Canada NewsWire
TORONTO, Jan. 23, 2018
TD survey finds 47 per cent of Canadians planning to retire solo concerned about outliving their retirement savings
TORONTO, Jan. 23, 2018 /CNW/ - Life expectancy in Canada has greatly increased, leaving many Canadians at-risk of outliving their retirement savings. According to TD's Retiring Solo survey, nearly half (47 per cent) of Canadians 40 years of age or older planning to retire solo share this concern – many fearful of rising daily living expenses (63 per cent), not having enough money for necessities (41 per cent) and increasing healthcare costs (39 per cent).
"Facing retirement alone is becoming increasingly prevalent, but what is striking in these findings is the high level of anxiety that comes with this trend," said Rowena Chan, Senior Vice President, TD Wealth Financial Planning. "Canadians planning to retire solo are acutely concerned about whether they are saving enough to meet the wide spectrum of costs they will encounter in their older years – from day-to-day living expenses, to providing enough for their own care in the event of illness."
Nearly two thirds (65 per cent) of Canadians 40 years of age or older, and currently single, separated, divorced or widowed, feel they will most likely be living 'solo' when they retire. This finding corresponds with the 2016 Statistics Canada Census, which found that the percentage of one-person households is at an all-time high and is now the most common type of living arrangement.
Whether by choice or circumstance, retiring solo is arguably more difficult than for a couple. In fact, nearly four in ten (39 per cent) Canadians planning to retire solo believe they are at a disadvantage compared to dual-income couples when it comes to saving for retirement. With a single income, those polled (46 per cent) say they struggle to save for retirement while managing day-to-day bills as they have to cover all their expenses alone – housing, car ownership, utilities, etc.
"For those relying on a single income to fund their retirement, it's critical to think beyond day-to-day financial obligations and plan accordingly for the future," said Chan. "Meeting with a financial planner to put a financial strategy in place can help solo Canadians juggle their current financial demands while building resources for retirement."
To help solo Canadians become retirement ready, TD offers the following tips and advice:
Retiring solo makes sensible financial planning necessary. Financial planners can leverage different strategies to help you take the steps needed to target your retirement goals.
About the TD survey
TD commissioned Environics Research Group to conduct an online survey among a total of 2,500 adults from October 26 – November 3, 2017. Of those, 699 indicated they were 40 years of age or older and stated that they were single, never married, separated, divorced or widowed. Of those 699 respondents, 456 indicated that when they retire, they will most likely be living alone. All respondents resided in Canada.
About TD Bank Group
The Toronto-Dominion Bank and its subsidiaries are collectively known as TD Bank Group ("TD" or the "Bank"). TD is the sixth largest bank in North America by branches and serves more than 25 million customers in three key businesses operating in a number of locations in financial centres around the globe: Canadian Retail, including TD Canada Trust, TD Auto Finance Canada, TD Wealth (Canada), TD Direct Investing, and TD Insurance; U.S. Retail, including TD Bank, America's Most Convenient Bank®, TD Auto Finance U.S., TD Wealth (U.S.), and an investment in TD Ameritrade; and Wholesale Banking, including TD Securities. TD also ranks among the world's leading online financial services firms, with approximately 11.5 million active online and mobile customers. TD had CDN$1.3 trillion in assets on October 31, 2017. The Toronto-Dominion Bank trades under the symbol "TD" on the Toronto and New York Stock Exchanges.
About TD Wealth
TD Wealth represents the products and services of TD Waterhouse Canada Inc., TD Waterhouse Private Investment Counsel Inc., TD Wealth Private Banking (offered by The Toronto-Dominion Bank) and TD Wealth Private Trust (offered by The Canada Trust Company).
SOURCE TD Wealth
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