When it comes to superannuation it’s a great idea to have a target in mind so you can have some comfort that you’ll be well looked after in retirement.

Starting early brings with it the benefits of compound interest and can make what seems like a large savings task much more achievable.

Savings currently falling short

It’s true that, on average, people’s superannuation savings at age 60 fall well short of being able to generate the $80,000 per year in passive income I am looking at today.

Figures from the Association of Superannuation Funds of Australia show that men aged 60-64 have on average $395,852 in superannuation while women have $313,360.

So, how much would you need in your super to generate $80,000 per year in passive income?

Let’s do the sums.

If you were able to generate a 10% average dividend yield on your investments, which would be a difficult task, you’d need $800,000 in superannuation.

If you were getting just a 5% return, you would need double this, at $1.6 million.

I would argue that with the benefit of franking credits, retirees can aim for a return somewhere in the midpoint. So, to generate $80,000 from a 7.5% return, you would need to have $1.06 million in retirement savings.

Franking credits are crucial to this equation. If you invest in fully franked dividends, you get back all the tax the company has already paid.

This is because retirees are not taxed on their superannuation earnings.

In practical terms, this means a share paying a 5% dividend yield actually pays 7.14% once franking credits are included.

Which shares might help you hit the $ 80,000-per-year goal?

Infrastructure stocks such as APA Group Ltd (ASX: APA) and toll roads operator Atlas Arteria Ltd (ASX: ALX) pay healthy dividends of 5.36% and 8.86%, respectively.

In the resources sector, iron ore miner Fortescue Group Ltd (ASX: FMG) pays 6.07%, Santos Ltd (ASX: STO) pays 3.67%, and Woodside Energy Group Ltd (ASX: WDS) pays 5.04%.

In the financial services sector, Regal Partners Ltd (ASX: RPL) is paying 11.06%, Bank of Queensland Ltd (ASX: BOQ) is paying 6.03%, and Westpac Banking Corporation (ASX: WBC) is paying 4.39%.

How to check your progress

If you’re keen to check how much superannuation you’re likely to have when you retire, it’s worth checking out the federal government’s Moneysmart website, which has an easy to use calculator.

And if you want to top up your superannuation, it’s also worth reading up on concessional contributions, which are contributions you can make to your superannuation each year up to a cap of $32,500, which are only taxed at 15%.

Keep in mind that the $32,500 cap includes any employer contributions and salary sacrifice contributions.

The post How much superannuation do I need to earn $80,000 per year in passive income? appeared first on The Motley Fool Australia.

More reading

• 5 things to watch on the ASX 200 on Friday
• 9 ASX 200 shares earning strengthened buy ratings this week
• Iron ore is back below US$100. Are BHP and Rio Tinto shares still buys?
• 2 ASX shares I think could return more than Westpac
• Is the pullback in Westpac shares a buying opportunity?

Motley Fool contributor Cameron England has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Apa Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Corporate Travel Management Ltd (ASX: CTD) shares resumed trading on 3 September. This came more than a year after the shares were suspended from the ASX.

Its shares were suspended for 13 months because the company couldn’t complete its audited financial accounts while an investigation into its billing practices was underway.

The investigation found that the company had overcharged clients by more than $250 million. This included around £80 million relating to UK government contracts.

The stock last traded at $16.07 before the halt began in August 2025.

On their first day back, shares crashed a monumental 85%, and are now hovering around $2.13. 

So is this a bargain buy, or simply too big of a risk?

The bull and bear case

Despite the negative headlines, the underlying business is still performing reasonably well. 

FY26 revenue rose to $670 million, and underlying EBITDA increased 36% to $114 million. The company also returned to a statutory profit of $17.7 million. 

It also continued to win and renew large contracts, suggesting customers haven’t abandoned the business.

However, the big risk is that the problems aren’t completely behind the company yet. 

Revenue also fell in July compared with the previous year, which raises questions about whether the business is actually recovering. 

If the liabilities increase, customers leave, or it needs to raise more capital, shareholders could suffer further losses or dilution. 

On the other hand, if Corporate Travel Management finishes the repayments, avoids further problems, gets a clean audit opinion and returns to growth, the current share price could prove very cheap. 

In simple terms, it is potentially a good business at a distressed price. But buying it now is a high-risk bet that the worst is over.

What is Morgans saying?

In a note out of Morgans this week, the broker said it believes Corporate Travel Management is a “turnaround story under new leadership.”

Following years of overcharging clients, it will refund them A$246m by 30 September 2027, supported by its new A$175m debt facility. 

