Retirement Planning Thursday Jan 20, 2011

CBC featured a special report on The National "The Bottom Line: Are you ready for Retirement?" What was the message?

With personal debt on the rise and workplace pensions disappearing, Canadians are finding themselves unprepared for retirement. They reported, "Roughly 70% of the working population of Canada does not have a pension. The average Canadian needs income of about $50,000 per year in retirement. Most people would only cover the 1st year with what they had saved." This is a looming crisis in Canada.

What is our key take away?

The Canadian Auto Workers representative suggested the government should take care of it but I wouldn't hold your breath on that one. You will need to either get help from a financial planner or take matters into your own hands. The key take away is to start saving today, pay yourself 1st, make it a priority, make it automatic no matter what stage you are at in your working career. You need a plan that allows you to project your needs, track and measure your progress and adjust when needed. If you are not going to the CFA forecast dinner tonight, they will have a panel giving examples of how people are prepping for retirement and the attraction of small communities as retirement destinations.