Toronto – September 12, 2016 – More and more Canadians are living paycheque to paycheque as workers and their families grapple with stagnant incomes, rising expenses and debt, and a struggling economy. Unable to save adequately, many Canadians are worried about their retirement and are therefore working longer.
48 – Percentage of Canadians who say it would be difficult to meet their financial obligations if their paycheque was delayed by a week.
24 – Percentage of workers who would not be able to come up with $2,000 if an emergency happened within the next month.
40 – Percentage of Canadians who claim to spend all of or more than their net pay, with nothing left for savings.
47 – Percentage of workers who are able to save 5% or less of their earnings, well short of the 10% of net pay that is recommended by financial planning experts.
93 – Percentage of Canadians who carry debt, with the most common forms of debt being mortgages (26%), credit cards (18%), car loans (17%), and lines of credit (16%).
39 – Percentage of workers who feel overwhelmed by their level of debt.
11 – Percentage of Canadians who think they will never be debt-free.
58 – Percentage of workers who say debt and a bad economy are the biggest obstacles to saving for retirement.
75 – Percentage of Canadians who believe they will not be able to retire until at least age 60.
76 – Percentage of workers who claim they have saved only one-quarter or less of what they feel they will need to retire comfortably.
45 – Percentage of Canadians who say they will need to work longer than they had originally planned in order to adequately save for retirement.
Sources: “Canadians living pay cheque to pay cheque, challenged by debt and economy, payroll survey finds,” The Canadian Payroll Association, 7 September 2016; “Half of working Canadians living paycheque to paycheque: survey,” The Globe and Mail, 7 September 2016.