Financial confidence and social satisfaction improve with age
A new survey from HomeEquity Bank has revealed differences in happiness markers between younger and older Canadians, particularly when it comes to financial stability, connections, and sense of purpose.
The study, commissioned by the reverse mortgage lender, surveyed Canadians approaching retirement (those in their 50s) and those well into it (aged 75 and older). According to the findings, 95% of Canadians 75 and older said they are very or somewhat satisfied with their lives, compared to just 79% of Canadians in their 50s.
Katherine Dudtschak, president and CEO of HomeEquity Bank, said the results point to the evolving nature of happiness as people age.
"Our latest study unpacks different happiness markers for Canadians and how they shift as they age. We found a sharp distinction between those approaching retirement and those well into it," Dudtschak said.
Triangle of happiness
The study used several key markers (financial stability, quality connections, and sense of purpose) to assess the levels of satisfaction among respondents. One major takeaway is the improvement in financial wellness and emotional satisfaction as Canadians grow older.
While just 48% of Canadians in their 50s feel very good or excellent about their finances, this figure rises to 68% for those aged 75 and above. Additionally, 75% of those over 75 said they could handle an unexpected major expense, compared to only 55% of those in their 50s.
Older Canadians also reported stronger social connections, with 85% of respondents over 75 saying they feel connected and have quality friendships, compared to 70% of respondents in their 50s. The survey further revealed that 89% of those 75 and older enjoy living in homes that are well-maintained and frequently visited by family, compared to 81% of their younger counterparts.
A strong sense of purpose also becomes more prominent with age. The survey found that 48% of Canadians over 75 remain active in their communities, compared to just 30% of those in their 50s. Charitable involvement similarly increases with age, with 51% of those 75 and older contributing to causes, compared to 34% of those in their 50s.
The anxieties felt by Canadians in their 50s, particularly concerns about outliving their retirement savings, not having enough financial support, and leaving behind a meaningful legacy, highlighted the challenges facing those entering retirement.
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Vivianne Gauci, senior vice president of customer experience at HomeEquity Bank, noted the importance of a balanced approach to happiness.
"To be fulfilled, you need to look at all facets of your life," Gauci said. “Financial stability is a fundamental part of living a healthy and fulfilling life, but it’s not the only factor. Connections and purpose have critical roles to play, which is why enjoying a happy retirement requires a holistic approach.”
To address the growing challenges, HomeEquity Bank has partnered with the Canadian Association of Retired Persons (CARP) to raise awareness about the importance of purpose, connection, and financial stability as people age.
The bank’s report, Attaining Freedom: Embracing Growth, Fulfillment, and Financial Health as We Age, shared key insights into the evolving needs of Canadians over 45, offering tools and guidance to help them achieve a fulfilling retirement.
HomeEquity Bank will also be hosting a fireside chat, featuring key figures like Bill Van Gorder, Chief Advocacy and Education Officer of CARP, and Dr. Samir Sinha, a leading expert in elder care, to provide Canadians with practical advice on ageing with purpose and security.
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