Canadian boomers fear retirement funds shortfall says RBC

The biggest fear among Canadians aged 50+ right now is that they have inadequate retirement savings.

A new RBC poll conducted by Ipsos has found that the concern is there regardless of their personal wealth but there is a gap in the amount they are hoping to save.

For those with investible assets of $100K+ the average amount they want to save is $949,000 but the survey reveals that they are around $275K short of that target.

For those with less than $100K in investible assets, the savings goal of $575K is even further away with most more than half a million dollars from their target.

"When you peel back the layers, many Boomers worry about their savings shortfall because they just don't know where to start," comments Rick Lowes, Vice-President, Retirement Strategy, RBC. "The best approach is to start with expectations including: the lifestyle you hope to lead in retirement, retirement income options, and then build a plan to get you there."

Plans to boost savings
For those Boomers who have a shortfall, 52% say they are considering downsizing their home to boost funds, 41% plan to keep working in retirement, and 25% will borrow against home equity.

For 1 in 5 they are betting on an unexpected inheritance while for 3% of respondents their retirement finances rely on a lottery win!

The RBC 2019 Retirement Myths and Realities Poll was conducted in April 2019.

Regional & Gender Comparisons
Non-Retired Canadians Aged 50 and Over¹