Welcome!

News Feed Item

New year, new resolve: saving for retirement outranks reducing debt in 2014 for Canadians, says RBC poll

Significant jump in RRSP ownership among 35 to 54 year olds

TORONTO, Jan. 9, 2014 /CNW/ - Reversing last year's rankings, more Canadians are citing saving for retirement as a top financial priority compared to those who are prioritizing paying off debt, according to the 24th Annual RBC RRSP Poll. Over half (52 per cent) are now focusing on increasing their retirement savings, with 48 per cent placing a priority on debt reduction, compared to 44 per cent and 54 per cent respectively in last year's poll. This reversal of financial priorities is even more marked among middle-aged Canadians - those 35 to 54 years old - with almost two-thirds (62 per cent versus 52 per cent last year) focusing on saving for retirement ahead of reducing debt (52 per cent versus 56 per cent).

"These findings indicate Canadians are more comfortable with how they are managing their debt and this is allowing them to focus more strongly on retirement savings this year," explained Bill Hill, national retirement planning consultant, RBC. "To help ensure those savings will support the retirement they have in mind, we recommend they review their lifestyle and financial goals with a financial advisor as early as possible."

The annual RBC poll also found that RRSP ownership among those aged 35 to 54 has jumped to 68 per cent from last year's 58 per cent.  In addition, one-quarter (26 per cent) of middle-aged Canadians has determined they will need to save, on average, $545,000 for a comfortable retirement.

"This is the age group that needs to be planning now for the lifestyle they want to have in retirement," Hill emphasized. "As Canadians who have already retired know, there is so much more to your retirement years than just the money you think you'll need. The beginning of each new year is a good time to sit down with a financial advisor to explore all aspects of a successful retirement - you may well find you have more options than you are aware of today."

24th ANNUAL RBC RRSP POLL - FAST FACTS

Financial Priority Canadians
18+
Canadians
35-54
2013 2012 2013 2012
Retirement savings 52% 44% 62% 52%
Reduce or eliminate debt 48% 54% 52% 56%
Rainy day savings 43% 44% 39% 40%
Home ownership 32% 34% 29% 33%
Keep head above water 30% 32% 30% 32%
Saving for large purchase 25% 28% 19% 22%
Building investment portfolio 23% 17% 22% 16%
Home renovation 20% 20% 20% 20%
Child/grandchild education 16% 20% 18% 24%
Supporting aging parents 7% 7% 7% 6%

RRSP Ownership 2013 2012 2011 2010 2009
Canadians 18+ 59% 55% 60% 61% 54%
Canadians 35 to 54 68% 58% 67% 70% 57%

Comfortable
retirement savings
amount estimated
C$ hundred thousands
2013 2012 2011 2010 2009
Non-retired Canadians $610 $564 $778 $655 $656
Retired Canadians $235 $347 $339 $274 $267
Canadians 18+ $476 $465 $601 $501 $497
Canadians 35 to 54 $545 $547 $786 $633 $581

About RBC's financial planning advice, resources and interactive tools
Canadians can access RBC Financial Planning and rbc.com/savingsspot for free planning, budgeting and savings advice and resources, or to find the nearest Investment and Retirement Planner. The RBC Advice Centre offers free online advice, resources and tools regarding retirement and estate planning including RRSPs and the RSP-Matic Savings Calculator. In addition, RBC's myFinanceTracker, a comprehensive online financial management tool, offers all personal RBC online banking clients the ability, at no cost, to create a budget and track their spending habits, as well as manage and plan their taxes.

About the 24th Annual RBC RRSP Poll
The 24th Annual RBC RRSP poll was conducted by Ipsos Reid between November 6 to 20, 2013 via a random sample of 2,062 Canadian adults in the general population (aged 18 and over). The results are based on samples where quota sampling and weighting are employed to balance demographics and ensure that the sample's composition reflects that of the actual population according to Census data. Quota samples with weighting from the Ipsos online panel provide results that are intended to approximate a probability sample. A weighted probability sample of 2,062 Canadian respondents, with 100 per cent response rate, would have an estimated margin of error of ±2.2 per cent, 19 times out of 20.

