Canadians are becoming more optimistic about the state of their personal finances, but nearly two-thirds are still losing sleep over financial concerns, according to the March RBC Canadian Consumer Outlook Index.

In the survey of more than 1,000 adults, conducted in March, 27% admitted that they are up at night worrying about paying off their debt, 18% said they worry about having enough for retirement, and 16% worry about having no emergency fund.

One-third of respondents said were not confident about any aspect of their financial situation.

But the percentage of Canadians who think that their personal financial situation will improve in the next three months has increased, climbing to 33% in March from 30% in February. Looking ahead, 44% of Canadians expect their personal economic situation to improve over the next year.

“For Canadians losing sleep over their finances, my advice is to prioritize those worries from biggest to smallest, and to create a step-by-step plan to tackle them,” said David McKay, group head of Canadian Banking at RBC.

Meanwhile, economic expectations deteriorated. Twenty per cent of Canadians believe the national economy will worsen over the next 12 months, up from 13% in February.

But fewer adults are worried about losing their job in the current economic environment: 22% said that a member of their household is worried about being laid off, down from 25% last month.

Overall, the March RBC Canadian Consumer Outlook Index remained virtually flat at 108 points, down from 109 in February, suggesting Canadians see the overall economic recovery as a bumpy road ahead.

On a regional basis, the RBC survey found Atlantic Canadians to be least concerned about their personal finances, while Quebecers are most likely to be losing sleep. Residents of Saskatchewan, Alberta and Manitoba are the most optimistic about the national economy.

Job anxiety levels increased in British Columbia and Quebec, while Atlantic Canada remained unchanged and levels decreased in all other regions of the country. The lowest levels of job anxiety were in Manitoba, Saskatchewan and Ontario.

IE