Canadians are becoming more confident about their financial situations and are setting more personal financial goals, according to a new survey by BMO Financial Group.
It found 37 per cent of survey respondents said they believe their finances have improved recently, with Montreal residents the most likely to express financial optimism (42 per cent), ahead of Vancouver (35 per cent) and Toronto (34 per cent).
More than two-thirds (69 per cent) of Canadians said they’re setting personal financial goals, 58 per cent are saving for retirement and 40 per cent are paying off debt. Nearly two-thirds (63 per cent) said they’re contributing to savings on a monthly basis and 36 per cent are saving from every paycheque, with Vancouver residents (41 per cent) most likely to save part of every pay. Most Canadians (74 per cent) said they’re on track to meeting their financial goals.
While 43 per cent of Canadians said they often spend more than they should, those from Generation Z (65 per cent) and millennials (52 per cent) were the most likely to agree with that statement. Similarly, while more than a third (34 per cent) of Canadians said they sometimes worsen their financial situations through actions such as impulse purchases, that number jumped to 54 per cent and 49 per cent among gen-Zers and millennials, respectively.
In a press release, Gayle Ramsay, head of everyday banking and customer growth at the Bank of Montreal, said the increasing number of Canadians with coronavirus vaccinations and the gradual reopening of the economy is likely to have a positive effect on Canadians’ financial views. “By establishing a good financial foundation right now — setting out financial goals and saving for them — Canadians are taking a step in the right direction to make real financial progress. If we see this momentum continue, they’ll be poised for a stronger second half of the year.”