Tag Archives: Benefits Canada

JUL 6: BEST FROM THE BLOGOSPHERE

New research from the World Economic Forum, reported by Corporate Advisor, suggests the “savings gap” between what we should set aside for retirement, and what we actually have, is on track for monumental growth.

“Globally, experts are concerned many people could be sleepwalking into retirement poverty. The World Economic Forum (WEF) highlighted that the gap between what people save and what is needed for an adequate standard of living in retirement will create a financial black hole for younger generations,” the Advisor’s Emma Simon reports.

The WEF looked at the some of the world’s largest pension markets, including Canada, the U.K., Australia, the U.S., the Netherlands, China, India and Japan, and concluded “the gap” could reach a staggering $400 trillion U.S. in 30 years.

But, the article says, there is still time to do something to avert a crisis.

“With ageing populations putting increasing pressure on global pension and retirement plans, employees, employers and governments need to take more responsibility and act to prioritise pensions and savings,” Simon explains.

Countries around the world have done some interesting things to boost retirement savings.

In the U.K., the article notes, “automatic enrolment” was rolled out in 2012. This means that new employees are automatically signed up for their workplace pension plan, with an option to opt out. Thanks to this, there are 10 million more pension plan members in the U.K., although there are concerns about 9.3 million who aren’t in plans because they were too old for auto-enrolment, the article explains.

In Australia, the Superannuation fund system was made mandatory “in 1992 for all employees older than 17 and younger than 70 earning more than $450 (AUD) a month.” So this means everyone is saving on their own – but with the current maximum contribution of 9.5 per cent (soon to rise to 12 per cent), there are questions as to whether they are saving enough.

A Benefits Canada article from a couple of years ago raised the same question – are Canadians saving enough for retirement on their own? While Canadians had accumulated an impressive-sounding $40.4 billion in RRSPs as of 2016, the article notes that the median contribution annually was just $3,000.

As of 2018, reports the Boomer & Echo blog, the average Canadian RRSP was an impressive sounding $101,155. But if someone handed you $100 grand and then said “live off this for 30 years in retirement,” it wouldn’t sound quite so great.

There’s no question that saving needs to be encourage in Canada and around the world. The Canada Pension Plan and Old Age Security both provide a pretty modest benefit, and most of us don’t have a workplace pension. So steps should be taken to encourage more access to pensions, to look at increases to government benefits, and to encourage more saving.

If you don’t have a workplace pension plan, the Saskatchewan Pension Plan may be just what you’re looking for. The SPP is a defined contribution plan. You can contribute up to $6,300 a year, and your contributions are carefully invested at a very low fee. When the day comes that work is no longer a priority, the money you’ve accumulated through growth and ongoing contributions can be converted to a lifetime pension. Check them out today.

Written by Martin Biefer

Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing and classic rock. He and his wife live with their Shelties, Duncan and Phoebe, and cat, Toobins. You can follow him on Twitter – his handle is @AveryKerr22

JUN 15: BEST FROM THE BLOGOSPHERE

60 per cent of pension plan members report barriers to retirement saving

New research from Benefits Canada magazine shows that even folks who are in retirement plans say they’re finding barriers to saving – all thanks to the impacts from the pandemic.

The magazine’s annual CAP (capital accumulation plan) Member Survey was carried during the start of the crisis, from March 30 to April 1.

A capital accumulation plan is any type of savings vehicle where members put in money – sometimes matched by the employer – over their working lives. At the end of work, the total amount saved for retirement is then either paid out to them via an annuity, drawn down from a special locked-in RRIF, or a combination of both.

The folks at Benefits Canada asked people in these types of plans how the pandemic was affecting their spending and saving habits.

The research found that Canadians “are continuing to juggle their financial priorities. More than half (54 per cent) of CAP members are prioritizing day-to-day expenses, followed by paying the mortgage or rent (47 per cent), paying off personal debt (38 per cent), enhancing personal savings (34 per cent) and saving for retirement (28 per cent),” the magazine reports.

