Seventy per cent of Canadian Xennials – a micro generation of those aged 34-40 – say they feel overwhelmed due to juggling other financial obligations with saving for retirement, according to a survey by TD released Dec. 4.
These obligations include common expenses such as monthly bills (60 per cent of Xennials); paying off credit cards and personal loans (44 per cent); mortgage payments (33 per cent); childcare costs (24 per cent); home maintenance costs (22 per cent); and repaying school loans (13 per cent).
Would like to save more
Seventy-four per cent of the Xennials surveyed say they would like to contribute more to their retirement savings than they currently do, but everyday financial obligations take precedence.
"We can all have the best of intentions when it comes to preparing for retirement, but then life gets in the way and we start to feel the retirement savings squeeze," said Jennifer Diplock, Associate Vice President, Personal Savings and Investing, TD Canada Trust. "Monthly bills fall due or we are faced with a loan repayment, and that can mean we end up contributing less than we should towards our retirement.”