Retiring at 60 with $155,000 in super or savings is just a small step up from the $150k scenario but even a $5,000 difference can matter when every dollar counts. The good news? Yes, it’s possible to retire at 60 with $155k in Australia, but success hinges on strategic budgeting, homeownership, and access to government support once you reach Age Pension age.
In this blog, we’ll unpack what life on $155k might look like from how long your funds could last to what lifestyle you can realistically afford. We’ll also explore what you can do now to make your early retirement work.
Why Retiring at 60 with $155K Works (and What It Takes)
At age 60, you’ve reached your preservation age, which allows you to access your super tax-free if you’re retiring. However, you won’t qualify for the Age Pension until you turn 67, meaning you’ll have to fully fund your retirement for the next seven years.
Retiring at 60 with $155K means living modestly and carefully managing your withdrawals to ensure you don’t run out of money before the Age Pension kicks in. It’s all about balancing your super withdrawals, part-time work, and living below the ASFA modest lifestyle benchmark.
How Long Can $155K Last If You Retire at 60?
To give you a clearer picture, here’s how $155K might hold up over time, assuming an annual withdrawal of $21,000:
| Year | Starting Balance | Withdrawal | Growth (3%) | Ending Balance |
|---|---|---|---|---|
| 60 | $155,000 | $21,000 | $4,200 | $138,200 |
| 61 | $138,200 | $21,500 | $3,700 | $120,400 |
| 62 | $120,400 | $22,000 | $3,100 | $101,500 |
| 63 | $101,500 | $22,500 | $2,400 | $81,400 |
| 64 | $81,400 | $23,000 | $1,800 | $60,200 |
| 65 | $60,200 | $23,500 | $1,200 | $37,900 |
| 66 | $37,900 | $24,000 | $800 | $14,700 |
You’ll likely have enough to make it to Age Pension eligibility but it’s important to stick to a modest budget and avoid dipping into savings too early.
Line Chart Depletion of $155K from Age 60 to 67. This line chart comparing $155K under different spending levels shows how quickly your super may run out before pension kicks in.
What Happens at Age 67?
Once you turn 67 and meet the income and assets tests, you can apply for the Age Pension.
Current Full Pension (as of July 2024):
- Single: ~$29,000 per year
- Couple combined: ~$43,800 per year
This provides critical long-term support especially after your savings run low.
How Does $155k Compare to Other Retirement Levels?
| Balance | Outcome | Notes |
|---|---|---|
| $150k | Tight, modest, may run out by 67 | Minimal flexibility |
| $155k | Slightly more breathing room | Still modest living |
| $200k+ | More buffer for emergencies, health, or part-time work |
The difference between $150k and $155k may seem small but with the right strategy, it could fund several extra months of essentials or provide a health buffer.
How to Make It Work
- Own your home or pay off your mortgage before retirement
- Draw down funds gradually, not in a lump sum
- Stick to a strict but realistic budget
- Explore low-risk income-generating investments
- Consider part-time
- work for a few years
- Get advice on Age Pension structuring
At Wealthlab, we help Australians:
- Build retirement budgets based on real-world scenarios
- Understand how Age Pension and super work together
- Get every benefit they’re entitled to
- Develop strategies to stretch retirement savings
- Plan for healthcare, housing, and peace of mind
Retiring on $155,000? Let’s Build a Plan That Works
At Wealthlab, we help Australians at every stage of retirement planning even if your balance isn’t where you hoped it would be. You don’t need to figure it out alone.
✔️ Cashflow and super drawdown planning
✔️ Budgeting from 60 to 67
✔️ Age Pension optimisation
📞 Book a consultation today and get clarity on your retirement journey.
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