Anxious Australian Retirees Aren’t Spending Their Pensions

  • Most find retirement planning too complicated: Grattan report
  • Report encourages greater take-up of annuity products

Bondi Beach in Sydney, Australia.

Photographer: Brent Lewin/Bloomberg
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Australia’s pensions industry has been widely celebrated for building a A$4.1 trillion ($2.5 trillion) nest egg for the country’s workers. It’s been less successful in helping those savers manage their cash once they retire.

The system is lagging behind other wealthy countries because it isn’t providing enough guidance on how to spend money in retirement, causing people to be anxious about their future, a Grattan Institute report said Sunday.