Toronto: 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.
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.”