The rich need $2.3M to retire

By Staff | January 17, 2014 | Last updated on January 17, 2014
1 min read

Canadians with investable assets of $1 million or more say they need an average of $2.3 million to live out their ideal retirement lifestyle, shows a BMO Harris Private Banking survey.

That’s two and half times more than the $908,000 average that most Canadians, irrespective of income level, say they need.

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The majority of rich Canadians are upbeat about saving for retirement, with 95% saying they’re confident about their ability to achieve their ideal retirement lifestyle (versus 69% of Canadians overall).

The study also indicates 86% of wealthy Canadians are quite comfortable with their current savings and investment plans. Further, 70% expect stocks to generate the most solid returns over the next five years, well ahead of real estate (39%), bonds (24%) and cash (19%).

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By region

Region Average amount high-net worth Canadians feel they need for retirement Average amount Canadians as a whole feel they need for retirement % of high-net worth Canadians who feel confident about saving for retirement % of all Canadians who feel confident about saving for retirement
National $2,300,000 $908,000 95 69
Atlantic $2,100,000 $622,000 100 66
Quebec $2,400,000 $584,000 93 71
Ontario $2,200,000 $978,000 93 67
Man/Sask $2,100,000 $768,000 92 66
Alberta $2,400,000 $1,300,000 97 71
B.C. $2,200,000 $1,102,000 100 71

The survey was conducted online in spring 2013 with a sample of 305 Canadians with at least $1 million in investable assets.

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The staff of have been covering news for financial advisors since 1998.