It also found that around 44 per cent of Australians think they will run out of money in retirement.

In terms of contributions, Generation Y had the most positive savings behaviour, with 40 per cent making voluntary contributions to their super, followed by 31 per cent of Baby Boomers and 25 per cent of Generation X.

The survey also revealed that 71 per cent of Generation Y have either used a financial planner or expect to use a financial planner.

Bede Cronin, head of RaboDirect said it was concerning to see a large disparity between what Aussies expect to need to retire with versus what they’ll actually have.

“Even more worrying is that nearly one in five or 18 per cent of Australians are banking on an inheritance to get them through their retirement,” Mr Corin said.

He said it was encouraging to see that Gen Y was being proactive with their finances and setting themselves up for success.

“There are clear benefits for your future by taking small steps with your finances and we’re hoping to see some of this behaviour rub off on other generations.”