In the U.S., senior poverty is on the rise

Writing in USA Today, Medora Lee reports that senior poverty is on the rise south of the border.

“Based on the official measure, which is a simple calculation based on pre-tax cash income compared with a national threshold, the percentage of seniors in poverty rose to 9.9 per cent in 2024 from 9.7 per cent in 2023,” she writes.

The increase in senior poverty, she adds, “contrasts with every other age group, which saw declines or stayed steady.”

“Once again, more older Americans are sinking into poverty, just as 11,000 are turning 65 every day,” Ramsey Alwin, president and CEO of the National Council on Aging, a nonprofit focused on improving the lives of older adults, tells USA Today. “A country as rich as ours should be shocked that over 9.2 million of our fellow older Americans struggle to cover basic expenses like food and medicine.”

The article says that inflation, which has been higher since the pandemic, and “expensive caregiving costs” are factors driving senior poverty in the States.

“The increase in senior poverty reflects a broader caregiving crisis affecting older Americans,” states Jason Resendez, president and chief executive of the nonprofit National Alliance for Caregiving, in the USA Today article.  “Our latest research shows that nearly half of family caregivers − including 14 million who are seniors themselves − face significant financial strain from providing care, with many depleting savings and taking on debt.”

Extra financial assistance during the pandemic helped reduce the rate of senior poverty, but it has increased in the years since the support payments stopped coming, the article notes.

Worse, some programs that aided older Americans have recently seen funding cuts.

Alwin tells the newspaper that “recently enacted cuts to SNAP (food stamps) will increase hunger among older Americans and the recently passed Medicaid cuts will lead to a sicker older population.”

Possible solutions raised in the article include better awareness of existing support programs – “70 per cent of older Americans, or nine million, are eligible for support programs but not enrolled,” the article notes. As well, the article suggests that benefits from Social Security (the U.S. equivalent to the Canada Pension Plan and Old Age Security) “need to be bolstered,” as Social Security is America’s “largest anti-poverty program.”

Similar comments have been made about Canada’s support programs for seniors by Carole Fawcett of the Seniors Tin Cup movement. She told Save with SPP last fall that her group would like to see those programs provide annual benefits to low-income seniors in the $25,000 range. “They will be able to live a basic, simple life at that level of income,” she told us.

If there’s a takeaway from all this, it is that any amount you are able to save during your working career will help your future you. If you can join a retirement program though your work, be sure that you do. If not, the Saskatchewan Pension Plan may be just the ticket.

SPP is a voluntary defined contribution plan that’s open to any Canadian with available registered retirement savings plan room. You can decide how much to contribute to SPP each year – any amount up to your RRSP limit. As well, you can transfer in amounts from any other non-locked in RRSPs you may have.

SPP’s role in this process is on the investment side. SPP will grow your savings dollars in a low-cost, professionally managed pooled fund. When it’s time to retire, your income options include a lifetime monthly annuity payment, or the more flexible Variable Benefit.

Check out SPP today!

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Saving trends, strategies and other ideas as we sail into 2026

In this resolution-focused time of a new year, saving more is tops on the list for many of us.

But how do we eke out savings from our already-tight, post-holiday budgets? Save with SPP decided to take a look around to see how people are planning their saving strategies for 2026, focusing on new trends and ideas.

At MoneySense, there’s agreement that saving is difficult “with budgets tight and inflation driving the cost of groceries and everyday necessities higher.”

But the article suggests that making “small monthly changes can add up over the year.”

Certified financial planner Kelly Ho tells the publication that few people have a good handle on how much they make, and how much they spend. “It’s just a matter of really understanding how much money is coming in and how much is going out,” she tells MoneySense.

Once you have that nailed down, you can increase what’s left after the bills are paid through mini-cuts to your budget. Have a good look, Ho suggests, at what you are paying out in subscriptions for TV shows, music, and other services.

These invisible little costs — $10 here, $15 there – can add up to a hefty burden on the credit card, the article explains. If you cut a service – even just $10 a month – the savings can add up. “You multiply that by 12 months, multiply that over several years, plus, you know, potential investment growth. That’s a lot of money on the table,” Ho tells the magazine.

Another good idea in the article is being “intentional” about what you spend when you are on vacation. “Every single individual I’ve spoken to has underestimated the cost of travel,” she tells MoneySense. “I don’t know if many people actually keep track of what they’re spending when they’re there at their destination.” So, don’t stop budgeting just because you’re on vacation – establish a budget and stay within it.

From This Is Money in the U.K. come three more ideas.

There’s the 100-envelope challenge. You get 100 envelopes, the article explains, and number them from one to 100.

