Quote:
Originally Posted by CliffFletcher
A lot of Canadians are definitely under-prepared. Over a third don’t have any savings to speak of at retirement. But as you say, a great many Canadians over-save as well.
In the most general terms:
A third of Canadians don’t save anything for retirement, and may well have a tough time. They’re ignored by financial planning advice.
A third of Canadians put away a moderate amount ($150-400k) and manage just fine. They’re also pretty much ignored by the financial planning industry.
A third (mostly made up of the high-earning professional class) have the capacity to put away large sums for retirement. That’s the market for financial planning services. And those services have an incentive to encourage these high earners to over-save (partly by pretending the second group doesn’t exist).
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I'm just wondering how that first third, with very little to no savings, actually manages in life? Not being mean or sarcastic, just genuinely curious. The thing is we HEAR and READ about that 1/3 but they're not active or visible.
We do have 1 friend who is in that category and we've tried to help here and there but what's interesting is they continually make odd, inconsistent, and not helpful decisions in their lives. They'll sometimes ask for advice and then do "that" anyways. They want more and they want better, but they live a life with occasional drama and refuse to learn from their repeated lessons. I'm not saying all low income earners are like this but sometimes I wonder.