The Australia Talks National Survey found that 60% of Australians consider being able to retire comfortably a problem for them personally. Almost a third said it was “very much a problem”.

While we’re now having the discussion about retirement no-one is addressing the retirement elephant in the room, those who are part of the Sandwich Generation, people in their 40s, 50s and 60s.

The Sandwich Generation retirement looks radically different than 30 years ago as Australians in their 40s, 50s and 60s are sandwiched between adult children and elderly parents.

Retirement for many is about helping out gig economy, first home buyer adult children, funding care arrangements for parents as well as their own life. It’s not just about looking after themselves.

And, the retirement numbers recommended by The Australian Super Fund Association (ASFA) – $640,000 for a couple and $545,000 a single person assume retirees own their own home and take no account of ‘sandwich’ responsibilities.

In addition, retirement/superannuation income recommendations are only slowly recognising that women are at a significant disadvantage in the retirement system, putting significant additional financial pressure on the primary caregivers to ageing parents and support for adult children.

Retirement in 2021 is radically different from when super was first introduced. Work, family and caring costs are also radically different from the 1990s, so the way people need to think about and plan their retirement has to change.

So what can people in their 40s, 50s and 60s do. Marc Bineham, author of a just released book, The Money Sandwich recommends that “we need to start planning earlier of a different retirement dynamic, one that takes into account supporting adult children longer and perhaps even into their first home as well as caring responsibilities for their parents.”

“Government and the superannuation industry also need to adjust their thinking for the next cohort of the sandwich generation who are in their 40s now. Many will not have been able to pay off their home, will have had some or all of their working life as gig workers (read no compulsory super contributions) and suffered the longer-term consequences of a radically different post-COVID working life.”

The Money Sandwich, how to manage money better in your 50s and 60s is the first book to tackle the contemporary retirement challenge.

Buy your copy today or download a free chapter – Click here!


Article by Marc Bineham – Money coach, speaker and award-winning author of The Money Sandwich