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The financial woes of today’s seniors
By Riki Unrau
We all look forward to our Golden Years in the sense that it is supposed to bring about that financial freedom we have spent our working years dreaming of. Or at least that is what we have been told.
In a recent release from the Canada Revenue Agency the sobering truth is not so golden. Seniors made up 30% of all bankruptcies from 2013-2014. This is a rise of three per cent from the previous two-year period. They also tend to be saddled with more debt than younger Canadians.
Bankruptcy experts Hoyes, Michalos & Associates found that Canadians over 60 have an average of $69,031 in unsecured debt while the average for those under 60 is $56,545.
There are many reasons for this financial shift. The truth is that many parents today are helping out their kids and grandkids financially, something that was not done as frequently in the not so distant past. Another reason is that our consumer driven economy does not exclude anyone.
Once we hit our Golden Years we begin to want that luxury RV or dream vacation we have been planning since the kids moved out. Whatever the reason, seniors have become particularly vulnerable. This is a trend that needs to stop.
Sometimes the best thing that can help is some professional advice from someone who is qualified to offer it.
A trip to your local financial planner or mortgage broker can do wonders with how you manage your money and how you save for tomorrow. If consolidating your debt is something that might help then your mortgage broker will address that possibility with you as well.
There are many options available to people who are struggling to keep their heads above water. All too often we continue to suffer in silence hiding our financial issues from friends and family feeling it is too shameful a secret to share.
However, those who struggle with finances need to realize that they are not alone. The average Canadian spends $1.64 for every dollar we earn and this trend shows little to no signs of slowing down. It does not have to be this way. With a simple budget and annual financial plan anyone can see their situation turn around dramatically.
All one has to do is ask for help. That is the hardest part but it is a step that you will thank yourself for once you see how big of a difference it can make in your life.
– Riki Unrau is a Mortgage Broker with CENTUM Homeward Mortgage Group Ltd.
