Freedom 55 is actually Freedom 64.5

If you're old enough to remember the Freedom 55 ads in North America, you might recall they encouraged people to buy life insurance so they could retire at age 55. A new poll by the Canadian Imperial Bank of Commerce poll that found that 61 is now the average age Canadians hope to retire. 

Believe it or not, the Canadian government's stats show that from 2001 to 2021, the average age of retirement was 64.5 years old. I found it interesting that more than half of the non-retirees polled have doubts they will achieve that goal. 41 percent feel confident they are saving enough.

With inflation still running hot and interest rates the highest since 2007, Canadians, whether they are nearing retirement, are worried about their finances.

The poll found that 57 percent of Canadians are shifting their focus from planning for the future to meeting their current needs. More than a third of these said they have delayed their retirement plans because of economic conditions.

Another recent poll by Scotiabank found Canadians are worrying about their finances for about five hours more a week than last year. The average time spent worrying is 15 hours a week, up from 10 last year, or about 31 days a year, the same time you might spend on a part-time job.

We continue to feel the impact of higher prices on our wallets, and this is leading to more time spent worrying. For most of us, our income has not kept pace with the rising costs of what we buy, with groceries and gas continuing to be the biggest drivers of strain for us.

The biggest financial worries for Canadians are paying for day-to-day expenses, paying off debt, and saving for emergencies. One in four Canadians is losing sleep over their finances, and Albertans are reportedly the most stressed while people in Quebec are the least stressed.

It's not just those nearing retirement who are anxious about their finances, as a recent RBC poll found that confidence levels in young adults aged 18 to 34 have plunged. Only 18% of respondents said they were confident about their financial futures, compared to 31% last year. More than half of them said they were not prepared for the impact of rising costs, with the top reason being that they had never experienced high inflation before.  The rate of inflation has not been this high since the 1980s and I remember having a mortgage rate of18%.

Despite these challenges, it's important to remember that we are in it for the long run, as we have overcome tough financial situations in the past and can do so again.