Saw this news article today.........
15:51 01Oct08 AAP-Retiree couples need $50,000 a year to live comfortably
CANBERRA, Oct 1 AAP - Retirees concerned about the impact of the mayhem infinancial markets on their savings have every reason to be worried - their living costs are rising.
New figures released today show the cost of a couple living comfortably inretirement rose 1.2 per cent in the June quarter compared with the previousquarter, and 3.5 per cent annually.
As a result, the couple would need to spend $50,086 a year to live comfortably.
A modest retirement for couples costs $27,151 a year.
The figures provided by the Westpac ASFA Retirement Standard - which benchmarksthe annual budget needed by Australians in post-work years - show there weresignificant rises in transportation, health and clothing costs in the quarter,which make up a large part of retiree budgets.
Between the March and June quarters, retirees faced a 0.1 per cent decrease inthe cost of food, but the cost of health care
services rose 2.4 per cent andtransportation jumped 3.1 per cent, largely due to the 8.7 per cent leap inpetrol prices.
Over the year to June, food costs did rise 3.9 per cent, with milk up by 12.1per cent, cakes and biscuits by 8.2 per cent, snacks and confectionery by 5.3per cent, cheese by 14.2 per cent, bread by 6.8 per cent and poultry by 11.0 percent.
Those living it up a little would have seen the cost of takeaway food rise 6.5per cent and restaurant meals rise 4.5 per cent.
Alcohol and tobacco prices were up 4.8 per cent over the year, health costs rose4.8 per cent and transportation costs were up 6.9 per cent.
Over the year the average price of unleaded petrol increased from around $1.25per litre to around $1.60 per litre.
Over the past four years the cost of a comfortable retirement has increased intotal by 11.9 per cent, while the cost of a modest standard of living inretirement rose by a total of 13.1 per cent.
The report classifies a modest retirement as better than the aged pension, butstill only able to afford basic activities.
A comfortable retirement allows a healthy retiree to enjoy a broad range ofleisure and recreational activities and to have a good standard of living.
This allows for the purchase of household goods, private health insurance, areasonable car, good clothes, a range of electronic equipment, and domestic andoccasionally international holiday travel.