The cost of retirement can vary from place to place. In some areas, the price of living a comfortable retirement is low and you can live on $200,000. In other places, the cost of living is much higher and you’ll want more money when you retire.
In the case of retirement advice Perth, just how much are you looking to need? Well, here’s some insight into the matter so you can plan better.
Let’s start with the simplest way to put it. Living in Perth is expensive. It will cost money to live there in your twilight years.
Healthcare is affordable and insurance covers most of the specialist fees and private hospitals. Discretionary surgery isn’t going to set you back too much. This is one detail that’s easy. However, the rest of it tends to be much harder and more expensive.
The Australian dollar is a commodity currency. This means that when commodity prices are strong, the value rises. When they’re weak, it falls.
That means that the Australian dollar is in a good place right now, which affects the standard of living and how much things cost. It can also affect just how much AUD you can get your hands on if you plan to retire soon.
Another issue is the cost of housing. If you have the equivalent of $200,000 USD on hand, you might be able to get by. However, the budgeting will be tight.
Estimate the cost of living. Perth isn’t that much more expensive than New York and is actually on a smaller scale. It might actually be cheaper than other major Aussie cities like Melbourne and Sydney. However, this is before factoring in things like taxes, medical expenses, and any luxuries you have.
In other words, you’ll want to have another source of income if you don’t have a large retirement fund. If you have social security, that can help. Investments are also an option, such as an income property.
A decent amount of money can cover most living expenses, which can ease the burden. This means you don’t need to tap into your savings. If you want to cut things more, avoid living near the city centre.
Australian cities are an excellent place to retire, and Perth is largely less expensive than most others. However, be aware that there is a bit of a housing shortage, so that might make the cost of lodging much more difficult and a bigger factor in your calculations