Fewer Canadians are considering a financial plan, determines BMO Financial Planning Week study
More Canadians may be pondering their finances, but less of them are planning what to do with them, according to a BMO Financial Planning Week study, released Monday.
The study found that two-thirds, or 63 per cent, of Canadians consider personal finances a top concern, beating out love (22 per cent) and leisure (14 per cent). Despite this, only 50 per cent of those surveyed have a financial plan, down five per cent from 2012.
"It's understandable that money matters tend to dominate the minds of Canadians given that our finances are so intertwined with other areas, including family and how we spend our free time," said Caroline Dabu, vice president and head of BMO Wealth Planning Group, in a news release.
The study identified key reasons why some Canadians are missing the mark when it comes to financial planning including a lack of money to do so (37 per cent), never thought of doing so (29 per cent), don’t know where to start (28 per cent) and unaware of what it entails (19 per cent).
On the up side, of those Canadians with financial plans, 82 per cent said having one helped them achieve their financial goals, while 69 per cent said they wish they’d created a plan sooner.
"The earlier you start a financial plan, the sooner you'll feel in control of your finances and start progressing towards your short-term goals such as being able to afford a winter vacation, mid-term goals such as the purchase of a home, or long-term goals such as retirement," said Dabu.