A fairly low number of respondents – 41 per cent – “described their current financial situation as excellent or very good,” the magazine notes. A further 40 per cent said their finances were “adequate,” but 19 per cent said things were “somewhat poor or very poor.” A whopping 60 per cent said “they’re unable to save as much as they’d like for retirement due to other financial debts, such as credit cards or student loans,” Benefits Canada reports.

Debt is definitely a barrier to saving, the magazine reports. “I think the big thing we need to start to get across to workers, savers, Canadians . . . is that having too much credit card debt is the opposite side of insufficient retirement savings,” Joe Nunes, executive chairman of Actuarial Solutions Inc., states in the article. “It comes from too much spending. We have to get better at educating people that they need to keep the spending in check to get the savings in order.”

The problem, however, is that the pandemic is making Canadian household debt even worse.

“You don’t need to be a psychic to predict that over the next weeks and months, the country will see an increase in personal bankruptcies, while household debt is going to soar,” reports Maclean’s magazine. “Well before COVID-19, there was growing concern over the country’s personal finances, with debt-to-income ratios topping 176 per cent in the third quarter of 2019, which means for that every dollar of income we earn we owe $1.76.”

With so many people off work and receiving CERB benefits, which may equal only about half of what they were making at work, credit cards and lines of credit will feel the strain, the magazine predicts.

Let’s face it – at a time when just staying healthy and avoiding COVID-19 is the new national priority, followed by keeping a roof overhead and food in the fridge, retirement saving is going to get bumped to the bottom of most people’s to-do lists.

But remember that with some capital accumulation plans, like your RRSP or your Saskatchewan Pension Plan account, you can reduce your contributions and put in what you can. If you can’t chip in what you did last year, put in less. Any contribution, however small today, will benefit you in the future, thanks to the professional investment growth it will receive over the years. You can ramp things up again when better times return.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Apr 27: Best from the blogosphere

The pros and cons of allowing emergency access to retirement funds

It’s been a grim time for all of us, coping with this pandemic, and Save with SPP and everyone at the Saskatchewan Pension Plan hopes everyone is staying safe.

With businesses closing, and the jobless rate rising, some experts are suggesting that raiding the retirement cookie jar be allowed – penalty-free – to help people access savings during the emergency.

Interviewed by Benefits Canada, noted pension expert and actuary Malcolm Hamilton was asked what he thought about a plan by Australia to allow folks there to withdraw up to $10,000 a year from their superannuation plans this year and next.

““It looks to me very creative and very sensible,” Hamilton, also a senior fellow at the C.D. Howe Institute, told the magazine. The magazine notes that the withdrawal option Down Under is open only to people “who are unemployed or who have had their working hours reduced by 20 per cent or more.”

“Telling people you’ve got to leave your money in your pension plan so you have enough money later, when you don’t have enough money now, is really stupid… who, given a choice, would elect to be hungry now instead of hungry later? You have to deal with the immediate needs first,” Hamilton tells Benefits Canada.

Other experts, the magazine reports, agree. Financial author Fred Vettese also sees the Australian policy as a good idea.

“Why not do this? What they’re doing is simply giving people access to their own money sooner. I don’t see anything wrong than that. And they’re not giving them all their money; it’s fairly limited and it’s also under fairly strict conditions,” he tells the magazine.

Other experts see downsides to allowing an early withdrawal of retirement savings.

Bonnie-Jeanne MacDonald of Ryerson University’s National Institute on Ageing tells the magazine she is concerned that allowing emergency access to retirement funds might be “short-sighted.” (Here’s a link to an earlier Save with SPP interview with her.)

“The idea is that this will pass and, if we can get beyond it without tapping into our nest egg, then that’s the better approach because life will need to go on,” she tells the magazine.

And Hugh O’Reilly, a senior fellow at the C.D. Howe Institute, says people who take their money out now, at the peak of a crisis, will be effectively selling low, and will miss out when markets rebound. “I think it’s going to do it much more rapidly than in a typical bear-market scenario,” he tells Benefits Canada.

