At 60, Australians are officially considered “seniors.” They can access seniors’ cards, superannuation (in most cases), and are regularly targeted with messaging about retirement planning. But while policy quietly suggests that retirement is near, the system increasingly tells them: not yet.
The official age to access the Age Pension is now 67. Aged care support starts at 65. Superannuation may be available from 60 but is often inadequate to fund a retirement that could span 25+ years. For many, the question is no longer “When should I retire?” but “How do I keep going?”
The retirement system in Australia is riddled with contradictions:
* You’re called a senior at 60.
* You qualify for aged care at 65.
* But you can’t get the Age Pension until 67.
This misalignment traps a growing segment of older Australians especially those in physically demanding jobs, low-paid sectors, or with interrupted work histories. These are people whose bodies have aged faster than policy anticipated.
They may want to retire at 62 or 64, but they can’t afford to. They may not be able to continue working full-time, but part-time work can reduce their pension entitlements due to income tests. It’s a no-win loop: physically unable to work, financially unable to stop.
The superannuation system was designed to supplement (or one day replace) the Age Pension. But average balances tell a different story. Many Australians particularly women and low-income workers retire with far less than the recommended amount for a “comfortable retirement” ($595,000 for singles, $690,000 for couples).
In reality, the median super balance for women at retirement is around $191,000. For men, it’s around $310,000. These numbers fall well short of what’s needed, especially for those without a mortgage or with health-related expenses.Premature Retirement, Real Consequences
ABS and ATO data confirm what many already feel: retirement is not a choice for everyone. Health problems, job loss, and injury force thousands out of the workforce earlier than planned often in their late 50s or early 60s.
Some end up on JobSeeker, despite being too unwell or overqualified to realistically return to full-time work. Others drain their super early, only to face years of financial limbo before becoming eligible for the pension.
For workers in trades, construction, aged care, hospitality, or nursing jobs that are physically and emotionally demanding the idea of continuing until 67 is often not just impractical, but dangerous.
One of the most demoralising forces in all this is age discrimination. Australians over 50 routinely face bias in hiring, training, and retention. One in three recruiters openly admit they are less likely to consider candidates over 50. Older jobseekers spend nearly twice as long looking for work as their younger counterparts.
The message is clear: You’re not old enough to retire. But you’re too old to hire.
That leaves tens of thousands of older Australians in a devastating position financially insecure, mentally worn down, and structurally excluded from the very workforce they’re being asked to stay in longer.
Australia’s rising retirement age and rigid pension rules reflect the lives of healthy, white-collar professionals. But they do not reflect the lives of cleaners, carers, nurses, bricklayers, and bus drivers people whose bodies don’t last as long and whose earnings never allowed them to build the retirement buffers policy assumes.
In short, a one-size-fits-all retirement age is no longer fit for purpose.
We need a system that recognises:
* That physical work takes a cumulative toll.
* That financial precarity cannot be fixed by pushing retirement further out of reach.
* That job market discrimination is real, and punishes those who try to stay employed.
* That health, not just age, should help determine retirement eligibility.
Reforms could include:
* Flexible pension access for those in physically demanding roles.
* Higher super contributions for low-income and female workers.
* Better supports for older jobseekers facing proven age bias.
* An honest national conversation about the growing gap between life expectancy and work expectancy.
Australia is a wealthy country. The question isn’t whether we can do better, it’s whether we will.
Because right now, for too many people standing at that fork in the road between “work” and “retire,” both paths are broken.
You can dye your hair and pretend to be young but it like fixing an old car. You get new tyres and then the side mirror falls off. You have to keep going because you cannot afford to stop. This is a social policy failure that deliberately excludes people. There can only be one solution to this problem and that is to vote them out at the next election.
The wealth of knowledge AND the street smarts of how to use it is there with those who are now over 60, as well as the key realisation of respecting the position they hold. However, we have become a ‘throw away’ society rather than ’embracing’ what the Japanese call Keiro no Hi. This cultural value stems from Confucian, Buddhist, and Shinto influences, emphasising learning from seniors, though modern life presents challenges. There seems to be a visible lack of respect shown to those who have made it to this time.
As the noted copywriter John Caples once said years ago: “Times change. People don’t. Words like ‘free’ and ‘new’ are as potent as ever. Ads that appeal to a reader’s self-interest still work”.
We seem to be seeing now that we’ll simply ask ChatGPT and go with that answer rather than thinking as well to ‘dig deeper’. We also now see a visible lack of trust through attempting to determine what is real or not.
However, I’m still out there looking to make a difference as I still want to thrive rather than just survive then die. “Whatever the mind can conceive and believe, it can achieve” is a famous motivational quote by Napoleon Hill, in his book Think and Grow Rich, emphasising that clear visualisation, strong belief, and consistent action are key to realising goals.
But, our society really needs look at ourselves and provide a pathway to value this group of people as our population ages too. Walk the Talk rather than just talk the talk.
This article resonates with my situation. I retired at 67, or in reality, it was made difficult for me to remain in my role due to a restructure in the organization. I was on the outer and was basically pushed to retire. I retired with $50,000 in super. I had divorced in 1999, back then the law did not cover splitting the super as part of the family assets. So my ex husband retained the super and is comfortable in his retirement.
My role in that marriage was wife and mother so my husband could grow his career and income.
All I ask is that the aged pension is changed so that I can go earn some casual income to supplement my pension. Currently I can earn $300 a fortnight before affecting my money.
The aged pension is not supporting me with my bills and daily living costs. I would be happy to pay income tax on my earnings if my pension was in tact instead of being deducted 50 cents in the $ for anything I earn extra over the $300 a fortnight.
I like many other retirees have skill sets and passion that is going to waste.
In my case my husband is younger and still works and I cannot get a pension as his wage is just over the threshold. Would be fine if we had no mortgage.
I am a 70 yr old nurse and work 3 days pr week I am fit and healthy but tired of the early starts etc
I am cooked!
I have been working since 12 yrs if age and it’s just not fair that I cannot access the aged ensign until my husband either retires, cuts days down dramatically.
I’m one of those people. I tried to re-enter the work force but physically was unable to do so. I’ve now been on job seekers for 2 years. Previously I cared for my dying husband for 3 years. I was an aged care nurse.
My super has gone and I’ve been forced to move in with my daughter and her family. At the age of 64 I’ve got another 3 years of financial hardship ahead.
I didn’t have much super at all. To draw down on it as a top up incurred tax but to take smaller lump sums was tax free. Needless to say within 3 years it was gone. I know I’ve made financial mistakes but I’ve also worked hard all my life and raised a family. I nursed my husband at home until his death, keeping him out of the system. I also cared for my mum until she became bedbound. I live in pain and am trapped on the dole. I never would have thought this is Australia.
I read somewhere that the Australian Government was making allowances in relation to pensions, for people who cannot do strenuous jobs until they are 67. Cannot remember the details, but I think it was that they could take a part pension earlier, in exchange for which they would receive less money in later years. Sorry, cannot remember the full details, but it may be worth investigating.
Excellent points, Richard. This is an important issue that the Australian community need to address, especially as we are an ageing population. There are many professions that require physical strength and stamina, such as care work. For some, working into their 50s is asking more than the body can give. Expecting people to continue in jobs requiring physical exertion when they are progressing towards mid to late 60s is just unfair. Coincidentally also unduly weighted towards the lower income professions, who, due to the lower income would also be the beneficiaries of smaller superannuation – when they are able to access it.