Money struggle is real

You likely don’t need a survey to know Canada is a nation of stressed-out citizens.

We have plenty to worry about, and money is often among the leading stressors.

And yes, there are always surveys measuring our collective money-driven concerns, including the recent, inaugural Global Retirement Savers Study by T. Rowe Price.

The U.S.-based asset manager of more than $2 trillion globally found that more than four in 10 surveyed Canadians are financially stressed.

Only Australians — 42 per cent versus 41 per cent here — are more stressed about their money, says Sudipto Banerjee, global strategist with T. Rowe Price, a Washington, D.C.-based contributor to the report.

He adds the global average in the survey is 39 per cent, so it’s not as if Canadians are far ahead of the pack for elevated cortisol levels brought about by bad thoughts about money.

The worries, also unsurprisingly, shift by generation.

For example, T. Rowe Price’s study reveals 27 per cent of millennials “were highly stressed about housing.”

What is surprising is how low that percentage is, given the cost of homes.

Even in Winnipeg, where the average home price is about $400,000, less than half the cost in Toronto, young buyers face monthly payments of at least $1,700 (and that’s with a sizable down payment).

Median household income in the Manitoba capital is about $70,000 after tax, meaning half of all households earn less than that amount.

Even earning about $5,000 a month after tax (about $85,000 annually before taxes), the aforementioned mortgage payment, utilities and property taxes make up close to 30 to 40 per cent of the paycheque. Add car, student loan debt, child care, rising grocery bills, gasoline … the list could go on for most households, and these increasingly middle-aged households have little to save for retirement — outside workplace plans, if they have one.

Younger adults — gen Z — can’t even wrap their heads around homeownership. They’re “stressed about paying their bills,” Banerjee says.

“And gen X and the baby boomers still working noted their No. 1 concern was retirement savings.” These last two generations’ survey responses reveal the future for younger editions: The struggle may be real today, and it will continue in the future, only amid shifting priorities.

One commonality across groups is the response to this statement: life in retirement will be as good as life while working.

“Two thirds did not agree.” They think it will be the same or worse.

T. Rowe Price’s report isn’t the only study revealing financial stress.

JD Power’s 2026 Canada Financial Health Support and Advice Satisfaction Study found more than half of Canadians are financially stressed.

One silver lining is many seek advice. A dystopian flex to that is people aren’t turning to advisers, they’re using generative artificial intelligence.

“A lot of people are embarrassed and blame themselves whether it’s their fault or not,” says Jim Miller, vice-president of banking and credit card at JD Power. “So AI gives them a way to do that without feeling judged.”

The survey found about 40 per cent of Canadian respondents use AI tools for financial help, and among that group, 73 per cent follow the advice.

“I would feel better if everyone sought a second opinion,” he says, noting the advantages of talking with professionally educated financial advisers. “At least with medical issues, you can’t start get surgery without seeing a doctor.”

That’s not to say AI isn’t useful, but it’s not infallible. One reason more people are turning to AI is they are at least doing something to improve their lot. AI “empowers consumers,” for better and for worse, he adds.

The study also indexes consumer satisfaction with their banks, and the growing reliance on AI may be a result of their middling approval of financial institutions for providing assistance.

For example, RBC ranked first for satisfaction with a rating of 589 out of 1,000. That is nine points higher than the worst performer at 580.

Put another way, Canadian financial institutions are averaging 58 per cent on this test.

Winnipeg wealth adviser Grant White works with clients who one would assume aren’t financially stressed.

They have enough assets and an adviser who built them a plan. Yet he often has to remind them not to worry too much about their financial situation, especially their future.

White adds the industry tends to spark anxiety about money, particularly retirement.

“There’s always a risk of not being able to achieve your goals,” says White, managing director of Endeavour Wealth Management with AI Private Wealth.

People with plans are more likely to achieve their financial goals — whether buying a home, funding post-secondary education or retirement — he notes.

Yet too much emphasis is put on deferring today for a tomorrow that is far out in the future. “It’s to the point where people are not enjoying their lives as much as they could,” he adds.

The aforementioned studies point to a sizable number of Canadians being financially stressed.

Fuelling some of the worry is other messaging from financial industry studies.

These include the need to save $115,000 for a four-year post-secondary degree by 2032, or that we must have $500,000 to $2 million saved for retirement.

These findings may be accurate, and if money is stressing you, seek advice. There are tens of thousands of Canadian — and human — advisers eager to help.

Yet White cautions not to lose track of enjoying today because you’re fretting so much about what may or may not come to pass. “My point is a lot of people are deferring life beyond what they truly need for the future.”

Of course, it’s hard to know one way or the other without a plan.

Joel Schlesinger is a Winnipeg-based freelance journalist

joelschles@gmail.com