Nearly half of retired renters live in poverty

Nearly half of retired renters live in poverty today.

Most Australians approaching retirement own their own homes today, but fewer will do so in future.

Among the poorest 40% of 45–54-year-olds, just 53% own their home today, down from 71% four decades ago.

But a single retiree renting a unit for $330 a week – cheaper than 80% of the one-bedroom units across all capital cities – would need an extra $200,000 in super, in addition to Commonwealth Rent Assistance (according to the government’s Money Smart Retirement Planner).

This is why raising Commonwealth Rent Assistance to help renting retirees keep a roof over their heads should be an urgent priority for the federal government.

Australians have been told for decades that they’re not saving enough for retirement. But the vast majority of retirees today and in future are likely to be financially comfortable.