Retiring Australians could find themselves out of money half way into their retirement years with a new survey revealing many people are not financially prepared to finish work.
As new figures showed a record amount of cash in Australian super funds, the HSBC survey found three-fifths of Australians do not believe they have enough for retirement. While they expect retirement to last about 21 years, many people think they have enough super for only 11 years.
HSBC head of retail banking Graham Heunis said the attitude of Australians may be setting them up for a tough retirement.
While acknowledging they may not have enough cash, Australians still have grand plans for their post-work lives.
Fifty eight per cent said they wanted to have frequent holidays and 14 per cent said they planned to live abroad.
Australians believed they would need about two-thirds of their working life income to have an enjoyable retirement but Mr Heunis said this level was risky.
"This attitude fails to take into account how they will cope with the likely increase in health and aged care costs of a frail retirement," he said.