While a quarter (26 per cent) of Canadians say they don’t face any barriers and are on track to saving for their ideal retirement, only 15 per cent of millennials and 10 per cent of generation Z say the same, according to a new survey by Edward Jones Canada.
The survey, which polled more than 1,500 employees, found roughly one in 10 millennials cited barriers such as not knowing how to start saving (14 per cent) and that retirement feels too distant to start planning (15 per cent), percentages that increase among gen Z (15 per cent and 21 per cent, respectively).
Read: 46% of Canadian employees prioritizing spending over retirement savings: survey
When comparing retirement priorities of women and men, women were slightly more likely to prioritize affording health-care costs (85 per cent versus 80 per cent of men) and pursing personal goals (76 per cent versus 71 per cent), while men are somewhat more likely to emphasize the importance of supporting dependents (55 per cent versus 48 per cent of women).
Despite hurdles to saving money, the survey noted Canadians recognize the importance of being financially resilient in retirement. More than eight in 10 (84 per cent) said they’re able to account for inflation and cost of living adjustments while retired and the same percentage said they want to be able to maintain their current lifestyle for the length of retirement.
When it comes to determining how much to save for retirement, a fifth (20 per cent) of Canadians said they don’t have a specific strategy. Half (51 per cent) said they rely on their income and budget to dictate their contribution, while 22 per cent rely on advice from financial advisors.
Read: CPPLC prioritizing employee financial literacy, retirement readiness in 2025