Blair Vernon
Australia’s retirement confidence has barely shifted over the past year, with the rising cost of living and fear of running out of money leaving almost half the population financially insecure about life after work.
The 2026 AMP Retirement Confidence Pulse found 52 per cent of Australians feel financially confident about retirement, up only marginally from 50 per cent in 2025.
The national study reveals the major barrier to confidence is not simply how much people have saved, but whether they believe their money will last.
Almost three in five Australians (58 per cent) worry about running out of money in retirement. Among this group, just 28 per cent feel financially confident, compared with 84 per cent of those who do not share that fear – a 56-point “Certainty Gap”.
The gap is widest among Australians aged 65 and over. Just 22 per cent of older Australians who worry about running out feel confident about their financial security in retirement, compared with 93 per cent of those who do not – a striking 71-point divide.
What the Pulse reveals:
- Fear is holding Australians back: 58 per cent worry their money will run out in retirement.
- The cost-of-living crunch: 47 per cent nominate the cost-of-living as the single biggest threat to their retirement security. Three in four say inflation and cost-of-living pressures have increased their concerns.
- Women continue to trail men: Only 42 per cent of women feel confident about retirement, compared with 61 per cent of men.
- Midlife remains under pressure: Australians aged 40–49 are the least confident age group at 40 per cent.
- Life shocks leave a lasting mark: Just 18 per cent of unemployed Australians looking for work feel confident, while confidence among separated or divorced women is only 33 per cent.
- Certainty could unlock spending: 84 per cent say knowing they had an income for life would make them more confident about spending in retirement.
Blair Vernon, AMP CEO said: “Australia has built one of the world’s largest retirement savings pools, but these results show we have a lot of work to do to turn those savings into confidence about retirement.
“The fact that almost three in five Australians worry about running out of money tells us the challenge is no longer only helping people build a larger balance, but giving them greater certainty that their income will last.
“The fear of running out has real consequences. It can cause people who have saved throughout their working lives to unnecessarily restrict their spending and enjoyment in retirement.
“With millions of Australians approaching retirement, closing this Certainty Gap must be a priority for government and industry. That means shifting the conversation beyond super balances and into better financial education, simpler guidance and advice, and retirement solutions designed around reliable income.”
Julie Slapp, AMP Director, Growth and Customer Solutions said: “People spend decades being told how to save for retirement, but far less time learning how to turn those savings into an income they can confidently live on.
“The research shows how powerful certainty can be. More than eight in ten Australians say knowing they had an income for life would make them more comfortable spending in retirement, regardless of how long they lived.
“Retirement planning should start with the life and regular income someone wants, not an intimidating lump-sum target. Super funds have an important role to play in making the options easier to understand and helping members take action well before retirement.
“Knowing when you want to retire, understanding where your income will come from and regularly reviewing your plan can turn uncertainty into confidence.”
About the AMP Retirement Confidence Pulse
The Pulse is based on AMP commissioned research of 2,000 Australians by independent research company Dynata in July 2026.