SENIORS ARE DRAGGINGDEBT & BANKRUPTCY INTORETIREMENT & BEYOND
Imagine, you’re 65 and ready to retire after a life of
hard work but at a time when you should be able
to take a step back and enjoy the rest of your life,
you end up struggling financially.
You are not alone.
Over 40% of seniors in Canada arecarrying debt.
Based on the Vanier
Family Finances
Annual Report
performed in 2014,
there has been a
1747% increase in the
rate of insolvencies
among our Canadian
seniors over the past
20 years.
With the cost of living rising every year, and
most seniors living on a fixed income, it’s
not a surprise that debt is a result.
Strengthening
Seniors Financial
Literacy is a new
initiative created by
the Financial
Consumer Agency
of Canada (FCAC).
This program is designed to assist seniors to
gain a better financial understanding and
assist in avoiding the debt trap.
The 24th Annual
RBC RRSP Poll
reported that 52%
of Canadians stated
retirement savings
is their main
financial focus.
A completely different story is reported from
the Statistics Canada Financial Capability
Survey.
1 in 3 Canadian adults (33.8%) are not
preparing financially for retirement either on
their own or through an employer pension
plan.
6 in 10 (59.6%) Canadian adults
do not know how much money they will
need to save to maintain their desired
standard of living during retirement.
Based on this survey, it’s not surprising that a
large number of seniors are in dire financial
situations.
How can you plan for all of the added
expenses that might be incurred after you
retire?
Expenses that are a
result of illness,
medical care, or
injury can add up
quickly.
It’s almost
impossible to plan
for everything, but
being prepared is
another story.
No one wants to or
plans to be
struggling through
debt or bankruptcy
throughout their
retirement.
Understanding and
planning for
retirement realities
is a large part of
financial planning
and literacy.
Setting goals and budgeting for ourretirement savings realistically, canhelp reduce some of the financialstress caused by the unexpected lifeevents.
Learning and planning early teaches us
responsibility and accountability for our
finances so that the choices we make with
our money at thirty doesn’t bankrupt us at
seventy.
Please visit Retirement, Seniors and Debt page for
help and more information on dealing with debt
before and after retirement.
Contact Us:Call: 1 888 660 6401
Email: [email protected]