Canadians wish they knew more about their finances

CIBC poll finds that Canadians are confident teaching their kids financial literacy, but lack confidence in their own knowledge

Canadians wish they knew more about their finances

Canadians are confident on the basics of financial literacy, and comfortable teaching their kids about topics like budgeting, saving, and debt repayment. However, when the subjects grow more complex a few gaps are emerging in Canadians’ financial literacy.

That’s according to a new survey by CIBC, which found 78% of Canadians will say they are confident teaching their children financial literacy. Those respondents reported strong knowledge of the basics. 86% said they were knowledgeable about day-to-day budgeting and saving money, while 79% said they were knowledgeable about paying off their debts.

Confidence began to drop, however, on more complex topics. Only 53% of respondents said they were knowledgeable about topics like investing, wills, or estate planning. 49% said they wish they knew more about the financial literacy tools and resources available to them.

"Having early and on-going conversations is important for parents who want their kids to develop high levels of financial literacy. Continuing your own education and expanding your own knowledge base is equally important to help make informed financial decisions for the future," said Carissa Lucreziano, Vice-President, Financial and Investment Advice, CIBC.

The survey also identified a few areas where Canadians feel they could use more advice and guidance. 23% reported feeling they could use advice on investments, with 19% reporting they need more help to prepare for retirement. 19% also said they need advice on strategies to offset inflation, while 15% said they need additional help managing the cost of living.

Inflation and the cost of living were found to be pushing Canadians to pay more attention to their finances. 83% of respondents said they were paying closer attention to their own finances on a regular basis, while 55% said they need to get a better handle on their finances this year.

On the whole, the survey found more than 60% of Canadians wish they had a stronger level of financial literacy.

"November's Financial Wellbeing Month is an excellent time for Canadians to familiarize themselves with the many resources available to them," said Lucreziano. "Whether it's speaking with a trusted financial professional or accessing your bank's online tools, articles, podcasts and events, there's many ways to expand and improve your financial knowledge."