“Each week, savers pick out two envelopes at random and put the amount shown on the front into them. In 50 weeks, they would have saved £5,050 (or in Canada, that much in dollars),” the article explains – an amount that could “turbocharge” your savings.

Other 2026 trends include “no spend” and “no buy” challenges, the article continues.

“As part of the no-spend challenge, people will go through strict periods of not purchasing anything beyond absolute necessities or use up all the products or food they already own before replacing them as a way to save money,” the article tells us.

“There is a ‘no buy’ thread on social media platform Reddit where revenge savers share the savings they have made from limiting their spending,” the article continues.

“Revenge saving?” Let’s read on.

“It involves carefully tracking how much you are saving, as with normal budgeting activities,” the article notes. “But revenge saving goes a step further by deliberately not spending and taking part in savings challenges to build up a pot of savings.”

So, a savings plan enhanced by conscious non-spending challenges. Wow.

The Dallas Express, via Yahoo! Life, offers up some more strategic saving thoughts.

There’s the classic, sound idea of “automating savings transfers,” the “setting up… of automatic moves from chequing to savings right after payday – even as little as $10 or $20 per paycheque – helps `pay yourself first’ without relying on willpower.”

What about cutting back on food delivery?

Chicago certified financial planner Valerie Rivera tells the Express “after housing and childcare, the third-largest expense I often see is food delivery… Think about what would happen if you redirected $50 every month that was going to takeout and put it in a savings account.”

Final ideas from the Express including shopping more often at thrift stores, reducing electrical costs by such measures as switching to LED bulbs, and building an emergency fund.

We can add two more that worked for us. We had a variable mortgage. When interest rates went down for our second five-year term, we kept paying what we had paid before at the higher interest rate. We didn’t feel any pain but were paying the mortgage off more quickly.

Another tip, which we picked up from doing this blog, was the idea of simply taking a set percentage of your take-home pay off the top of every paycheque and putting it into savings. We started small, at three per cent, and increased the amount when we could. Then you live on the 97 per cent. It has worked.

If you are saving for retirement via the Saskatchewan Pension Plan, the idea of paying your future self first can easily be arranged. SPP permits pre-authorized contributions from bank accounts or even credit cards.

That way, you are directing savings dollars in a “set it and forget it” way to SPP, who will then grow those savings by investing them in our low-cost, professionally managed pooled fund. At retirement, you can collect a lifetime monthly income via an SPP annuity, or opt for the more flexible Variable Benefit.

Check out SPP today!

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Does anyone hit the $1 million mark in retirement savings?

We all know the answer to the question “who wants to be a millionaire,” but a recent post from The Motley Fool by James Brumley takes a look at the question of how many of us actually reach that savings goal.

“Plenty of people still contend that a $1 million retirement nest egg is more than just a milestone. It’s often arbitrarily seen as the dividing line between a comfortable retirement and a worrisome one, in fact,” he begins.

But, he asks, “how many people are actually saving $1 million (or more) for retirement? The answer: Not as many as you think.”

While there are more millionaires in the U.S. than at any point in the past, most people’s “net worth isn’t a seven-figure sum. And fewer still are sitting on a retirement nest egg worth $1 million or more in cash or in highly liquid assets like stocks, bonds and mutual funds,” he continues.

Figures, he points out, back this up. Data from 2022 from the U.S. Federal Reserve found that 4.6 per cent of the 131.2 million U.S. households “held retirement accounts collectively worth $1 million or more.”

He notes that Bureau of Labor Statistics figures suggest that the typical U.S. household populated by people aged 65 or older consists of 1.7 people – so we are probably talking about an older couple when we speak of seven-figure retirement nest eggs.

Brumley also cites data from Fidelity, a large U.S. asset manager, that found of the 24.8 million retirement plans it serves, “654,000 of them owned… accounts worth at least $1 million.”

That fact is tempered by this one, he continues.

“Only about six out of every 10 of the 305 million adults living in the U.S. has any type of retirement account, (which) suggests there are just under five million retirees with million-dollar retirement accounts,” he notes, this time citing research from the Gallup organization.

Brumley’s takeaway from all this?

“Take the number with at least a small grain of salt. It’s interesting to be sure, and perhaps even a little bit discouraging in that so few retirees are reaching what seems to be a minimum savings target. (In its most recent survey on the matter, insurer Northwestern Mutual found that — on average — Americans think they’ll need $1.26 million in savings to retire comfortably, even though most of them seem to know they’re not likely to hit that mark),” he writes.

