There’s been a lot in the news the last few months about how Canada’s gone from a nation of savers to a nation of spenders. While it’s true that we’ve gone from saving ~15% of our income to ~1%, there’s some scarier stats out there. We’re in serious danger of outliving our savings, getting useless biased advice, and seeing retired people recycling bottles for extra cash. At 28 years old, I’m a little scared.
Few people have any sort of idea how they’ll save for retirement and even fewer actually are taking action.
Only 32% of Canadians have a plan for retirement, which means of my almost 700 friends on Facebook, 450 of them haven’t the foggiest clue how they’ll retire.
I’ve got news for you: CPP and your work pension plan aren’t going to cut it.
It’s no secret that real estate is a big part of the retirement plan Megan and I have created and are executing. The worst case scenario when I buy a $200,000 townhouse is that in 20 years the tenants have paid of the mortgage and I’ll have (at least) a $200,000 asset.
Stay tuned this week and I’ll tell you how I turn my $200,000 forced savings plan into a $400,000 retirement find.
Photo Credit: Proimos