How much superannuation you should have?
Australians approaching 60 have insufficient super to retire comfortably as Donald Trump 's trade wars diminish retirement savings.
SuperRatings executive director Kirby Rappell said Trump's tariffs had hit super balances, by causing volatility on share markets, making those approaching 60 reconsider their retirement plans.
'The volatility's back, that is causing anxiety for people,' he told Daily Mail Australia.
'That does make people worry about what retirement's going to look like.'
How much super is enough to retire?
The oldest Generation X workers, turning 60 this year, can access their superannuation and would need $453,000 for a comfortable retirement - based on going on an overseas holiday every seven years.
But men aged 55 to 59 only have $301,922 on average, compared with $228,259 for women, Association of Superannuation Funds of Australia data showed.
Why is share market volatility a problem?
Share market volatility is particularly concerning for those wanting to retire soon and live off their super before they qualify for the age pension at 67.
While superannuation balances have bounced back, since Trump announced a 90-day pause on reciprocal tariffs, growth-orientated retirement savings are still typically below where there were in February when the share market peaked.
Those worried about the share market are urged not to panic with balanced funds delivering average returns of 6.7 per cent during the past decade.
'The positive is returns have held up not too bad if you look over the long term,' Mr Rappell said.
'The reality is there is going to be more ups and downs.
'For most people, it's trying to figure out what they need to do for the long term and try and just block out all the noise to stay sane given it's just a more uncertain period that we're in.'
How much should I have in my super account at my age?
Those turning 50 this year need $281,000 in super but those in their late forties are falling short, with average super balances of $180,958 for men and $136,667 for women.
Millennials turning 40 need $156,000 but men in their late thirties only typically had $90,822 compared with $71,686 for women.
By age 67 - when someone can get the age pension - it's recommended they have $595,000 in retirement savings.
Someone in this situation, who has paid off their home, would be able to take an overseas holiday every seven years or go someone within Australia annually.
Despite the recent turmoil on share markets, Mr Rappell said growth-orientated super products with a higher exposure to shares were much more likely to deliver stronger returns, compared superannuation funds geared towards cash.
'It's unlikely going to get where you want to be in retirement just taking cash,' he said.
How can you live off super?
From age 60, Australians can draw down on their super or take out a lump sum to pay off their mortgage or outstanding personal loans.
From 67, super can be combined with the age pension.
'If you have got enough super, you should talk to your fund to understand how they can let you take out the money in chunks so you can get a couple of hundred bucks a week on top of your pension,' Mr Rappell said.
Those approaching retirement can have their savings in both an accumulation account, geared towards higher returns, and a retirement account they live off.
During the accumulation phase of super, workers pay a 15 per cent tax on earnings.
But after someone turns 60 and stops working, their super earnings are tax-free for retirement savings of up to $1.9million
'At some point, they can draw down in an income stream from their super and leave it in their super fund and still get the returns on it and no tax on earnings,' Mr Rappell said.
'You don't have to take the money out and put it under your bed; you can actually get the benefit of navigating investment markets.'
Compulsory employer super contributions are rising to 12 per cent on July 1, up from 11.5 per cent now.
Individuals wanting to make voluntary contributions on top of that are taxed at a concessional rate of 15 per cent, which is well below the marginal tax rate for incomes above $18,200.
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