoother transition into retirement,” said Kate Farrar, CEO of Brighter Super.

The survey indicates that preparedness takes time. Pre-retirees who feel prepared typically began planning 6.6 years ago and hold an average super balance of $438,000, compared to $177,000 for those that feel unprepared and who began planning only 3.8 years ago.

Key insights from the Brighter Super and Investment Trends 2025 Retirement Income Report

• Readiness is improving: The Brighter Super Ready for Retirement Index (RRI) ² rose to 58 points in 2025, up from 53 in 2024. Brighter Super members outperformed the national average, lifting to 60 points.
• Confidence remains subdued: While retirement readiness has shown modest improvement this year, the survey reveals financial confidence remains well below historical highs. Only 38% of Australians feel prepared, up from 29% in 2024 but still short of 60% in 2021.
• Income gap narrows: In 2025, pre-retirees estimated they would need a median of $4,300 a month, compared with the $3,300 they expect to receive – 23% income gap. This was an improvement compared to 2024 when the expected income gap was 31%.
• Knowledge gaps persist: The survey found that while general knowledge and understanding about retirement products remains low, those who do use them report high levels of satisfaction. This suggests that when people engage with these products, they see real value - but more education is needed to help others benefit as well. Fewer than 30% of retirees clearly understand retirement income options, yet 76% of those using retirement income products report high satisfaction.
• Demand for advice from funds is strong: Australians continue to trust super funds for guidance, with personalised financial advice topping the list of member priorities.

Download the Brighter Super and Investment Trends 2025 Retirement Income Report.

Helping members build retirement confidence

Brighter Super continues to make strong progress in helping Australians build retirement confidence. The fund’s focus on value, retirement-ready products and quality member education has earned national recognition, including:

• Epic Retirement Tick 2025³for excellence in investment strategy, advice, income products, education and service.
• Winner of Member Education, for the second year running at the 2025 Super Review Fund of the Year Awards.
• As announced last week, at the Money magazine Best of the Best 2026⁴ awards: Winner of Innovation in Member Education.

Despite improving results, retirement confidence remains below historical highs. Only 38% of Australians feel prepared for retirement, up from 29% in 2024 but still well short of the 2021 peak of 60%.

To help close this gap, Brighter Super is simplifying retirement options and expanding its advice services to help members feel better prepared. To help support members, Brighter Super has introduced a new advice fee structure, expected to reduce the average cost of Retirement Advice by nearly 50%⁵, with fees payable directly from members’ super accounts - making advice more accessible and affordable.

Plan, save and act early

“Retirement is shaped by the decisions you make today, not those put off for years. While the best time to start planning was years ago, the next best time is today. We want to empower our members to act early, seek advice, and build the confidence they need to retire well,” said Jennifer McSpadden, Head of Retirement at Brighter Super.

“The findings are clear - starting early builds confidence and creates a stronger foundation for retirement. For the industry, the challenge is to make retirement solutions simpler and more accessible, so more Australians feel empowered to take the steps that can improve their long-term wellbeing,” said Julian Cappe, Head of Research, Investment Trends.

Further information

To find out more, download the Brighter Super and Investment Trends 2025 Retirement Income Report.