- Retirement date not always as expected
- Fewer flocking south as snowbirds
TORONTO, Jan. 16, 2020 /CNW/ - Retired Canadians have
some advice for those approaching retirement: don't expect it to be
as advertised, according to the RBC Retirement Myths &
Realities poll. Responding to the biennial poll of Canadians aged
50+, retirees cite three notable misconceptions about when, where
and how you plan to retire.
As the aging population continues to grow in Canada, the cautionary note from retirees is
that taking the time to plan can help ensure you minimize any gaps
between your expectations and the realities of retirement.
"We know that the majority of Canadians do not have a retirement
plan – and those who do are more prepared and confident," says
Rick Lowes, Vice-President,
Retirement Strategy, RBC. "A plan helps you understand all your
options so you don't have to make major trade-offs to enjoy the
retirement lifestyle you desire."
Retired Canadians called out three key misconceptions about
retirement:
- Thinking you'll know your retirement date well in
advance?
While more than half (55%) of pre-retirees aged 50+
expect to know their retirement date more than one year in advance,
this was true for only 39% of retirees aged 50+… and 16% had no
advance notice at all.
- Expecting to winter in warmer climates as a snowbird when
you retire?
Close to one-third (29%) of pre-retirees expect
to be snowbirds, but only 18% of retirees are actually flocking
south in the winter. Ranking higher for retirees: spending time
with family (51%) and friends (48%).
- Planning to return to work in retirement?
While half
(50%) of pre-retirees plan to work in retirement, only 11% of
retirees responded they actually had returned to full-time or
part-time work. The main reasons why pre-retirees say they plan to
go back to work: to stay active, mentally (64%) and physically
(48%); to stave off boredom (44%); and to generate income
(43%).
Lowes also stresses that it's never too late for Canadians in
their 50s and into their 60s to set up retirement plans and make
tax-smart decisions, to ensure they get the most out of their
savings and investments when they retire.
"Perhaps the biggest myth of all is the fear that you've missed
the chance to plan for your retirement," Lowes adds. "That's just
not the case. Canadians are redefining retirement and there is a
wide range of financial options to explore right up until the day
you stop working."
RBC RETIREMENT MYTHS & REALITIES POLL – Regional
Comparisons
RESPONSES
|
RETIREES
(REALITIES)
-----
PRE-RETIREES
(EXPECTATIONS)
|
CAN
|
BC
|
AB
|
SK/
MB
*
|
ON
|
QC
|
AC
*
|
Spending time in
retirement…
as
snowbirds
|
RETIREES
|
18%
|
19%
|
32%*
|
23%
|
17%
|
15%
|
10%
|
PRE-RETIREES
|
29%
|
23%
|
31%
|
39%
|
30%
|
28%
|
30%
|
Spending time in
retirement…
with family (other
than partner)
|
RETIREES
|
51%
|
45%
|
54%*
|
55%
|
48%
|
60%
|
50%
|
PRE-RETIREES
|
48%
|
51%
|
49%
|
49%
|
48%
|
47%
|
46%
|
Spending time in
retirement…
with
friends
|
RETIREES
|
48%
|
47%
|
40%*
|
48%
|
46%
|
50%
|
58%
|
PRE-RETIREES
|
44%
|
48%
|
40%
|
32%
|
48%
|
41%
|
42%
|
Retirement
date
known more
than
1 year in
advance
|
RETIREES
|
39%
|
40%
|
50%*
|
37%
|
38%
|
44%
|
29%
|
PRE-RETIREES
|
55%
|
50%
|
54%
|
56%
|
55%
|
60%
|
54%
|
No
advance
knowledge
of
retirement
date
|
RETIREES
|
16%
|
18%
|
15%*
|
17%
|
15%
|
16%
|
21%
|
PRE-RETIREES
|
9%
|
10%
|
11%
|
14%
|
7%
|
10%
|
7%
|
Yes, work in
retirement
|
RETIREES
|
11%
|
11%
|
10%*
|
18%
|
9%
|
11%
|
9%
|
PRE-RETIREES
|
50%
|
57%
|
53%
|
58%
|
50%
|
37%
|
55%
|
About the RBC Retirement Myths & Realities
Poll
These are the findings of the most recent biennial RBC
Retirement Myths and Realities Poll, conducted by Ipsos between
April 2 to 8, 2019. For the overall
survey, a sample of 2,000 Canadians aged 50+ was interviewed via
the Ipsos I-Say panel and non-panel sources. Quotas and weighting
were applied to ensure that the sample's composition reflects that
of the adult population according to Census data and to provide
results intended to approximate the sample universe. For this
release, the data referenced is among a sample of 1,800 aged 50+
who are retirees and pre-retirees with investable assets of
$100K or more. The credibility of
Ipsos online polls is measured using a credibility interval. In
this case the results are considered accurate to within ±2.6
percentage points, 19 times out of 20, for the full sample of
retired and pre-retired Canadians aged 50+ with investable assets
of $100K+.
About RBC Retirement Planning
Resources
The RBC Retirement Planning hub
can help you plan for the 30 years or more you may spend in
retirement. This website also includes links to financial
planners/investment & retirement planners who can help you
determine the retirement lifestyle you hope to live, the
sources of income you'll be able to draw from when you retire
and considerations to make before applying for your CPP/QPP.
Our financial advice is complemented by a free service unique to
RBC – MyAdvisor – where together clients and advisors
together can add goals, create a plan and view and adjust a
client's comprehensive financial picture. In addition, Boomerang
from RBC Ventures is a free social platform for Boomers looking to
explore, share, and connect with their community through
interactive skill-sharing experiences (currently available only in
Toronto).
About RBC
Royal Bank of Canada is a global financial institution with
a purpose-driven, principles-led approach to delivering leading
performance. Our success comes from the 85,000+ employees who bring
our vision, values and strategy to life so we can help our clients
thrive and communities prosper. As Canada's biggest bank, and one of the largest
in the world based on market capitalization, we have a diversified
business model with a focus on innovation and providing exceptional
experiences to 17 million clients in Canada, the U.S. and 34 other countries. Learn
more at rbc.com.
We are proud to support a broad range of community initiatives
through donations, community investments and employee volunteer
activities. See how at rbc.com/community-social-impact.
SOURCE RBC Royal Bank