The majority of non-retired Canadians, 72%, are strongly considering working in some capacity after they retire, According to a recent national survey sponsored by Investors Group and conducted by Decima Research.

That is a stark contrast to what retired Canadians are doing today, as only 23% indicated they are currently working. The survey also found that 74% of non-retired Canadians are planning to use “earned income” as their primary or secondary source of retirement income.

Despite the strong majority who assume that some work will be a part of their retirement, the survey showed that most working Canadians have not determined how much money they’ll need in retirement (59%). Interestingly, the number of Canadians planning an early retirement seems unaffected by this lack of knowledge. The survey found that 41% of Canadians intend to retire before age 60, despite over half of them (53%) not knowing how much money they would need.

“Retirement should not be a shot-in-the-dark proposition,” said Heather Clarke, director, advanced financial planning support for Investors Group. “Many people who have not properly planned for retirement will probably have to work to maintain their lifestyle.”

While most survey respondents indicated they haven’t adjusted their retirement plans as a result of weaker stock market returns, those who did make changes (19%) indicated their adjustments included earning more in retirement, saving more, and spending less. Non-retirees said they plan to earn more money during retirement (72%) and save more (80%) as a result of stock market volatility. Retired respondents said they plan to spend less (78%) and lower their lifestyle expectations (42%).

“People need to be realistic about earning potential as they age. However, planning on this income is risky, when the results show that only one in five retired people find new occupations which allow them to generate earned income,” said Clarke.

The survey results are based on a Decima Express national telephone survey conducted with a representative sample of 2000 Canadians (18 years and older) between November 15 and 24, 2002. A sample of this size will provide results that can be considered accurate for the population overall to within plus or minus 2.2% 19 times out of 20.