Almost 70% of Canadian retirees did not leave the workforce when they planned to—and of those, 41% cited personal health problems as the primary reason for retiring earlier.
That’s according to the 2014 Sun Life Canadian Health Index, conducted by Ipsos Reid. The study shows that 45% of Canadians have experienced a health event, with nearly a quarter (23%) of them impacted by a mental health issue.
“Our research shows that Canadians who are not financially prepared to retire typically say they will work longer to compensate, but unfortunately, they may not have that choice,” says Kevin Dougherty, president of Sun Life Financial Canada. “The statistics show your retirement date may arrive sooner than you expected.”
Although Canadians say deteriorating health is a top concern (66%) as they age, only 22% have saved money or otherwise planned for healthcare expenses in retirement.
As a result, 53% of Canadians worry about the cost of drugs and medical treatments in retirement. Nearly half (47%) worry about being in long-term care longer than they are financially prepared for. And 45% worry about outliving their retirement savings.
But health isn’t the only thing people worry about. The study also finds that 76% of Canadians are stressed out—specifically because of personal or household finances, trying to maintain a budget and unexpected expenses.
Of those Canadians who experienced a major health event, just over four in 10 have experienced financial hardship, and 25% have reduced or depleted their savings as a result.
Conducted this summer, the survey polled 2,799 Canadians.
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