Australia’s retirees are often spoken about in terms of what they ‘cost’ the nation, but that’s a narrative of dependence and decline. The real story is how much value they add – and the proof is in the numbers, writes UniSuper Chief Marketing & Growth Officer Dani Murrie.
Retirees contribute an estimated $16.5 billion to Australia’s economy each year through volunteering, caregiving, mentoring and other forms of unpaid work. Despite the value this adds, public discourse continually focuses on retirees as a cost – borne out through pensions, taxes, aged care and the like.
UniSuper’s 2026 Retire with Purpose report shines a light on just how much retirees contribute as an unsung workforce, the unique range of skills they bring to the table, and the purpose with which they are living in retirement.
The numbers
Despite being viewed as a de facto ‘finish line’ for Australians, retirement is more often taken as a time to explore hobbies, pursue passions and contribute to the community.
Importantly, this contribution can be quantified.
The UniSuper report found that retirees add the equivalent of approximately $16.5 billion to the Australian economy, and a little more than 10 extra weeks contributed per year per retiree.
That’s the equivalent of 321,000 full-time workers, larger than Tasmania’s entire employed population and around 2 per cent of Australia’s workforce.
Kerry, a retired academic from Wollongong, New South Wales, nicely captures the notion of retirement as a time to balance new things while maintaining the satisfaction of a hard day’s work:
“I spent my whole working life in academia, and I wasn’t ready to just switch that off when I retired. Now, I use these skills to mentor younger academics, and I also volunteer with my local surf club’s nipper’s program. I love that these different activities keep me connected to the things I care about.”
Sadly though, according to the Retire with Purpose report, 85% of retirees feel undervalued by society. Similarly, 84% of Australians said they believed retirees’ skills and experience were underutilised in workplaces and communities.
Purpose and industry’s role
While the report is clear on the benefits to the broader community, it also shows a worrying decline in confidence of both when and how comfortably people think they can eventually retire. 65 per cent of pre-retirees surveyed said they were confident of retiring at their planned age, down 5 per cent from last year. Further, just 44 per cent of pre-retirees feel financially prepared for retirement, a drop of 4 per cent from 2025.
Data shows that advice generally enables more proactive actions, and those who receive advice tend to be more confident in their retirement planning. Among pre-retirees who have received financial advice, 59 per cent know how much they need to retire compared to only 36 per cent in those who haven’t. Advised retirees are also more likely to apply the knowledge they’ve built in their working lives – 48 per cent versus 31 per cent in those not advised.
The 2026 report reinforces that ‘practicing’ retirement – ie. when retirees take time to familiarise themselves with their future plans and potential lifestyle changes while still working – can help boost members’ confidence. This key retirement pillar was explored more closely in the 2025 edition of Retire with Purpose.
With around 2.5 million Australians set to retire over the next decade, the challenge is on the superannuation industry to reinvigorate members’ confidence.
Preparing members well for retirement means supporting more than just their financial security – this is only one part of the picture. Members need confidence in their decisions, finding their purpose, strong social connections and access to the right help when they need it.
