Just 51 per cent of Australians feel prepared for retirement, according to the third annual Rethinking Retirement report by super provider Colonial First State (CFS).
"When we first started surveying Australians a couple of years ago, the figure was only at about one-third, so it's good to see that that's improved," CFS executive director of growth and retirement Marissa Powe said.
The 2026 report, based on a survey of 1993 Australians, found women felt less confident about retirement than men, with 62 per cent of women worried they would not have enough money to live comfortably, compared to just 48 per cent of men.
"We know that that is a result of some of the contextual factors around lower lifetime earnings, and women are statistically more likely to have broken work patterns, so it does make sense to see that reflected in the data," Ms Powe told AAP.
The survey respondents said they would need an average of more than $1 million to retire comfortably, an increase of $183,000 from the previous survey, which Ms Powe said likely reflected the cost-of-living crunch.
The report showed the value of financial advice, with 77 per cent of those who had received it saying they felt prepared for retirement, compared to 45 per cent of those who had no advice.
"Those who have had advice that's tailored to them and their individual circumstances, really gives them more confidence that they have a plan in place," Ms Powe said.
Shaun Au, a senior financial advisor with Viridian Advisory in Perth, said people thinking about retirement often ask whether 67 is "retirement age".
"It's quite interesting how many people have that misconception," he said.
"That's obviously tied to Centrelink and social security."
But while the age pension has a qualifying age of 67, Australia has no official "retirement age" - it was a matter of individual preference and what people could afford, Mr Au said.
There was so much information available on the internet about retirement that it could lead to "analysis paralysis" and inaction, he said.
"If I put more into super, is that the right thing to do? Will my money get stuck? I've still got this mortgage, when should I sell this property?"
Ms Powe said most superannuation fund providers supplied simple, free advice on whether their investments were on track and best set for a customer's life cycle.
For those who wanted more tailored advice, she said most super providers could help members connect with a financial advisor in their area.
"So I really think getting in contact with your super fund is a great first step," she said.