There are already a few allowable reasons – making a down payment for a home, or paying for education – where Canadians can tap into their Registered Retirement Savings Plans (RRSPs) early. But in both cases, the money is supposed to be repaid, and those who don’t repay are taxed annually on what they should have repaid. And if you just withdraw RRSP money, there’s a withholding tax followed by a possible second tax hit when you file your income tax.

That all said, we have never seen times like these. Maybe the government will decide to permit withdrawals with some sort of repayment option down the road. Save with SPP worries about people taking money out of their retirement savings for other purposes and then not being able to afford to replace it, because that could lead to hardship when they are older.

One great thing about being a member of the Saskatchewan Pension Plan is that it is an open plan. You can decide how much to put into your account, and when times are tough, you can choose to reduce or even stop contributing until better times return.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Mar 30: Best from the blogosphere

Is Freedom 55 changing to Freedom 70?

Younger people are, for the most part, saving away merrily for retirement. But new research from Mercer, reported on by Benefits Canada, suggests the younger set may be going about things too conservatively.

That, in turn, could force them to keep working until age 70, the article explains.

Why?

“The report found millennials often opt to invest conservatively in low-risk, short-term investments such as money market funds. Using this strategy means many younger workers may not be able to retire until they’re 70,” the magazine reports.

(Save with SPP will remark that at the time of writing, with stock markets making thousand-point daily swings, “low-risk” investments are sounding pretty good.)

However, Benefits Canada reminds us, it’s not short-term results that matter with retirement savings – it’s a long haul from being a perky young person to a grey-haired gold watch recipient. Your rate of return over the long-term, not the short-term, is what really matters.

A more balanced approach, the magazine reports – citing the Mercer findings – such as “a healthy mix of equities and bonds” could allow our millennial friends to log off for the last time as early as age 67.

Equities carry risk, the article notes, but millennials need to aim for a long-term rate of return of six per cent or better to reach retirement savings targets. “A savings rate that’s any lower than six per cent total annual combined employer and employee contributions means retirement may not be possible at all,” Benefits Canada warns.

Other retirement-limiting factors for millennials include debt, paying off student loans, and entering the expensive housing market,” the magazine notes. “Those factors make age 65 retirement very unlikely for most millennials.

It’s a similar story for the slightly older Gen X group, the article reports. Those age 45 should be trying to ensure that they contribute 17 per cent of their gross earnings (this includes their own contributions plus any employer match) towards retirement savings, the article adds.

Even boomers, who generally had better access to workplace pension plans, are going to find it hard to leave work by age 65, Benefits Canada tells us. “One factor delaying retirement age for boomers is the shift from DB to defined contribution plans, requiring a mindset shift many aren’t making, said the report. Also, employers offering less conservative investment vehicles, such as target-date funds, didn’t become commonplace until 2010, which likely proved too late for some boomers,” the article explains.

Do you see the common thread here? Those who save early in a balanced savings vehicle have a better chance of hitting their retirement goals. Those starting in their 40s need to chip in much more, and once you are 60 plus you better hope you have a pension plan at work, because your savings runway is running out of pavement.

It sounds daunting, for sure. But if you are looking for a balanced approach to saving for retirement, the Saskatchewan Pension Plan offers the Balanced Fund, which has averaged an impressive eight per cent rate of return since its inception in the 1980s. With SPP, you decide how much to contribute – you can start small when you’re young, and ramp it up as you get older. Fees are low, and the level of expertise by SPP’s investors high. Be sure to check out SPP today.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Feb 3: Best from the blogosphere

Many plan post-retirement work, but few actually do: RBC survey

You’re forever hearing folks who haven’t done a lot on the retirement savings front say that their retirement plan is to just keep working.

However, a recent Benefits Canada article, citing new research from RBC, brings up some interesting findings that may throw a bit of water on those “keep working” plans.

The survey asked a group of pre-retirees if they planned to keep working, either full or part-time, after they retired. Half of those surveyed said yes, they’d keep at it.

But when actual retirees were asked if they were still working, only 11 per cent “reported they actually had returned to full or part-time work,” the magazine advises us.

