Canadian baby boomers wish they started saving for retirement at an earlier age and advise younger Canadians to get moving on RRSPs, TFSAs, financial plans and becoming mortgage-free faster.
That’s according to the results of a study examining the reflections and regrets of Canadian boomers (aged 45 or older) on retirement planning, released Thursday by BMO Financial Group.
Boomers were asked about any regrets they have about their own retirement planning. When asked to look back at what they would have done differently to position themselves better for their ideal retirement lifestyle, they identified the following:
- started saving for retirement at an earlier age (42%);
- made regular contributions to and maximized my RRSP (25%); and
- put more thought into what I wanted my retirement to look like and budgeted for it (24%).
With respect to retirement savings, Canadian boomers expressed opinions on what they wish they would have invested in more: real estate (35%); guaranteed investment certificates (31%) and cash (20%).
Boomers were also asked what their retirement planning advice would be to someone in their early 20s. They advised the following:
- open a RRSP as soon as possible and contribute to it on a regular basis (59%);
- open a Tax Free Savings Account and maximize the amount you invest in it annually (53%);
- take the time to create a financial plan that includes a retirement component (50%); and
- make it a priority to pay-off your mortgage faster (45%).
The online survey was conducted by Leger Marketing from January 30 – February 2, with a sample of 930 Canadian adults age 45 and older.