“You don’t necessarily need a seven-figure nest egg to secure a nice retirement. You can be OK with less,” he writes, adding that anything you save will provide income on top of what you receive from government and other programs (in Canada, this would be the Canada Pension Plan, Old Age Security, and any retirement program you might have through employment.)

If, he writes, your employer offers any kind of retirement program, be sure to take part – there can often be an employer match that will increase the amount being directed to your savings pot.

If there’s no such program at work, “doing something on your own is better than doing nothing at all… even if it seems like you’re doing so little that it doesn’t even matter. Most of the few million-dollar retirement accounts in question were built from surprisingly meagre starts.”

This is where the Saskatchewan Pension Plan can be of assistance. It’s open to any Canadian who has available registered retirement savings plan room.

You decide how much to contribute to your retirement nestegg each year, and you can transfer in any amount from other non-locked in RRSPs you may have. Every dollar received by SPP is invested in our low-cost, professionally managed pooled fund.

At retirement, your options include converting some or all of your savings to a monthly lifetime annuity payment or opting for the more flexible Variable Benefit.

Check out SPP today!

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Making the transition to retirement easier – My Retirement, My Way

We certainly wish we had had a copy of My Retirement, My Way, by Veronica McCain, when we retired from full-time work back in 2014.

It’s difficult to explain clearly what retirement is like, or is going to be like, to those still working, but McCain does it in a friendly, informative way equipped with plenty of worksheets, lists, and anecdotes.

“Retirement is one of the biggest transitions in life,” she begins. “I recall counting down the days to my own retirement and how excited I was to cross out each day on my calendar.”

“When I closed my office door for the final time, a flood of emotions came over me. This was the end of this chapter in my life. My work, which was a significant part of my daily life for 32 years, was no more.”

And while work, perhaps getting married and having kids, provided a “life road map” to follow, “when you retire, the way ahead may not be as clear…. Retirement is when you make life happen. The road is wide open, and you can take any direction.”

An early chapter suggests that the newly retired look for activities they enjoyed when they took time off work. “Journal and reflect on your expectations of yourself as a retired person,” the book advises. Follow your interests through books, articles, and podcasts, and consider becoming “a volunteer for different organizations to discover how you most enjoy helping out.”

Worksheets and quizzes help you figure out your “retirement outlook” and readiness, another helps you look back at what benefits your career provided.

McCain notes that the notion of success, “often defined by one’s position, salary, expertise, and knowledge” in the time before retirement, will change. “Now that you are retired, your job will no longer determine how successful you are.” Instead, you should think of success “as a journey that evolves over time.” A series of thoughtful exercises and worksheets then follow to help you envision success in life after work.

A later chapter reminds the reader that once one is retired, many will think you now have the free time to help them out. Learn, she advises, to say “no… (if) these requests are getting in the way of what you want to accomplish.”

A helpful pros/cons chart lets you refine whether incoming requests get a yes or a polite no.

When looking at finances in retirement, McCain observes that “until now, your primary focus has likely been growing your retirement nest egg.” Now, she continues, you shift from “accumulation to distribution.”

“Your retirement savings need to outlast you,” she explains. She provides a few tips to stretch your retirement dollars – looking for deals on travelling, and travelling in the off-season: going to one vehicle, tweaking life insurance, and focusing on your health to avoid medical expenses.

There’s a look at whether your present home will work for you once you age – and checklists to help see if a move would be a good or bad thing. Another chapter looks at the importance of keeping old friends while meeting new ones.

There are support information and worksheets on what to do if you have “boomerang” children who move home just as your retirement is getting going.

We read an awful lot of books about retirement – this one is one of the better ones. Many different scenarios are discussed in a thoughtful way, and for sure this book would take the fear many feel about retirement out of the equation.

“There is no one-size-fits all approach to a happy retirement. It is what you make it. You have worked hard to develop a plan to help guide you; now execute it and have some fun. Don’t hold back! Now is the time to go full throttle ahead.”

These days, many of us are having to save on their own for retirement.

If you are in this situation, a great saving partner can be found via the Saskatchewan Pension Plan. You provide the money – you decide how much – and SPP does the rest, investing your savings in a low-cost, professionally managed, pooled fund.

At retirement, your options include a lifetime monthly annuity payment or the more flexible Variable Benefit.

Check out SPP today!

Join the Wealthcare Revolution – follow SPP on Facebook!

Canadians expect to work part time in retirement, and to retire later than planned

In 1999, the CEO of the pension plan we used to work for announced he was about to climb “over the wall” and enjoy retirement – he planned to say he never worked a day in the 21^st century, and expected to roam the continent in his RV.

