Beth, age 60
Full-time: Book-keeper
Part-time: Beachgoer

Now that the kids are all grown up, Beth and her husband enjoy escaping to the coast on the weekend. While her husband fishes, Beth likes to explore what life will be like when they retire and move to the coast permanently.

At 60 years of age, Beth is counting down to retirement. She can’t wait to finally begin her life after work, but still has a little bit more saving to do. Homes on the coast don’t come cheap, so every bit extra that she and her husband can put away will make a big difference.

The information in this case study is based on the assumptions we have stated below. Remember actual rates of return, inflation and wage growth may differ materially from the assumptions provided. Assumptions: Any change to the contribution rate was made on 1 July 2008. Average rate of return 7%, inflation rate 2.5%, real rate of return (adjusted for inflation) 4.5%, wage growth 4.5%. All figures are shown in today’s dollars. All contributions are made after-tax, and all benefits and pensions shown are before-tax. For more information about tax see the ‘Tax and your CSS benefit’ fact sheet at www.css.gov.au