AAA<\/p>\n
Our team of financial experts help you navigate to and through retirement in this six-part series. See all stories.<\/a><\/p>\n As Australians continue to redefine the way they approach retirement, the decision to \u2018down tools\u2019 is rarely a simple calculation \u2013 but there are financial and personal waypoints that can act as a guide.<\/p>\n Being able to visualise and plan what the \u2018retirement version\u2019 of you looks like goes a long way to revealing whether the time is right.<\/p>\n \u201cPeople\u2019s identity can be really strongly tied to their work,\u201d says Lynda Cross, head of guidance at Aware Super. \u201cSo, think through what that means not to have that identity any more and shifting your purpose towards other things.\u201d<\/p>\n Picture what your day-to-day will be \u2013 a timetable that, while being totally flexible, can give constructive shape to your next chapter.<\/p>\n \u201c[Those] living their best retirement life are those that have structure, routine and plan,\u201d says Jenny Brown, CEO and founder of JBS Financial Strategists.<\/p>\n Choose your path to retirement<\/p>\n Stopping work immediately isn\u2019t the only option these days. \u201cYou might just cut back your working hours and gradually ease yourself into the idea of retirement,\u201d Cross offers. \u201cOr you could leave your job and pick up some part-time or casual work in another way.\u201d<\/p>\n She adds that the Work Bonus offered by the government<\/a> can offset the income earned this way, reducing its impact on your age pension. For some, their work situation might even enable a \u2018trial run\u2019 at retirement.<\/p>\n \u201cIf you\u2019ve got long service leave, or can take a sabbatical year, [use it] to figure out \u2018Am I ready for this?\u2019, Cross says.<\/p>\n Stress test your nest egg<\/p>\n Of course, a considerable part of deciding your retirement readiness is ensuring you\u2019re financially ready. \u201cBecause we\u2019re all living so much longer, if you retire at 60 to 65 you need to plan for 30 years,\u201d says Brown.<\/p>\n Looking at the status of savings, super and assets are important here. \u201cFor your first 10 to 15 years you\u2019re going to be spending at least what you were spending beforehand,\u201d she adds. \u201cBecause you\u2019ve got your cost of living, plus things like travel.\u201d<\/p>\n Cross agrees: \u201cIt\u2019s knowing how much you want and understanding where that income will come from.\u201d<\/p>\n Related Article \u201c[Asking yourself] what are my entitlements from the government versus how much am I going to need to fund myself?\u201d<\/p>\n This includes doing a status check on any insurance you might have, especially if set up in your younger years. \u201cReview your cover \u2013 some might need to put it up, but many people nearing retirement might be able to reduce those premiums,\u201d Cross says.<\/p>\n \u201cObviously if you have an event, your pay-out is less, but if you don\u2019t, you\u2019re able to save those premiums towards your retirement.\u201d<\/p>\n The final sprint: Maximise your contributions<\/p>\n Those nearing retirement should do a bit of a deep dive on their super, says Brown. \u201cThey need to know where it is, understand what it does and [consider] maximising contributions wherever possible.\u201d<\/p>\n This is a popular strategy for many Australians. \u201cThey\u2019re starting to feel like they\u2019ve got a bit more available cash flow and the system really has opened up more opportunities in that space in some ways that are really powerful,\u201d says Cross.<\/p>\n There are various options to explore, like before-tax (or concessional) contributions such as salary sacrificing through your employer.<\/p>\n \u201c[Even] if you\u2019re not employed you can actually make a personal contribution and claim a tax deduction the same way, which is something people don\u2019t often realise,\u201d Cross reveals.<\/p>\n Related Article These contributions are capped, but can be varied if you haven\u2019t maximised them in the past five years. The rules also vary with age, so check with the ATO<\/a> for specific detail.<\/p>\n Use the help that\u2019s out there<\/p>\n If judging when to retire seems complicated, it\u2019s a relief to know there is an abundance of resources available to help clarify your situation.<\/p>\n \u201cCheck out the tools available online in your super fund or outside of it because there are some really cool planning tools that can just help you visualise the different scenarios,\u201d explains Cross.<\/p>\n Industry leaders, including Aware Super, provide sophisticated modelling tools \u2013 such as its Age Pension Eligibility Calculator<\/a> \u2013 to help members stress-test various financial scenarios.<\/p>\n There\u2019s often help built into your super-fund offerings, too, she adds.<\/p>\n \u201cAware and most other super funds will have an advice service that\u2019s included as part of your membership. It can cover certain things and not other things, so just check out what you can get at no cost first.\u201d<\/p>\n On top of this, financial advisers can also offer comprehensive direction \u2013 just ensure they fit your outlook and situation. \u201cYou\u2019ve to resonate with the adviser. It\u2019s a long-term relationship,\u201d says Brown.<\/p>\n Navigating these steps can take the mystery out of retirement readiness, allowing you to embrace a more relaxed life with a foundation of financial security.<\/p>\n Advice given in this article is general in nature and is not intended to influence readers\u2019 decisions about investing or financial products. They should always seek their own professional advice that takes into account their own personal circumstances before making any financial decisions.<\/p>\n Expert tips on how to save, invest and make the most of your money delivered to your inbox every Sunday. Sign up for our Real Money newsletter<\/a>.<\/p>\n Save<\/p>\n You have reached your maximum number of saved items.<\/p>\n![\"What](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/05\/eaea90ab339cb7ce60e42d2e5169e920a1607a8a1112425c2e26b8a1f745c4d5.jpeg\")
What does the \u2018retirement version\u2019 of you look like? iStockA retirement identity shift<\/p>\n![\"Aware](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/05\/c53a1d41d2fbf6a44bf63af2a24c2b8d5fb1b5daa62a9b5d55486e52c6e74f2d.jpeg\")
Aware Super\u2019s Lynda Cross<\/p>\n![\"Strategic](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/05\/1778665397_180_84641d83663a4d8c4e924735003f5d5f4a8a5c01151e61ae88711e7ffcca3c2f.jpeg\")
<\/a><\/p>\n![\"Data](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/04\/1777421900_611_174d288f0417331db837d4d4527b62aad079a80608a698808b563f122d7e7112.jpeg\")
<\/a><\/p>\n![\"How](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/04\/e086dd888e269929efbd5ba90521e5ed39705edc.jpeg\")
How we live and spend in retirement is changing.Getty Images<\/p>\n