SOURCE RBC

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
"ReadyTalk is an audio and web video conferencing provider. We've really come to embrace WebRTC as the platform for our future of technology," explained Dan Cunningham, CTO of ReadyTalk, in this SYS-CON.tv interview at WebRTC Summit at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
We are always online. We access our data, our finances, work, and various services on the Internet. But we live in a congested world of information in which the roads were built two decades ago. The quest for better, faster Internet routing has been around for a decade, but nobody solved this problem. We’ve seen band-aid approaches like CDNs that attack a niche's slice of static content part of the Internet, but that’s it. It does not address the dynamic services-based Internet of today. It does...
The WebRTC Summit New York, to be held June 6-8, 2017, at the Javits Center in New York City, NY, announces that its Call for Papers is now open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 20th International Cloud Expo and @ThingsExpo. WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web ...
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.
Without lifecycle traceability and visibility across the tool chain, stakeholders from Planning-to-Ops have limited insight and answers to who, what, when, why and how across the DevOps lifecycle. This impacts the ability to deliver high quality software at the needed velocity to drive positive business outcomes. In his general session at @DevOpsSummit at 19th Cloud Expo, Phil Hombledal, Solution Architect at CollabNet, discussed how customers are able to achieve a level of transparency that e...
"We're a cybersecurity firm that specializes in engineering security solutions both at the software and hardware level. Security cannot be an after-the-fact afterthought, which is what it's become," stated Richard Blech, Chief Executive Officer at Secure Channels, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
The Internet of Things (IoT) promises to simplify and streamline our lives by automating routine tasks that distract us from our goals. This promise is based on the ubiquitous deployment of smart, connected devices that link everything from industrial control systems to automobiles to refrigerators. Unfortunately, comparatively few of the devices currently deployed have been developed with an eye toward security, and as the DDoS attacks of late October 2016 have demonstrated, this oversight can ...
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...
Kubernetes is a new and revolutionary open-sourced system for managing containers across multiple hosts in a cluster. Ansible is a simple IT automation tool for just about any requirement for reproducible environments. In his session at @DevOpsSummit at 18th Cloud Expo, Patrick Galbraith, a principal engineer at HPE, discussed how to build a fully functional Kubernetes cluster on a number of virtual machines or bare-metal hosts. Also included will be a brief demonstration of running a Galera MyS...
Internet-of-Things discussions can end up either going down the consumer gadget rabbit hole or focused on the sort of data logging that industrial manufacturers have been doing forever. However, in fact, companies today are already using IoT data both to optimize their operational technology and to improve the experience of customer interactions in novel ways. In his session at @ThingsExpo, Gordon Haff, Red Hat Technology Evangelist, will share examples from a wide range of industries – includin...
Unless your company can spend a lot of money on new technology, re-engineering your environment and hiring a comprehensive cybersecurity team, you will most likely move to the cloud or seek external service partnerships. In his session at 18th Cloud Expo, Darren Guccione, CEO of Keeper Security, revealed what you need to know when it comes to encryption in the cloud.
Organizations planning enterprise data center consolidation and modernization projects are faced with a challenging, costly reality. Requirements to deploy modern, cloud-native applications simultaneously with traditional client/server applications are almost impossible to achieve with hardware-centric enterprise infrastructure. Compute and network infrastructure are fast moving down a software-defined path, but storage has been a laggard. Until now.
We're entering the post-smartphone era, where wearable gadgets from watches and fitness bands to glasses and health aids will power the next technological revolution. With mass adoption of wearable devices comes a new data ecosystem that must be protected. Wearables open new pathways that facilitate the tracking, sharing and storing of consumers’ personal health, location and daily activity data. Consumers have some idea of the data these devices capture, but most don’t realize how revealing and...