Australian retirees contribute $16.5 billion annually through unpaid work

Research from UniSuper estimates that retirees in Australia generate roughly $16.5 billion each year for the economy and their communities through unpaid care, volunteering, mentoring and community leadership.

Unpaid Workforce Larger Than Tasmania

The fund’s second annual Retire with Purpose report found retirees undertook an average of 386.3 hours of unpaid activity each year, equivalent to approximately 10 working weeks. Across Australia, this contribution was equivalent to the output of around 321,000 full-time workers, a group larger than Tasmania’s employed population and representing about 2 per cent of the national workforce.

Unpaid care was the biggest part of this economic impact, valued at roughly $10.6 billion yearly as seniors looked after kids, grandkids, elderly family, and those with disabilities. Over a third, specifically 38 per cent, offered such care, while nearly a third engaged in volunteering or civic tasks.

Victorian retirees recorded particularly high rates of unpaid care, with 46 per cent participating and 17 per cent providing approximately 10 hours or more each week. UniSuper chief executive Peter Chun said the findings challenged perceptions of retirees as primarily an economic cost.

“Our research shows that the contribution our retirees make is the equivalent of 321,000 full-time workers – a workforce larger than Tasmania’s entire employed population. They are finding purpose in caring for their families, strengthening our communities and mentoring the next generation,” Chun said.

“The value of this contribution should not be understated, yet too often, retirees are contributing without any recognition of the economic and social value this brings to our society. It’s time we stopped talking about retirees as a cost to be managed and started recognising them as one of Australia’s most valuable sources of experience, care and community strength.”

Despite the scale of this help, public acknowledgement is lacking; 82 per cent of Australians feel retirees’ economic value is overlooked. The report indicates that 88 per cent of people believe retirees aid society, though one in five seniors feel their own efforts are undervalued. Only 58 per cent felt appreciated.

Among retirees facing barriers to participation, one-quarter said greater recognition of their experience, capabilities and community contribution would encourage them to do more. Australia has also been failing to make full use of retirees’ professional and personal experience, according to 84 per cent of respondents.

Planning Time, Not Just Money

Strong desire to stay active exists among those nearing retirement, with 52 per cent intending to join purposeful activities. Two-thirds expressed a wish to apply the knowledge, abilities, and expertise gained during their careers after they stop working.

However, a disconnect exists between the wish to help and the available chances. About 26 per cent cited a shortage of suitable options as a blocker, and 15 per cent pointed to financial worry as a barrier.

Among those whose engagement is restricted, 37 per cent said financial bonuses would boost their input. Health and wellness aid and improved access to local activities were each chosen by 35 per cent. Financial guidance also seemed to affect how individuals spent their time post-work.

Retirees who got professional financial advice or direction worked an average of 8.3 hours weekly, versus 6.3 hours for those without advice. Those with guidance were also over 50 per cent more likely to use the skills and knowledge from their careers. Roughly 48 per cent did so, compared to 31 per cent of those not advised.

The difference associated with receiving advice was also evident before retirement. Three in five advised pre-retirees, or 59 per cent, knew how much they would need to retire, compared with 36 per cent of those who had not received professional advice. Almost three-quarters of pre-retirees who had not received advice were worried about outliving their savings, while more than half of respondents in NSW, Victoria and Queensland were concerned they would not have enough savings to live the retirement they wanted.

Financial preparedness was particularly weak among single women approaching retirement, with 68 per cent saying they did not feel prepared, compared with 53 per cent of married women. Three-quarters of single women were worried about outliving their retirement savings, while 67 per cent did not know how much they needed to retire. Meanwhile, more than one-quarter identified being unable to support themselves financially as their greatest retirement concern, compared with 18 per cent of married women.

With more than 2.5 million Australians expected to enter retirement over the next decade, UniSuper chief marketing and growth officer Dani Murrie said stronger support could help retain their skills and experience within the community. “Australians spend decades building skills, relationships and experience, and retirement doesn’t mean that value disappears,” Murrie said.

UniSuper’s research surveyed 2,982 participants aged between 35 and 75 from 7 to 21 April 2026. It included a nationally representative sample of 2,008 Australians sourced through YouGov and a separate sample of 974 UniSuper members.