That was then, of course. An article in Wealth Professional by Steve Randall finds that there is pessimism these days about “full” retirement – life after work with, well, no work.

“Many savers, particularly in Canada, (are) anticipating a longer working life as uncertainty weighs on confidence,” his article begins. A survey, he continues, by T. Rowe Price finds “that roughly one-third of respondents expect to work at least part time during retirement. The findings reflect growing concern about inflation, market volatility and the ability to maintain living standards later in life.”

This survey, he adds, involved 7,000 workers in “Canada, the United States, the United Kingdom, Australia and Japan.”

Canada, Randall writes, showed some of the most pessimism.

“More than half said they expect a recession within the next year, a level of concern second only to Japan. That outlook appears to be shaping retirement expectations, as fewer Canadians expressed confidence about their long-term financial security,” he continues.

As well, Randall notes, “only about 31 per cent of savers believe they will be able to live as well or better in retirement than they do today. While fewer than one in five expect to completely run out of money in retirement, many acknowledged they would struggle to handle a major financial shock.”

The survey, he adds, found that “two-thirds of those aged 50 and over (expect) to retire after age 65. Younger workers, while more optimistic, still report uncertainty about whether traditional retirement timelines are realistic.”

The article suggests that seeking professional retirement planning advice is a wise move.

“The survey also points to the continued importance of professional advice. Despite the rise of digital planning tools, many respondents said they rely most on human financial advisors and workplace retirement resources to help navigate increasingly complex decisions.” Randall writes.

The article concludes by quoting Jessica Sclafani of T. Rowe Price as saying “research is at the heart of everything we do,” and that “longer life spans, financial uncertainty, and shifting expectations are redefining retirement—transforming it from a fixed destination to an evolving journey that demands new thinking from both savers and the industry.”

Running out of savings in retirement is a concern. One way to avoid that outcome is to put some or all of your retirement loonies into an annuity.

The Saskatchewan Pension Plan offers its members a family of annuity products to consider when the time comes to turn savings into income. SPP’s Retirement Guide outlines details on all annuity options – but the quality they all share is that they provide you with a monthly payment for life. Some of the options also provide benefits to a spouse or beneficiary when you pass away.

Check out SPP today – the made-in-Saskatchewan retirement savings program open to any Canadian with registered retirement savings plan room.

Join the Wealthcare Revolution – follow SPP on Facebook!

Is cooking from scratch – a way to save on food costs – making a comeback?

Long ago when we were youngsters in school, mom made us breakfast, lunch, and dinner. In those days – long before the arrival of frozen dinners and the microwave – this mostly involved cooking things from scratch.

In an era where you can have meals delivered to your door, where there are restaurants and fast-food outlets around every corner, and where there are frozen meals you can just nuke, you would think that cooking from scratch is a long-forgotten art.

But for an unusual reason – the high cost of groceries and dining out – it appears cooking from scratch is making a comeback. Save with SPP examined this trend by doing a little reading.

A Globe and Mail article from last year tells the story of Cyndy Nelly-Spence, who cuts costs in retirement by making her own yogurt from scratch, saves all her bones to make soup stock, and more.

She and her husband “also batch-cook four to six weeks’ worth of homemade cereal with oatmeal and quinoa, and cook 12 servings worth of stew or chili at a time, all of which they store in glass containers in their pantry or one of two large freezers they keep in their basement,” the Globe reports.

Making things from scratch, the article continues, ensures the couple is avoiding “ultra processed foods, which have been linked to an increased risk of chronic diseases including obesity, heart disease, Type 2 diabetes, fatty liver disease and colon cancer,” the article notes.

The Kuzina Messer Culinaire blog looks at the benefits of cooking at home versus eating out, ordering in, or buying “ready-made or boxed meals.”

“There’s something deeply rewarding about cooking from scratch. Not only does it offer countless health benefits, but it can also save money, improve your cooking skills, and bring people together in ways that pre-packaged food simply can’t,” the blog suggests.

In addition to providing you control over things you may want to avoid in your food – sugar, salt and fat – home cooking can save you money, the blog continues.

“While cooking from scratch may seem like it takes more time, it can actually save you money in the long run. Pre-packaged meals, takeout, and even some convenience foods can add up quickly, whereas buying raw ingredients in bulk and cooking at home is often much more economical,” the blog reports.

Advantages of preparing food from home include saving on food by buying in bulk, reduced food waste, and improved cooking skills, the blog notes.

The Art of Growing blog also talks of the benefits of cooking at home, from scratch.

“My biggest reasons for making homemade meals over convenience foods? Health, taste, cost, and enjoyment,” the blog begins.

