A financial statement greater than doubles your confidence in retirement – which is why so many Canadians forego it

That’s an enormous gap – and it’s widening at a time when more Canadians are rethinking their financial strategy. The survey of 1,045 Canadians found that 52% of respondents said economic uncertainty is causing them to take into consideration making a financial statement or revising an existing one.

Having a plan is clearly useful, so why don’t more people do it? According to the survey, there are three culprits: cost, complexityAnd confusion about what a financial statement actually is.

The barriers holding Canadians back

Nearly half (45%) of survey respondents have never worked with an expert planner:

• 43% say they’re unsure concerning the process or whether it’s well worth the money
• 42% think it is simply too expensive
• Only 44% have a “very clear” understanding of what a financial statement entails

But here’s the thing: among the many 55 percent of Canadians who’ve worked with an expert planner, 56% say the value was totally value it. Another 37% said it was somewhat value it – in order that’s 93% who felt they got their money’s value.

This is what the KPMG report shows 53% of Canadians consider a financial statement is “extremely valuable.” But evidently misconceptions about cost and complexity are stopping them from taking the following step.

Also read: Financial planning for the primary time? A Guide for Single Income Women

DIY plans don’t beat a plan, but skilled instructions win

There are three groups amongst survey participants: 55% have a profession plan, 25% have created their very own, and 20% don’t have anything. Those who selected the do-it-yourself route feel significantly more confident than those that didn’t (72% vs. 36%), but still lag behind those that enlisted the assistance of an expert planner.

The generational divide in relation to technology

Age also appears to play a job in how Canadians view financial planning:

• 54% of Generation Z (ages 25-30) would favor a digital self-service tool to a human advisor
• 41% of Millennials (ages 31-45) want tools and human support
• Generation X (ages 46-60) is evenly distributed across all three options
• 56% of Baby Boomers (ages 61-79) need to work exclusively with a human advisor

All age groups agree on one thing: 72% want real-time access to their financial plans and say it might improve their experience.

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The final result

The survey data seems convincing: skilled financial planning delivers measurable results. But at the tip of the day, a plan is best than a plan. If cost or complexity is holding you back – otherwise you simply prefer to make use of online tools to do things yourself – try creating your personal plan. You can at all times contact a financial advisor for feedback and suggestions that can boost your confidence and ensure you might be on the proper path to a snug retirement.

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About Jessica Barrett

Jessica Barrett is Editor-in-Chief of MoneyDown. She has extensive experience within the fintech industry and private finance journalism.