50% of Canadians saving for retirement have not visited a financial adviser in the last 12 months.
This is according to new research from Scotiabank. It also stated that 39% do not think they have enough money for professional adviser to be interested in helping them.
Furthermore, the poll found that 70% are worried they are not saving enough for retirement. The average Canadian expects to need $697,000 in retirement savings, but the average amount needed was $753,000 in 2017.
66% of Canadians are actually concerned that they have underestimated how much money they will need in retirement. In addition, 47% are concerned they will need to rely on family for financial assistance.
“We’re encouraged to see that 68% of Canadians are currently saving for their retirement, but it’s clear from the results of our survey that they don’t know whether they’re saving enough,” said D’Arcy McDonald, SVP, Retail Deposits, Investments, and Payments for Scotiabank. “As we approach the RRSP contribution deadline, we encourage all Canadians, whether you have a high-performing portfolio or are setting up your first RRSP, to connect with a financial adviser who can help chart a path to reach your retirement goals.”
Only 23% of Canadians thought saving for retirement was a top priority, 9 percentage points down from 2017. Of the 32% not saving for retirement at the moment, 45% are between the ages of 18 and 35.
McDonald added: “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. 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.”