40 per cent of boomers wish they started saving for retirement earlier

Also should have made regular contributions, maximized investment: BMO
|hrreporter.com|Last Updated: 02/27/2012

When asked to look back at what they would have done differently to prepare for an ideal retirement lifestyle, baby boomers said they would have started saving for retirement at an earlier age (42 per cent).

They also wished they had made regular contributions to and maximized their registered retirements savings plan (RRSP) (25 per cent) and put more thought into what they wanted their retirement to look like and budgeted for it (24 per cent), found a survey of 930 boomers by BMO Financial Group

"Saving from an early age can help establish good habits that will become part of your financial routine, ultimately leading to a stronger financial position when you enter retirement. Starting to put money away in an RRSP or TFSA is just the first step in building a solid financial plan, not only for retirement but for all your key life events," said Tina Di Vito, head of the BMO Retirement Institute and author of 52 Ways to Wreck Your Retirement… and How to Rescue It.

When asked to give retirement planning advice to people in their early 20s, baby boomers advised:
•Open an RRSP as soon as possible and contribute to it on a regular basis (59 per cent).
•Open a tax-free savings account (TFSA) and maximize the amount you invest in it annually (53 per cent).
•Take the time to create a financial plan that includes a retirement component (50 per cent).
•Make it a priority to pay off your mortgage faster (45 per cent).

Advice from boomers to young Canadians (by region and gender):

Total

ATL

QC

ON

MB/SK

AB

BC

MALE

FEMALE

Open an RRSP as soon as possible, contribute regularly

59%

67%

52%

59%

65%

60%

60%

59%

59%

Open a TFSA and maximize the annual investment

53%

52%

39%

55%

72%

59%

57%

50%

56%

Create a financial plan with a retirement component

50%

57%

41%

53%

67%

38%

57%

45%

55%

Pay off mortgage faster

45%

34%

34%

48%

53%

52%

58%

44%

47%

Invest in real estate as soon as possible

43%

32%

36%

45%

50%

40%

59%

43%

44%

Talk to your partner to ensure you’re both on the same page

33%

35%

17%

38%

39%

33%

46%

29%

37%

Add Comment

  • *
  • *
  • *
  • *