How to Retire at 67: Step-by-Step Plan (Adelaide 2026)

by Jul 16, 2026Centrelink & Age Pension

In this guide

67 is the age most Australians actually retire around, because it’s when the Age Pension kicks in to support whatever your super doesn’t cover. But getting there smoothly isn’t just a matter of waiting for your birthday — the year or two before matters more than people expect. This is a practical, step-by-step plan for retire at 67 what to do, and roughly when to do it.

If you’re considering retiring earlier than 67, our guide on retiring at 60 and how much super you actually need covers that different — and more expensive — path. This article assumes you’re planning around the standard Age Pension age.

Complete guide how to retire at 67:

Step 1: Work Out Your Number (2–5 Years Out)

Before anything else, check your super balance against a realistic benchmark. ASFA’s 2026 figures put a comfortable retirement at roughly $630,000 for a single homeowner and $730,000 for a couple, and a modest retirement at $110,000 single / $120,000 couple, both assuming you own your home and receive a part Age Pension alongside your super drawdown.

Very few people land exactly on these figures — most sit somewhere between modest and comfortable, which is where the Age Pension does a lot of the heavy lifting. The point of this step isn’t to hit a magic number; it’s to know roughly where you sit so the remaining steps have a target.

Step 2: Consolidate and Check Your Super (2–5 Years Out)

If you’ve had more than one job, there’s a good chance you’ve got more than one super account — each charging its own fees and insurance premiums. Before retirement is the time to:

  • Consolidate multiple accounts into one, unless you have a good reason to keep them separate (e.g. insurance you’d lose by moving)
  • Check your investment mix still matches your timeframe — many people stay in a growth-heavy option well past the point it still suits them
  • Confirm your fund has your correct details, beneficiary nominations, and binding death benefit nomination in place

Step 3: Maximise Contributions While You Still Can (1–5 Years Out)

Once you stop working, you lose most ways of getting money into super tax-effectively. In the final working years, it’s worth reviewing:

  • Concessional (before-tax) contributions — the cap for 2026–27 is $32,500 a year, covering employer contributions, salary sacrifice, and personal deductible contributions combined.
  • The carry-forward rule — if your total super balance is under $500,000, you may be able to use unused concessional cap amounts from the previous five years on top of this year’s cap, which can meaningfully boost a balance late in your working life.
  • Downsizer contributions — if you’re 55 or over and selling your home, you can contribute up to $300,000 per person ($600,000 per couple) from the sale proceeds into super, outside the normal contribution caps.
  • Non-concessional (after-tax) contributions — the standard cap is $130,000 a year for 2026–27, or up to $390,000 over three years under the bring-forward rule if your total super balance allows it.

These caps change most financial years, so it’s worth confirming the current figures before acting, rather than relying on last year’s numbers.

Step 4: Decide How You’ll Wind Down Work (6–24 Months Out)

Not everyone stops in one go. Common approaches in the lead-up to 67 include:

  • A hard stop — finishing on a set date and moving straight into full retirement.
  • A Transition to Retirement (TTR) strategy — drawing an income from super while still working reduced hours, which can ease both the financial and lifestyle transition.
  • Phased reduction — cutting hours or days over the final year or two without a formal TTR pension, simply to adjust gradually.

There’s no single right approach — the better question is whether your household budget and mindset actually need a hard cut-off or would benefit from easing in.

Step 5: Review Insurance and Estate Planning (6–12 Months Out)

Insurance held inside super (life, TPD, income protection) is often cancelled automatically once an account has been inactive for 16 months, or reduced when you retire, depending on your fund’s rules. Before you stop working:

  • Check what insurance you currently hold inside and outside super, and what happens to it once contributions stop
  • Update your will, and confirm your super death benefit nomination is current and matches your wishes — super doesn’t automatically follow your will
  • Consider whether you need an Enduring Power of Attorney in place, particularly if you’re the one who’s historically managed the household finances

Step 6: Check the Age Pension Assets and Income Tests (3–6 Months Out)

Even if you don’t expect to qualify for a full pension, it’s worth checking where you sit against the current thresholds, since a part Age Pension is common and brings other benefits (concession cards, cheaper prescriptions) even at a small dollar amount.

See our full breakdown in How the Age Pension Assets Test Works for the current 2026 thresholds for homeowners and non-homeowners, singles and couples.

Step 7: Apply for the Age Pension (Up to 13 Weeks Before Your 67th Birthday)

You can lodge your Age Pension claim up to 13 weeks before you retire at 67 — not earlier, and there’s no advantage to waiting until after your birthday, since claims aren’t backdated. Our step-by-step Age Pension application guide walks through the myGov setup, required documents, and the most common mistakes that delay claims.

Set a reminder for the 13-week mark well ahead of time — gathering documents (bank statements, super balances, ID, your partner’s financial details) takes longer than most people expect.

Step 8: Move Your Super Into Pension Phase

Once you retire at 67, you can convert your super into an account-based pension, which generally makes investment earnings tax-free and gives you a regular, flexible income stream. A few things to check at this stage:

  • The government sets minimum annual drawdown rates based on your age — 5% a year from age 65 to 74 as at 2026, rising in your later years
  • Whether to convert your entire balance or keep some in accumulation phase
  • How your account-based pension income interacts with the Age Pension income test

Step 9: Set a Realistic Retirement Budget

With your Age Pension confirmed (or ruled out) and your super in pension phase, set an actual annual drawdown figure rather than an open-ended one.

ASFA’s modest and comfortable benchmarks are a useful sense-check here — a single homeowner comfortable lifestyle sits around $54,840 a year, and a couple around $77,375 a year, in 2026 terms — but your own number should reflect what you actually spend when you retire at 67, not just a published average.

Step 10: Revisit the Plan Every 12 Months

Contribution caps, Age Pension thresholds, and deeming rates all get reviewed multiple times a year in Australia.

A plan that’s right in your first year of retirement can drift out of date within twelve months — an annual check-in, even a short one, keeps your drawdown rate, pension entitlement, and investment mix aligned with current rules rather than the ones that applied when you first retired.

Frequently Asked Questions for how to Retire at 67

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Related reading: Considering retiring earlier instead? See Can I Retire at 60 in Adelaide?, or compare both paths in Retiring at 60 vs 67: The Gap Years Explained.

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General Advice Warning: This article contains general information only and does not take into account your individual objectives, financial situation, or needs. Before making any financial decisions, you should consider whether the information is appropriate to your circumstances and seek personal financial advice. Nasser Zreika and Lincoln Wealth Advisers are Authorised Representatives of Synchron, AFS Licence No. 243313.