Three-quarters do not have financial plan
Nearly half (44 per cent) of working Canadians expect to be employed full-time at age 66, according to a survey
Among these, 65 per cent say it is because they have to work while 35 per cent say it is because they want to work, according to the 2019 Sun Life Barometer.
Only 14 per cent of those expecting to work at 66 have a financial plan for retirement, while
47 per cent of workers believe there is a serious risk that they may outlive their retirement savings.
Three-quarters of the workforce do not have a financial plan, found the survey of 2,151 workers aged 20 to 64 and 750 retired Canadians aged 55 to 80.
“For most Canadians, managing day-to-day finances is hard enough, let alone worrying about planning and saving for the future," says Jacques Goulet, president of Sun Life Canada.
In talking to retirees, 23 per cent say that their lifestyle is “frugal.” In following a strict budget and refraining from spending money on non-essential items, 72 per cent saying that their retirement is not what they were expecting.
Canadians should realize their employers offer “tools and resources designed to help them achieve lifetime financial security,” says Tom Reid, senior vice-president of group retirement services at Sun Life Canada.
"More and more Canadians can access workplace savings vehicles such as defined contribution pension plans, RRSPs [registered retirement savings plans] and TFSAs [tax-free savings accounts]. These are effective and easy tools for saving. Investing early and making contributions when you can will pay off in the long run.”