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Retiring early hurts financial resiliency, Manulife survey shows

Written by on October 22, 2024

TORONTO — A Manulife report shows retiree experiences vary significantly based on when a person retired, and whether it was planned or earlier than expected.

The company’s financial resilience and longevity report shows while most people have a retirement age in mind, nearly half of them retired sooner than expected at an average age of 59.

The report notes that retiring early shortens the savings period and increases financial strain in retirement at a time when life expectancy is growing worldwide.

The survey shows almost one in four early retirees considers their debt a problem, while more than half of them wished they saved more and adjusted lifestyles before bowing out of jobs early.

Brett Marchand of Manulife Group Retirement says the survey highlights the power of preparedness and that it is critical for people to reach financial resiliency during their working years for a comfortable retired life.

The survey included 1,572 working Canadians with employer pension plans and 523 retirees and was conducted in May.

This report by The Canadian Press was first published Oct. 22, 2024.

Companies in this story: (TSX: MFC)

The Canadian Press