The retirement gap we don't talk about

Retirement confidence isn’t just about your nest egg, it’s about your plan

Do you know how much interest you pay on your mortgage?

Chances are you do. Like many homeowners, you may follow the Reserve Bank's monthly interest rate decision closely. You know what your repayments are, how much rates have risen over recent years and what that means for your household budget.

Now consider another question.

Do you know the fees you pay on your superannuation account?

For many Australians, superannuation is their second largest asset after the family home. Yet Vanguard's latest retirement research found that one in two of us would not feel confident explaining the fees charged on their super account.1 At the same time, almost two-thirds could not correctly identify the age at which you can access super.2

The contrast is revealing.

The issue isn't that Australians don't care about retirement. It's that retirement often remains a future problem until suddenly it becomes a present one.

Why confidence isn’t just about money

When Australians think about retirement, the conversation usually starts with money.

How much super do I need? Will I be able to retire comfortably? Am I on track?

They're important questions. Yet one of the clearest findings from our research is that retirement confidence isn't just about how much you've saved. It's also about whether you've started planning for the future you want

Australians with a retirement plan are significantly more likely to feel confident about retirement than those without one. Nearly half of working-age Australians, however, have no retirement plan at all.3

Too many Australians see retirement as a distant milestone rather than a life stage worth planning for today. As a result, retirement preparation is often delayed until people feel they have enough time, enough money or enough knowledge to tackle it properly. For many, that moment never quite arrives.

The research also suggests many Australians are navigating retirement largely on their own. Around one in three rely primarily on their own research when making retirement plans, while partners, family and friends are consulted more often than financial advisers.4 This highlights how important it is that Australians have access to clear, practical information that helps them make informed decisions about their future.

A different retirement awaits younger Australians

In today's economic landscape, it's never been more important for young Australians to plan for the future.

While many of today's retirees own their homes outright, our research shows younger Australians increasingly expect to enter retirement with mortgage debt or while renting. Combined with longer life expectancies, rising housing costs may make it more expensive to maintain the retirement lifestyle they hope to enjoy.

Yet planning for retirement doesn't need to start with spreadsheets or complex calculations. It can begin with a much simpler question: what kind of life do you want to live?

Our research found Australians overwhelmingly view retirement as an opportunity to maintain their independence, enjoy good health, spend time with family and friends, and pursue leisure activities. In fact, these lifestyle aspirations consistently rank alongside financial security as key ingredients of a successful retirement.

So, where do you want to live? Will you continue working? What role will travel, health and family play in your future?

These are lifestyle questions before they're financial ones. Yet they often provide the starting point for a meaningful retirement plan. Once people have a clearer picture of the retirement they want, they are better positioned to make the financial decisions that support those goals.

Make a start this September

Retirement planning is not a single decision made at the end of a career. It is a series of decisions made over many years, often starting with one small step.

This month, Vanguard is encouraging Australians to take small, practical steps towards their financial future through the Super September challenge.

Getting started can be as simple as checking your super account, understanding the fees you pay, or having a conversation with your partner about your future. Small actions can build understanding, confidence and ultimately help Australians feel better prepared for retirement.

Footnotes:

1. How Australia Retires 2026, 14

2. How Australia Retires 2026, 12

3. How Australia Retires 2026, 22

4. How Australia Retires 2026, 24

By: Renae Smith | 16 September 2026 | vanguard.com.au