The pre-retirees had many reasons for planning to work after retirement, the article notes, including “staying active mentally (68 per cent) and physically (48 per cent), staving off boredom (44 per cent) and generating income (43 per cent).”

Part of the reason why people aren’t working in retirement, the article notes, may lie in the fact that retirement is not always as “planned” as people expect. More than half of the pre-retiree group (55 per cent) say they “expect to know their retirement date a year or more in advance.” But of the retirees, only 39 per cent said they knew their retirement date well in advance, with 16 per cent “reporting they had no advance notice at all.”

“We know that the majority of Canadians do not have a retirement plan, and those who do are more prepared and confident,” states RBC’s Rick Lowes in the Benefits Canada article. “A plan helps you understand all your options so you don’t have to make major trade-offs to enjoy the retirement lifestyle you desire.”

Findings in the UK, reported on by the Daily Express, reached a similar conclusion. There, “nearly two-thirds of people who retired earlier than expected said they were forced to stop working rather than choosing to leave due to no longer needing the income,” the newspaper reports.

The chief reason they stopped working early related to health or physical problems (40 per cent), followed by being “made redundant” or losing their job (18 per cent), followed by eight per cent who left work to care for a family member, the story informs us.

In the UK study, the Daily Express notes, less than one in five people (17 per cent) had sufficient savings to be able to retire earlier than they expected.

There seems to be a sort of sunny view of retirement from pre-retirees that is tempered by the experiences of actual retirees. The idea that one can pick a retirement date a year or more out, and then keep working away afterwards, seems to be challenged by the findings of research.

The majority of retirees didn’t pick a date, with some not having a choice at all. Health, losing a job, caring for a loved one all play a part in determining whether or not we can keep at it on the job front. Only 17 per cent said they had enough savings to be able to pick their own day, thanks to personal retirement piggy banks and/or pensions at work.

Most of us don’t have a pension plan at work. Saskatchewan Pension Plan, a do-it-yourself DC pension plan that handles the heavy lifting of investment and generating a lifetime pension for you. Join the 33,000 SPP members who have watched the plan generate returns of 8 per cent annually since the plan’s inception in 1986.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Jan 27: Best from the blogosphere

US looks at making retirement plans easier for small businesses to offer

Up here in Canada, workplace pension plans are becoming scarce, especially for small, private sector employers.

It’s the same story in the USA – however, a report in Benefits Canada suggests that our friends south of the line are getting encouragement from their government to roll out more retirement programs for small business employees.

The article reports that “the Setting Every Community Up for Retirement Enhancement Act, known as the SECURE Act, won final congressional approval” late last year, and has been signed into law by President Donald Trump.

One of the more interesting angles of this legislation, the magazine notes, is that it will make it easier for “small businesses to band together to offer 401(k) and other retirement plans. The option, called multiple-employer plans, lower the costs of administering a plan.”

A 401(k) is a defined contribution-like product that is similar to an RRSP. Unlike an RRSP, the 401(k) can have an employer match. So instead of each small business having to face the cost of setting up and administering its own 401(k), this new legislation would allow them to join together with other small companies to form a multi-employer plan – a plan for multiple businesses. This would greatly lower administration costs, the article notes.

As well, the old $500 credit US businesses got for starting a retirement plan has increased ten-fold to $5,000, the article reports.

It’s hoped, the article concludes, that this new legislation will increase access by companies with less than 50 employees to retirement benefits – right now, only half of them have any kind of retirement program through work.

The 401(k) program got a boost recently from Alan Greenspan, former head of the US Federal Reserve, although it was a bit of a backhanded compliment.

In a recent interview broadcast on BNN Bloomberg, Greenspan suggested that the American equivalent to the Canada Pension Plan, Social Security, be changed from its current defined benefit mode to a 401(k) like defined contribution model.

“The source of the problem is that we have a defined-benefit program for social security…  what we need to do is go to a defined contribution program… that will put a damper on our major problem,” he says in the interview. The concern in the US is that the Social Security program, paid entirely out of tax revenue, is not sustainable for the long term.

