What Does a Good Retirement Actually Look Like?

Most Australians think retirement planning starts at 60. In reality, retirement planning should begin decades earlier — not because you need to make sacrifices, but because long-term planning creates flexibility and confidence.

A good retirement is not defined by a single number. It is defined by lifestyle, security and freedom. And for high-income earners or households with over $500,000 in assets, the opportunity to design a meaningful, enjoyable retirement is significant — but only if it is planned intentionally.

Retirement Begins With Questions, Not Numbers

Before determining how much you need to retire, it’s important to define what “a good retirement” personally means to you. Ask yourself:

• What age would I like to retire?
• Do I want full retirement or a transition-to-retirement period?
• What lifestyle do I want — travel, part-time work, hobbies?
• How much income do I need per year to live comfortably?
• What level of financial security do I want?
• What legacy do I want to leave?
• How long do I want my money to last?

The clearer the vision, the easier the planning.

Why Retirement Modelling Is Essential

Retirement modelling is one of the most valuable tools for high-income earners. It provides insights into:

• Whether you’re on track
• How long your money will last
• How investment choices impact retirement
• How contributions affect retirement age
• What income you can expect in retirement
• Whether your current lifestyle is sustainable
• How market volatility affects long-term outcomes

Modelling replaces uncertainty with clarity.

Superannuation and Retirement Structures

Super becomes incredibly powerful in retirement due to its tax advantages.

In retirement phase (allocated pension):
• Investment earnings are tax-free
• Withdrawals after age 60 are tax-free
• Income payments are flexible and can be adjusted
• Market movements can be managed strategically

For many clients, the shift from accumulation to pension phase is the single most important financial event of their life. Getting it right can mean tens of thousands in tax savings each year.

Managing Market Risk and Volatility

Retirement is unique because you are no longer contributing — you are withdrawing. This makes managing risk essential.

A retirement portfolio must balance:

• Growth (to combat inflation)
• Stability (to weather volatility)
• Liquidity (for income needs)
• Flexibility (for changing lifestyle phases)

A common mistake is becoming overly conservative. While safety is important, too little growth can cause funds to deplete earlier than expected.

Lifestyle Planning: The Human Side of Retirement

Money is important — but lifestyle planning is equally essential. A good retirement includes:

• Purpose
• Enjoyment
• Connection
• Health
• Flexibility

Research shows that retirees who maintain social connections, meaningful activities and physical wellbeing enjoy retirement far more than those who simply “stop working.”

Financial planning supports this by ensuring you can fund the lifestyle that keeps you fulfilled.

The Bottom Line

A great retirement doesn’t happen by accident. It’s the result of clarity, planning and ongoing strategy. High-income earners and asset-rich households have an incredible opportunity to design a retirement that is fulfilling, secure and flexible — but only if they start planning early.

This article provides general information only and does not consider your specific circumstances. Before making investment decisions, consider speaking with a licensed financial adviser.