Renters face retirement disaster

Independent figures show renters heading for dire retirement outcomes

Based on the spending and lifestyles of real retirees, Super Consumers Australia has published the 2026 Retirement Savings Targets for Renters, sparking calls for urgent intervention to fix the inadequate levels of Commonwealth Rent Assistance.

Expert projections have found the typical renter will need around double the superannuation of homeowners in order to have a comfortable retirement.

A typical single retiree who rents would need $659,000 in super compared to $322,000 in super needed by a retiree who owns their home. A couple who rents needs $786,000 combined in super compared to $432,000 combined in super for a couple who owns their home. 

“Telling renters to simply “save more” isn’t the solution to this problem” says Xavier O’Halloran, CEO.

“The 2026 Retirement Savings Targets for Renters has found that renters are at a real risk of retirement disaster if the Government doesn’t act. Long term solutions need to focus on getting more people into affordable housing. But we’ve got a crisis facing retirees right now, Commonwealth Rent Assistance has not kept pace with actual rents. We’re calling on the Minister for Social Services Tanya Plibersek to address Rent Assistance as a matter of urgency. Every day this isn’t addressed, renters face an impossible financial challenge in retirement.” says O’Halloran.

The detailed figures are available here.

Retired renters continue to face higher rates of financial stress and poverty than homeowners. 

Government data from the Australian Institute of Health and Welfare shows there were over 325,000 Age Pensioners receiving Commonwealth Rent Assistance in June 2025, and 32% (105,000) were still in rental stress (spending more than 33% of their income on rent) after receiving Commonwealth Rent Assistance.  

Dr Katrina Ellis and Xavier O’Halloran are available for interview.