Putting the two thoughts together, perhaps having more workplace retirement programs is a good thing if the Social Security program that backstops US retirement isn’t in the best of health. Let’s choose to focus on the good news that a federal government is making it easier for small businesses to offer retirement benefits.

If you don’t have a workplace pension plan, or you do but want to contribute even more towards your retirement, the Saskatchewan Pension Plan is a logical place to start. The SPP offers the winning combination of low fees, a strong track history of growth, and the ability to convert your savings into a lifetime stream of retirement income. It’s a one-stop retirement centre – check them out today.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Jun 24: Best from the blogosphere

A look at the best of the Internet, from an SPP point of view

Be sure you don’t miss out on pension benefits from long-ago work

When this writer was a young reporter in the 1980s, it seemed that moving to a new job took place every year or two. It’s quite common, in fact, for people to have many different jobs over the course of their careers.

So it’s not that surprising that some of these folks had pension or retirement savings through their old employers that they’ve forgotten about – and that unclaimed pension money is still there, looking for them.

A recent report in Benefits Canada took a look at the size of this problem. While no one knows exactly how much unclaimed pension money is out there, “the federal government says the number could be rising with people switching jobs more often, qualifying for plans faster, retiring abroad more often and not updating their mailing address because of increased reliance on online accounts,” the magazine reports.

The Ontario Teachers’ Pension Plan, for instance, “has about 30,500 members it can’t locate,” the article says. In the UK, an estimated $682 million in unclaimed pension money is piling up in various accounts, hoping to be reunited with its owners.

When the various plans can’t reach members, they’ll try tracking them down “through Equifax, search firms, and the Canada Revenue Agency,” the story notes. Unfortunately, there are so many fake CRA calls out there now that many people don’t respond, believing it all to be a scam, the article adds.

So what should you do if you think you might have had benefits in a retirement plan of a long-ago employer?

The article recommends that you “call up the human resources or pension administrator at the old company. If the company has been taken over, gone bankrupt or is otherwise hard to find, (you) can try getting in touch with the provincial regulator.”

If you think you may be missing out on benefits from long ago, it’s a good idea to make that call.

Take a tip and help your retirement

The Retire Happy blog offers some great tips to help you plan for retirement.

First, the blog notes, “take care of your health and make fitness a priority.” As well, “prepare for the retirement process by having a good idea, in advance, of what your income will be as well as your expenses,” the blog advises. The idea here is to have no surprises.

A third great bit of advice that many retirees wish they had taken is to “pay off debts while you are still working.” The blog notes that a surprising 59 per cent of retirees are in debt, and “for 19 per cent, that debt has grown in the last year.” The blog advises “laying off the credit cards” before retirement and remembering that in nearly every case, your retirement income will be less – not more – than what you were making at work.

Save with SPP has an additional tip to add to these excellent suggestions, and that is this – start saving early. The earlier you start saving for retirement, the more you’ll have when work is a fading memory. You can start small and grow your contributions to savings when you get a raise or a bonus. A terrific tool for your retirement savings program is the Saskatchewan Pension Plan; be sure to check them out today.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Jun 10: Best from the blogosphere

A look at the best of the Internet, from an SPP point of view

Millennials need to boost their savings discipline

A story from CNBC, citing research from U.S. bank Wells Fargo, suggests younger folks, “those who grew up… listening to Bon Jovi” have a harder road to retirement than their Beatles-fan parents.

The Wells Fargo report, called Reimagining Retirement, looks at the savings needs of all the different generations, and reaches some interesting conclusions.

Assuming, the article notes, that you will need to save $1 million to self-fund your retirement, younger people will have to be more self-reliant. “Millennials, less likely to have a traditional pension than baby boomers, need to develop financial discipline. Members of Generation X, finding themselves in their peak earning years, need to ramp up their savings right now,” the article notes.

The report itself shows some of the barriers younger people have to face when it comes to saving (remember, this is U.S. data, but it probably paints a similar picture to what is going on here). The report notes that “65 per cent of GenXers’ monthly income goes towards meeting monthly expenses,” and that only “48 per cent of GenXers agree that they are saving enough for retirement.” The GenXers are advised to avoid dipping into their retirement accounts for non-retirement purposes, to sign up for any retirement savings plans available at work, and to “invest for growth.”

