Canadians saving for retirement are avoiding financial advisers

Pedro Gonçalves
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Canadians saving for retirement are avoiding financial advisers

Half of the Canadians saving for retirement have not visited a financial adviser in the last 12 months and 39% do not believe they have enough money for a professional adviser to be interested in helping them, according to a research from Scotiabank.

The poll found that the average Canadian respondent expects to retire at 64 years old, while 6% do not plan to ever retire.

Fear about losing their financial independence is the worry for 59% of respondents, while 53% say they're worried about having to return to work after retirement, according to the Scotiabank Investment Poll conducted by Nielsen Consumer Insights that surveyed 1,012 people between Jan. 25 and Feb. 3.

The best advice we can give young Canadians is to start saving early for retirement"

Even though nearly seven in 10 workers are saving for retirement, the same proportion think they will not save enough.

"We know that younger people have different priorities at this time in their lives as they strive to get momentum in their careers, pay down student loans, and save for their first homes," D'Arcy McDonald, senior vice-president at Scotiabank, said.

"The best advice we can give young Canadians is to start saving early for retirement. Even if it's not much, a small amount that's made through an automatic contribution is a great way to establish habits that will pay off in the long term as a critical part of your financial plan," he added.

According to the findings, the respondents expect to need C$697,000 in retirement savings, less than the average amount of $753,000 expected back in 2017. That is significantly below the C$1m many financial advisers suggest for a secure retirement, said the bank.

 

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