Blog by DOINA BIOLAN B.Comm

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WE HAVE A RETIREMENT INCOME CRISIS ON OUR HANDS

WE HAVE A RETIREMENT INCOME CRISSIS ON OUR HANDS

 

A recent survey by BLACK ROCK found that while 60% of Canadians are actively saving for retirement, including 52% of 25-to-34-year-olds, there's a clear discrepancy between retirement income expectations and savings habits.

 

Respondents said on average they expect an annual income of $46,900 for 25 years in retirement. But those who've started saving have amassed on average just $70,700 in total, barely enough to cover 18 months of expenses.

 

That number is little higher among pre-retirees aged 55 to 64 at $125,000, still clearly not enough even if expertly invested.

 

Retirement is one of the most important global issues that we face today, this survey reinforces the point that. We have a huge opportunity in front of us to help Canadians prepare a retirement plan.  

  

We have become a WANTS SOCIETY and our wants outpace our needs dramatically.

 

The study found nearly half (47 per cent) of Canadians aged 55 to 64 don't have an employer pension plan. Among them, those who earn $50,000 to $100,000 a year have saved up an average of $21,000.

 

ASK YOURSELF HOW MUCH DO YOU HAVE IN YOUR RETIREMENT

ACCOUNT?

 

Among those who earn $25,000 to $50,000 and don't have an employer pension, the average savings is even less.

 

One study found that fewer than one in five people over age 55 who don't have an employer pension have enough to live on in retirement for five years or more.

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This new data on retirement savings and gaps in support makes one thing perfectly clear - we have a retirement income crisis on our hands that requires urgent action now.

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Over the next few months, Canadians are going to be deluged with advice, free and otherwise, about what to do with their Registered Retirement Savings Plan (RRSP).

 

Need guidance and help onwhat, where, how much and how often you should save for retirement ? Not sure if RRSP, TFSA or unregistered Investments are for you?

 

Contact me today at doina@azurefinancialsolutions.com or 403-613-2205 !