Ahead of the match, Khawaja was asked what a fairy-tale ending to his Test career would look like. The ideal scenario, he said, would have been remaining unbeaten in a successful run chase.
That outcome did not materialise, as he was dismissed for six, chopping a delivery from Josh Tongue onto his stumps during Australia's pursuit.
Nevertheless, the moment was marked by significant recognition. England honoured Khawaja with a guard of honour as he walked to the crease, acknowledging his 88 Tests of service to Australia and to the game. Khawaja paused to shake England captain Ben Stokes' hand in appreciation before taking guard.
After his dismissal, Khawaja removed his helmet and gloves and raised his bat to the crowd, receiving a standing ovation on day five at the SCG.
The attendance for the final day was 25,847, with supporters applauding a player who has been a central figure in Australia's batting line-up over the past four years.
Known throughout his career for a calm demeanour and a strong adherence to process, he acknowledged battling emotionally throughout the Test, an internal struggle reflected in modest scores of 17 and 6 in his final appearance.
"I think the fairytale's already done," he told Fox Cricket. "I don't think it matters how many runs I score.
"As much as I wanted to go out there and score runs and hit the winning runs, I'm just grateful for one last final win and celebrate with my team-mates.
"I was trying to act cool, but the whole Test match, I found it really hard to control my emotions. I prided myself on being able to control my emotion my whole career. I haven't given away too much of the opposition or to anyone. I found it really hard to concentrate a lot.
"Even in the first innings, I found it hard to get into rhythm. And even today, my whole career, particularly the last end of the career has been built on process, process, process. It's just so hard to go out there and concentrate.
"But look, I'm glad we got the win, got over the line, and it's something I'll cherish for the rest of my life. Being able to finish here at the SCG. Everyone's been so great. I'm so grateful to have the career I've had, and I can just finally relax."
Australia defied pre-series claims that their side was too old by overpowering England 4-1 in the Ashes, with a veteran-heavy team turning "Dad's Army" jibes into a commanding series victory.
Australia stumbled to a five-wicket victory in the final Ashes test at the Sydney Cricket Ground on Thursday to reclaim the iconic urn via a comprehensive 4-1 scoreline.
Australia are in control of the fifth and final Ashes Test as they reduced England to 302/8 on Day 4 in Sydney, leaving the visitors just 119 runs ahead.
Australia built a commanding lead on the third day of the final Ashes Test off the back of superb hundreds scored by Travis Head and captain Steve Smith.
