While many Canadians over the age of 55 have longevity-related concerns when it comes to retirement, only a third expect to adjust their future lifestyle plans, according to a new poll by RBC.
The survey found 39 per cent are concerned about maintaining their standard of living in retirement, 37 per cent are worried they won’t have enough savings and 34 per cent are unsure if they’ll be able to cover health-care costs. Yet only 33 per cent said they’ll adjust their retirement plans to prepare for three decades after they retire.
“Thirty years in retirement should be a huge gift of time, when you can do what you want, when you want, but you need to connect the dots between living longer in retirement and preparing for those additional years,” said Yasmin Musani, director of retirement client strategies at RBC, in a news release.
“If you’re in your 50s and haven’t considered all of your retirement options, and yes, making adjustments, it’s not too late to plan how to get the most out of all of your retirement years.”
According to the survey, the top six retirement questions on the minds of Canadian baby boomers are:
- 46% — Will I have enough money in retirement?
- 26% — How do I make the most of the money I’ve saved?
- 20% — How will I deal with inflation in retirement?
- 19% — What lifestyle changes should I expect in retirement?
- 15% — How will I manage debt in retirement or earn income while I’m retired?
- 13% — Should I downsize or sell my home?
Though the No. 1 question for respondents was whether they’ll have enough money once they retire, they should determine their retirement lifestyle before focusing on finances, said Bill Hill, national financial planning consultant and retirement designer at RBC, in the release.
“You’ll likely find your priorities, and their related financial implications, shifting as you approach and then enter retirement,” he said. “Retirement plans need to be fluid, to adjust as you approach retirement, and flexible enough to support the lifestyle you lead once you are retired.”