At a Turning Point

What workers plan and what retirees actually do are often two different things. More than half (54%) of today’s workers aged 40 and over say they plan to retire progressively, and yet just one in 10 (9%) of today’s retirees continue to work on an occasional or full-time basis. The vast majority stop working—and that 90/10 ratio has remained fairly stable since 2003.

By 2016, Statistics Canada’s 2006 Census predicts there will no longer be enough new workers to replace retirees. Employers will face mounting pressure to retain knowledgeable workers as the baby boomers begin to leave the workforce.

Meanwhile, Canadians who want to retire fully need to make sure they have a plan in place to maintain an acceptable standard of living through a period of time that may last many decades—in sickness and in health.

Rethink Risks

Canadian workers face increased risks as life expectancy rises, but many are not very or not at all concerned about these risks— which suggests they haven’t yet planned for them:
 

• 59% aren’t worried they haven’t saved enough to maintain the same standard of living in retirement
• 62% aren’t worried they will outlive their savings
• 52% aren’t worried inflation will erode their savings
• 69% aren’t worried their spouse may not be able to maintain the same standard of living after they pass away
• 62% aren’t worried they will not be able to live in their home for the rest of their lives
• 88% aren’t worried they will not have paid off their mortgage in retirement
• 82% aren’t worried they will not have eliminated their consumer debt in retirement
   

What about you? Do you have a retirement plan? Consult the We're Taking Retirement section of our website to get answers to questions that Canadians have during retirement.

More information about Desjardins Financial Security's products and services is available in our website.