Millennials, the report says, find basic financial skills to be “intimidating.” A surprising 32 per cent of this age group don’t “believe the stock market is a good place to grow their retirement savings,” the report notes. For this group, the advice is to sign up for any retirement programs work may offer, and to try to move any work-related savings with you when changing jobs. They are advised to avoid being too conservative when investing (avoiding risk) and avoid getting caught up in “the latest investment craze.”

Retirement can last a really long time!

Writing in Benefits Canada, Simon Deschenes, a partner at  Eckler Limited, notes that when he was growing up in the 1980s, people living to age 100 “made the news,” it was that rare and unlikely.

These days, he writes, actuaries assume that males age 65 “will live to about age 88 and females age 65 will live to age 90 – and that’s for the average Canadian pensioner.” He notes that he recently “came across two statistics that blew my ‘80s childhood mind – the chance of one half of a retired couple, both age 65, reaching 94 is about 50 per cent.” The chances of one member of that couple reaching age 100 is a surprisingly high 10 per cent, he adds.

He concludes by saying the “risk” of living a really long life (known in the industry as longevity risk) should be a major consideration for retirees in how they draw down their savings; he also suggests the new advanced-life deferred annuities are a new tool worth looking at that can bolster your retirement income if you live a really long time.

The Saskatchewan Pension Plan has you covered if you are worried about outliving your savings. SPP has a wide variety of annuity options, check out the SPP Retirement Guide for full details.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22

Jun 3: Best from the blogosphere

A look at the best of the Internet, from an SPP point of view

When working becomes the new saving

The boomers are often blamed for having had an easy time of things versus the younger generations – lower costs for education and housing, better employment opportunities, and so on.

Despite this apparent rosy and opportunity-ridden life path, however, new research shows that boomers – even the youngest tier – haven’t been savers.

According to a study by Franklin Templeton Investments Canada, reported on via Benefits Canada, a stunning 21 per cent of “younger baby boomers” haven’t saved anything for retirement.

Young boomers, “defined as those between the age of 55 and 64,” have a simple solution to their lack of saving, the article notes. Forty-six per cent of them, the report states, “said they would consider postponing retirement.” In plainer terms, they are extending their careers.

How long will the extension be? “Fifteen per cent of Canadians said they expect to work until the end of their life and 22 per cent said they don’t ever plan to retire,” the article states. However, paradoxically, about half of the young boomer group (54 per cent) “retired earlier than expected,” the article explains.

It’s sort of hard to imagine people working on into their 70s and 80s. Even if there is work to be had, will people’s health be good enough for them to keep at it? At best it seems like an iffy option.

“With life expectancy increasing and retirement savings becoming ever more challenging, due to the high costs of living, we are seeing increased concern over having enough money for retirement across all generations,” states Franklin Templeton’s Matthew Williams in the Benefits Canada article.  “Although it’s never too late to start saving, the best time to start contributing to retirement savings vehicles is when a person starts out in their career and may not have big financial commitments like a mortgage or childcare costs, and to find a way to maintain healthy savings habits as they age.”

Saving for retirement gives you options. You may be able to work less, and ultimately, not at all if your own savings augment your government retirement benefits. Your savings will also provide extra income, over and above that of any workplace pension you may be able to join.

If you haven’t started down the saving path, the Saskatchewan Pension Plan is worth a hard look. It’s open to any Canadian citizen, it’s been professionally run since the 1980s, has a strong record of good investment returns (at a low management expense) and has many options to turn your savings into an income stream when you retire.

Don’t let working be your savings plan – sign up for SPP today.

Written by Martin Biefer
Martin Biefer is Senior Pension Writer at Avery & Kerr Communications in Nepean, Ontario. A veteran reporter, editor and pension communicator, he’s now a freelancer. Interests include golf, line dancing, classic rock, and darts. You can follow him on Twitter – his handle is @AveryKerr22