FY27 guidance will be provided at the AGM. We forecast earnings to fall materially due to a higher AUD, reduced special project work and higher corporate costs. Earnings growth should resume from FY28 given new management’s strategy. The acceleration of new client wins in the first two months of FY27 is encouraging. Given what has gone on, it will take time for confidence to rebuild and risks remain. However, we think CTD is a turnaround story under new leadership with material upside potential if it executes. We resume coverage with a BUY and A$3.06 PT.

From the current share price, this indicates an upside potential of over 40%. 

Foolish takeaway 

Corporate Travel Management is a high-risk turnaround investment. While the underlying business shows signs of recovery, significant customer liabilities, a modified audit opinion, and weakening recent revenue leave the company financially uncertain. 

Investors are effectively betting that no further major problems emerge and that it can resolve its liabilities and return to sustainable growth. 

But if that doesn’t happen, further losses or shareholder dilution are possible.

The post Corporate Travel Management recently resumed trading – Here’s why it could be a buy appeared first on The Motley Fool Australia.

More reading

• Corporate Travel shares plunge another 9%: Is the worst yet to come?
• Where does it end? Corporate Travel hit with another blow after crashing 85%
• 3 ASX shares that cut their dividend this reporting season
• Corporate Travel Management shares crashed 80% on their first day back. What happened?
• Why I’m still smiling after losing 85%

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Corporate Travel Management. The Motley Fool Australia has positions in and has recommended Corporate Travel Management. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Graincorp Ltd (ASX: GNC) shares were making headlines yesterday after the company released updated FY26 guidance. 

GrainCorp provides handling, storage, marketing, logistics and agronomic services to the East Coast grain industry.

What did GrainCorp report?

• Reconfirmed FY26 underlying EBITDA guidance at around $200–240 million
• FY26 underlying NPAT expected within $20–50 million range
• Business Transformation Program to deliver $12 million run-rate benefits by end FY26
• One-off restructuring costs of $5 million incurred in FY26
• System transformation spend unchanged for 2H26 at $25 million; FY27 updated to $30–35 million.

Why did the share price fall?

As reported by my colleague Aaron Teboneras, GrainCorp announced its transformation program remains on track to deliver around $12 million in FY26 savings, ahead of its previous target. 

Its longer-term goal of adding $20 million-$30 million to through-the-cycle EBITDA by FY28 is unchanged.

However, the technology rollout has been delayed. Release 1 is now expected to go live in Q2 2027, versus H2 2026 previously. 

GrainCorp said the delay will reduce implementation risk, but FY27 spending is now expected to rise to $30 million-$35 million, about $30 million above its previous estimate.

Investors were seemingly unimpressed by the news, as GrainCorp shares fell 4% during yesterday’s session. 

The agribusiness has now seen its share price fall 22% over the last 12 months. 

Bell Potter sees greener pastures ahead for GrainCorp shares

Following the release, the team at Bell Potter provided updated guidance on GrainCorp shares. 

Commenting on the outlook for the company, the broker said GrainCorp’s FY26 guidance is broadly in line with expectations, with Underlying EBITDA expected around the midpoint of the $200-240m range, including $5m of restructuring costs from a review of the Agribusiness operating model. 

Commenting on the company’s adjusted outlook, the broker said near-term earnings are expected to be slightly lower because of a $5m restructuring cost. 

However, Bell Potter believes GrainCorp’s transformation program will ultimately deliver more savings than previously expected, which is why it raised its price target.

Buy rating retained 

Bell Potter’s report also reiterated a buy rating on GrainCorp shares. 

Additionally, the broker has upgraded its share price target to $7.50 (previously $7.15). 

Based on yesterday’s closing price, this indicates upside potential of almost 13%. 

Buy rating retained. The recent ABARE crop report was positive lead for FY27e and is yet to filter entirely through consensus expectations. However, the margin backdrop at this point, in terms of both grain basis and oilseed crush margins, remains the strongest it has for three years. To us this is key, as consensus FY27e expectations (which the 2026-27 crop underwrites) looks to be carrying forward the margin environment of FY25-26e, which was materially weaker. Trading at ~5.0x FY27e PBTDA we see the valuation as undemanding.

The post Why this broker thinks GrainCorp shares are a buy after yesterday’s fall appeared first on The Motley Fool Australia.

More reading

• GrainCorp shares fall after surprise $30 million cost increase
• GrainCorp keeps guidance steady as transformation delivers gains
• This ASX 200 stock just got a big upgrade from Bell Potter
• 5 things to watch on the ASX 200 on Wednesday
• Here are the top 10 ASX 200 shares today

Motley Fool contributor Aaron Bell has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.