Average savings for Canadians vary significantly by age and income, with many falling short of retirement goals. While some data suggests median savings are lower, average non-pension financial assets range from roughly $ 23 , 000 $ 2 3 , 0 0 0 to $ 40 , 000 $ 4 0 , 0 0 0 for working-age adults. Overall, average household savings in cash are reported near $ 272 , 000 $ 2 7 2 , 0 0 0 for retirees, but this is heavily influenced by high-income earners.
Here's what Canadians typically have in savings, not counting pensions or homes: Under 35: $27,425. 35 to 44: $23,743. 45 to 54: $39,831.
If you've got $10,000 saved, you're ahead of most Canadians. 👉 About 26% can't cover a $500 emergency, and only 15% have saved more than $10K. Savings = peace of mind. How's your emergency fund looking?
74% of Canadians with RRSPs have $100,000 or more in retirement savings. Less than half of Canadians with a high-interest savings account have surpassed $100,000 in savings.
The average amount is $2,127,411, and nearly one quarter (23%) have more than $2 million.
If the TLDR chart is true, then the only about 7-8% of the Canadian population has 500K or more.
In order to be considered wealthy in Canada, you should have a net worth of at least $1 million. That being said, a lot of Canadians who are considered wealthy live a relatively normal life. Most of their net worth is in their primary residence, investments, retirement packages, or even a mix of the three.
The "27.39 rule" (often rounded to $27.40) is a simple financial strategy to save $10,000 in one year by consistently setting aside $27.40 every single day, making it an achievable micro-saving habit to build wealth or an emergency fund. It turns the daunting goal of saving $10,000 into a manageable daily action, emphasizing consistency over large lump sums.
If you were to estimate what amount you should have saved for retirement based on the Canadian average, a single person should have $800,000, and a couple should have $1.6 million. This is based on the amount lasting you roughly 25 years at $32,000 annually.
The cutoff to be included in the top 1% of the total income distribution was $293,800 in 2023. Canadian tax filers in the top 0.1% of the distribution earned $930,100 or above, while those in the top 0.01% earned $3,487,600 or above. Canadians in most income groups saw their average income decrease in 2023.
About 29% of respondents have between $501 and $5,000 in their savings accounts, while the remaining 21% of Americans have $5,001 or more. Few hold much cash in their checking accounts as well. Of those surveyed, 60% report having $500 or less in their checking accounts, while only about 12% have $2,001 or more.
In late 2024, for example, during a parliamentary squabble over increasing Old Age Security (OAS) benefits for those aged 65 to 75, it was revealed that the median net worth of Canadians over 65 had risen to almost $550,000.
A good retirement nest egg aims to replace 80% of your pre-retirement income, often needing 10-12 times your final salary saved by age 67, but the exact amount varies widely based on lifestyle, desired retirement age, location, and expenses like healthcare. Key benchmarks include saving 1x salary by 30, 3x by 40, 6x by 50, 8x by 60, and 10x by 67, with a 15% savings rate of your income being a strong general goal.
Americans in their 60s have the most saved for retirement with average balances close to $1.2 million. Average account balances more than double between those in their 20s vs their 30s.
I tell young people all the time, by the time you hit 33 years old you should have at least $100,000 saved somewhere. Make that your goal. That's the age when it's really time to start getting FOCUSED on saving.
9 Signs of Wealth to Look Out For
Middle Class Net Worth (40-60%)
The middle class in Canada (40th-60th percentile) has a median net worth of $519,700 (2023) and an average of $509,198 (Q2 2024, Statistics Canada). This group enjoys financial stability but remains reliant on employment income.