Most retirees worried about running out of money

How are Canadians faring in retirement? Are they retiring when planned? A new report from Angus Reid shows many fear they’ll run out of money.

• Nearly half (48%) of the retired Canadians surveyed agreed with the statement: “I’m worried about my money lasting my lifetime,” while roughly one-in-five (19%) strongly agreed. This anxiety is shared by substantial numbers of retired Canadians from all walks of life.

Read: New RRIF rules don’t go far enough: C.D. Howe

• Less than half (46%) of retirees say they retired when and as planned. The rest retired earlier (48%) or later (6%) because of circumstances outside their control.
• Retired Canadians are considerably more reliant on government and work pensions to finance their retirement than still-working Canadians expect to be when they retire. And, while a fairly concerning one-half (48%) of the already retired are worried about outliving their money, this anxiety is shared by three-quarters (74%) of Canadians who are not yet retired.

Retirees surveyed highlighted the following primary means of financing their retirement:

• Government pension –57%;
• Employer pension – 53%;
• RRSPs – 30%;
• Other investments – 13%;
• Downsizing/selling assets – 6%; and
• Other sources (including: inheritance, support from children, etc.) – 11%.

Read the full report here.

Also read:

How much do retirees spend?

5 key risks to retirement income

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.