& News

Helping You Understand
The Changing Business Landscape

Browse Our Featured Insights & News Resources

Take an in-depth look at articles relating to the mergers and acquisitions market.
Pavilion is here to help you understand and decide when to value your business, sell or invest at the right time.

Stay Connected

Subscribe to our email updates if you would like to stay up-to-date on new businesses for sale, news and other educational material affecting M&A transactions or buying or selling a business.

Upcoming Events, Webinars, Workshops & News

Check back regularly to see what is happening in your area, online, or virtual – or subscribe for updates to keep you in-the-know.
Please let us know if there is any topics you would like covered.

Canadians now expect to need $1.7-million in savings in order to retire, BMO survey finds


Canadians now believe they need $1.7-million in savings in order to retire, a 20 per cent increase from 2020, according to a new BMO survey.

The eye-watering figure is the largest sum since BMO first started surveying Canadians about their retirement expectations 13 years ago. It’s also a drastic increase from the $1.4-million in savings Canadians expected to need for their nest eggs just two years ago.

The results reflect Canadians’ concerns about current economic conditions, particularly inflation and higher prices, said Caroline Dabu, head of wealth distribution and advisory services for BMO Financial Group.

“If you look at the average Canadian, they’re feeling the rising inflation costs,” said Dabu.

“And so, not surprisingly, we are seeing that Canadians are feeling they absolutely will need more to retire.”

Canada’s annual inflation rate hit a four-decade high of 8.1 per cent in the summer of 2022 and has since fallen to 6.3 per cent as of December 2022. BMO Economics expects the country’s CPI to decline to around three per cent by the end of the year.

The sharp increase to Canada’s inflation rate in 2022 exceeded wage gains, eroding purchasing power for most families and heightening fears about the future. The BMO survey found that just 44 per cent of Canadians are confident they will have enough money to retire as planned – a 10 per cent decrease from 2020.

But while the $1.7-million figure may sound overwhelming to working-age Canadians, Dabu said the number says more about the economic mood of the country than it does about real-life retirement necessities.

“Certainly when we’re working with clients, we find that many overestimate the number that they need to retire,” she said.

“It really does have to be taken at an individual level, because circumstances are very different … But $1.7-million, I would say, is high.”

While rising inflation may require tweaks to a retirement plan – such as contributing slightly more to savings each month if you’re a young worker, or making cash flow adjustments if you’re nearing the end of your working career – Dabu said these changes don’t necessarily have to be drastic.

When it comes to retirement planning, Dabu said, knowledge is power. By working with a professional financial adviser and making a plan that encompasses individual circumstances and goals, Canadians can come up with their own retirement savings number.

“In the survey, we note that 53 per cent of Canadians didn’t know how much they will need to retire,” Dabu said.

“That increased confidence comes from knowing the exact number that I need to save for, and how I’m going to get there.”

The BMO survey also found that approximately 22 per cent of Canadians plan to retire between the ages of 60 and 69, with an average age of 62.

Millennial and generation z Canadians are the most nervous about their ability to save and invest right now, the survey found. However, all age groups – 74 per cent of survey respondents – said they are concerned about how current economic conditions will affect their financial situation, and 59 per cent said economic conditions have affected their confidence in meeting their retirement goals.

The BMO survey was conducted between Nov. 4 and 7, 2022 by Pollara Strategic Insights via an online survey of 1,500. The survey’s margin of error is 2.5 per cent, 19 times out of 20.

FREE Consultation
Read More

Join Our Exclusive
Data Room

Subscribe to keep up to date with Pavilion’s newsletter containing information about new businesses for sale, news and educational material related to exiting a business.
(You can withdraw your consent at any time.)

“The last laugh.”

New Years message

Beginning this year with renewed hope and anticipation, we want to encourage and inspire you in your business endeavours We’ve all worked hard to get this far and we’re still standing with you [...]

Value Propositions That Work

Most people can’t explain what their company does — its value proposition. The best way to start getting employees and management aligned is to understand the benefit the company is trying to [...]

Virtual M&A

Virtual M&A: Conduct Mergers & Acquisitions transactions without missing a beat. Connect seamlessly in the M&A world! Now you can access M&A services from the comfort of your office or home. [...]

Top 10 Excuses for Not Selling

Every business owner has a favourite reason for not selling Whether it’s “I’m gonna live forever!” “I don’t want to face what it’s not worth,” or even “There are plenty of interested buyers—I get [...]

FREE Consultation

Start typing and press Enter to search


Free Consultation

It’s time to prepare your business for the future; either by growth, acquisition or sell and divest your valuable business.

Let’s schedule a call to talk more about your needs and how we can help.