“Using whole ingredients supports a healthy diet, reduces the risk of food allergies, and makes it easier to maintain nourishing, homemade meals. Even a slow cooker/instant pot recipe can be loaded with fresh ingredients and pantry staples, making a simple meal both convenient and wholesome,” the blog continues.

“Cooking from scratch gives me control. I know exactly what’s going into my meals — no hidden sugars, additives, or unpronounceable `flavour enhancers.’ I can choose organic produce, swap sugar for honey, or use the veggies growing just outside my kitchen door. It’s empowering to know I’m feeding my family food that’s both nutrient-dense and honest,” the blog’s author adds.

“Homemaking is an ongoing education — and I love that. Scratch meals are like little lessons in patience and creativity that pay off in so many ways. Over time, you develop basic cooking skills that make everything else easier — from simple meals to more complex homemade recipes like yogurt or ferments,” the blog concludes.

Many of us – lacking, perhaps, any type of retirement savings program to sign up for at work – are left figuring out how to save for retirement from “scratch.”

It can be daunting if you aren’t familiar with investing, the various types of savings vehicles, risk, volatility, and more. But don’t worry – there’s help for do-it-yourself savers.

The Saskatchewan Pension Plan is a retirement savings partner available to any Canadian with registered retirement savings plan room. Once you’ve opened your SPP account, you decide how much you want to contribute annually – any amount up to your RRSP limit. As well, you can transfer in any amount from other RRSPs you may have to consolidate your savings nest egg.

SPP does the heavy lifting – we invest your hard-saved dollars in a low-cost, professionally managed pooled fund. When it’s time to leave work behind, SPP income options include the security of a lifetime monthly annuity payment, or the more flexible Variable Benefit.

Check out SPP today!

Join the Wealthcare Revolution – follow SPP on Facebook!

Are you on track for retirement savings – or do you need a “catch-up” strategy?

If you’re saving up to buy a new car, or to make a down payment, you have a clear idea of how much is enough to save.

It’s not so easy, however, reports Money Canada, when figuring out what your retirement savings target is. Are you on track, the publication asks, or do you need a catch-up strategy?

These days, the article begins, most Canadians believe the “magic number” for retirement savings is “$1.54 million, according to a 2025 Bank of Montreal survey.”

However, the article explains, “this number tells you nothing about how your personal finances compare to your peers and whether you’re likely to feel comfortable and confident in retirement.”

Instead, the article tells us, there are seven ways you can figure out if your savings efforts are on track.

Do you “have enough money to cover monthly needs,” the article asks. “While you can’t anticipate all your monthly expenses, you will need at least enough guaranteed retirement income — including pensions, personal savings, Old Age Security (OAS) and the Canada Pension Plan (CPP) — to pay for food, shelter and utilities,” Money Canada explains.

According to Statistics Canada, this amount – as of 2023 – was $6,541 per month for a senior couple over 65, the article adds. “So, if your guaranteed retirement income delivers over $6,500 a month at least, you’re outperforming most other retirees,” the article notes.

A second factor is whether or not you have “high interest debt,” Money Canada reports. A whopping 37 per cent of senior families, again according to Statistics Canada, “are carrying debt with them in retirement,” the article explains, and 29 per cent of those planning to retire this year still have a mortgage.

So debt, the article concludes, is an impediment for retirement savers and a burden for those who are retired.

If you have “multiple sources of income beyond CPP/OAS,” such as “dividends, income from rental properties, or pensions,” you will be in a much better financial position than those who do not, and must rely solely on government benefits, the article tells us.

Other ways to get ahead – living below your means, continuing to save and invest, having an estate plan, and having a clear retirement plan, the article advises.

“According to a 2025 survey from the Healthcare of Ontario Pension Plan, 49 per cent of Canadians were unable to set aside any money the previous year for retirement. If you’ve been actively saving and investing…  and started at a younger age, you may be doing better than many other Canadians,” the article points out.

The article concludes by saying addressing all these factors – from knowing what you expect to spend in retirement, to having a plan for retirement savings in the here and now – will help you get ahead in the savings race.

“It’s never too late to start making minor adjustments for a better retirement,” the article concludes.

A willing ally in any drive to have more retirement income than just government benefits is the Saskatchewan Pension Plan, a savings system that is open to any Canadian with registered retirement savings plan room.

Did you know that SPP offers a Wealth Calculator (Wealth Calculator | Saskatchewan Pension Plan) to help its members figure out how much their account will be worth by the time they reach key retirement milestones? It’s a handy resource and retirement planning tool.

Check out SPP today – the made-in-Saskatchewan retirement savings solution for all Canadians.

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