Ontario residents most likely to work after they retire out of financial
One-third believe they will need to have between one and two million
dollars for retirement
TORONTO, Jan. 4 /CNW/ - Of those Ontarians who plan to retire,
seven-in-10 (70 per cent) plan to work during retirement, primarily to
remain mentally (72 per cent) and socially (59 per cent) active,
according to a recent Scotiabank study conducted by Harris/Decima
assessing Canadians' attitudes toward retirement and investing.
However, nearly half of Ontario residents (44 per cent) expect to work
after they officially retire out of financial necessity, more than the
rest of Canada at 34 per cent.
"It was a bit surprising to see that so many Ontario residents plan to
work out of financial necessity in their golden years," said Kelly
Damour, Investment Sales Coach, Toronto, Scotiabank. "At Scotiabank, we
want to help all Canadians invest for their future and with effective
planning many Ontarians who think they will have to work may not have
The study found that one-third (33 per cent) of Ontario residents think
they will need between one and two million dollars to fund their
retirement, while half (51 per cent) believe they will need less than a
million dollars. The remaining 16 per cent expect to need two million
dollars or more for their ideal retirement.
"Whether you feel you will need $500,000 or $1,000,000, it can be
overwhelming to think about needing such a large sum of money for
retirement," said Ms. Damour. "When determining how much you will
need, it's important to be realistic about how you plan to spend your
retirement years and how much it will cost. It's equally as important
to know how much you can currently afford to put away and what that
will mean for you down the road."
When it comes to how they plan to spend their retirement, Ontario
residents are slightly more likely than other Canadians to travel (91
per cent vs. the rest of Canada at 83 per cent). The majority of
Ontarians also plan to spend time with family and friends (72 per
cent), read (62 per cent) and exercise (62 per cent) in their
As for saving for retirement, 80 per cent of those expecting to retire
are currently putting money away for their future and they have been
doing so for an average of 15 years. Half of Canadians from Ontario (52
per cent) who plan to retire report saving less than $20,000 over the
past five years.
"We all know that it's important to invest for our future, but with so
many demands on our time and money it can be easy to put off saving for
a goal that often seems far away," commented Ms. Damour. "At
Scotiabank, we work with our customers to help make their long-term
goals more tangible so they can take action and let the saving begin."
Most Ontario residents expect the money for their retirement to come
from RRSP contributions and savings (82 per cent and 70 per cent
respectively), which is significantly more than those in Atlantic
Canada (64 per cent) and Quebec and in line with the rest of the
country. According to Ontarians, the rest of their retirement money
will come from the government (66 per cent), their work pension (53 per
cent) and inheritance (29 per cent). A few people from Ontario expect
to have their children take care of them in retirement (five per cent).
For more information about investing for your future, visit www.letthesavingbegin.com.
Let the Saving Begin is a Scotiabank program designed to inspire and
empower Canadians to get on track with their saving, investing and
Built on three simple principles, Let the Saving Begin encourages
Save automatically, because it works;
Invest for your future, because no one else will; and
Borrow to get ahead, not fall behind.
About the survey
A total of 324 completed surveys were collected from a random sample of
Harris/Decima's panel members from Ontario, of which 239 expect to
retire. The study was conducted from October 14th, 2010 to October
This was a standard panel survey among a random sample of
Harris/Decima's Canadian panel members. In a fashion similar to a
telephone study, email addresses from their panel were pulled at
random, according to population and gender specifications, in order to
make the study representative of the Canadian population by region and
gender. When contacted to solicit participation, participants had no
prior knowledge of the subject matter of the study. Harris/Decima
controls access to the study through passwords to ensure that
respondents can participate only once. Subsequent to completion of the
study, the data was weighted by region, age, and gender.
Scotiabank is one of North America's premier financial institutions and
Canada's most international bank. With more than 70,000 employees,
Scotiabank Group and its affiliates serve some 18.6 million customers
in more than 50 countries around the world. Scotiabank offers a broad
range of products and services including personal, commercial,
corporate and investment banking. With assets above $526 billion (as at
October 31, 2010), Scotiabank trades on the Toronto (BNS) and New York
Exchanges (BNS). For more information please visit www.scotiabank.com.
For further information:
Robyn Harper, Scotiabank Media Communications, 416-933-1093, email@example.com.