Canadians are struggling to save for retirement, with many planning to push back the next phase of their life amid inflation and higher interest rates, according to a new survey from the Healthcare of Ontario Pension Plan.
Inflation has been slowly cooling in recent months, but at 4.4 per cent in April year over year it’s still more than double the central bank’s target rate of two per cent. The Bank of Canada last week raised its overnight rate to 4.75 per cent after several straight months of holding it steady, citing the risk of sticky inflation.
More than half of those surveyed aged 55 to 64 said if inflation keeps rising, they will have to push back their intended retirement date. Also, despite rising costs, almost 70 per cent of people surveyed said they would take lower pay in exchange for a better pension. Meanwhile, 78 per cent said they believe all employers should be required to contribute in some way towards pensions for workers.
I have some savings. Not enough. And I doubt the equity I have will be sufficient either. I’m grateful for what I have, but I don’t see retirement happening anytime soon.
I legitimately think retirement will be a largely nonexistent concept for anyone currently under 40.
I hear freedom 77 is the new freedom 55
To play devil’s advocate, retirement is a fairly recent phenomenon. It’s only come about en masse in the last 2 centuries, and most people would get a few years of retirement before they died if they were lucky.
Retirement age was set at 65 in the 1930s but back then life expectancy was only 60. Now it’s 81. So saving for retirement was much easier to do.
Plus those extra 15 years of life are some of the most expensive for the society in terms of a healthcare burden. Assuming life expectancy continues to rise, we’re going to have to stomach later retirement, barring some technological breakthrough like robot nurses
I’m scheduled to retire at the end of this month. I could keep working this job for at least another 3 years, but I’m already 66 with a family history of missing average life expectancy by a decade.
I spent 12 years of school doing what other people told me to do, doing it on their schedule, and putting up with bullies.
I spent 50 years in the workforce, doing what other people told me to do, doing it on their schedule, and (yippie!) putting up with bullies.
Maybe I’ll crash and burn. Maybe I won’t. Either way, I’m done with the bullies, and I’ll do what I want on my own schedule.
If our leaders insist on treating us like children, they could at least act like our parents.
