The ever-evolving definition of 'retirement'
Remember those Freedom 55 commercials from the ‘90s?
Man, what a crock of (removed)!
Indeed, what every Canadian knew, deep down, about the financial afterlife was confirmed earlier this week, when Statistics Canada revealed that early retirement was a nineties myth along with “Nobody’s stopping Sinbad” and “Put all your cash in Bre-X.”
The cruel reality, as per StatsCan’s numbers: a 50-year-old worker in 2008 could expect to stay in the labour force 3.5 years longer than they would have more than a decade ago.
In other words, grab your daytime Depends, boomers. You’re not becoming a Snowbird just yet.
According to Statistics Canada, an employed 50-year-old worker in 2008, the latest year data is available, could expect to work another 16 years, putting him in the 66-year-old retirement range (nice math, we know).
*Bing: How to tell if you're ready to retire
That’s a big jump from the mid-1990s, when retirement could come as early as 62-, 63-years-old.
What’s to cause for the delayed retirement? For one, a recession and the great pension vanishing circa 2009 surely hasn’t helped, but StatsCan notes retirement has also been pushed back from where it stood in the late ‘80s and ‘90s because of high public-sector deficits and downsizing among private companies, which pushed many workers into an almost forced retirement 15, 20 years ago.
Yet the greatest takeaway from the above report isn’t when we’ll retire, rather our tragically shifting definition of the word.
Certainly, in a time of economic rethinking, early retirees look, well, lazy on the world’s scale. Regrettably, just look at all the scorn afforded European countries like Greece when it tried to fight for its youthful state retirement age last year.
So now, more than ever, it seems, we’ll work ourselves to the bone and be happy we even have the chance.
And lastly, want more proof the concept of retirement is changing? According to a new CIBC poll, a whopping 80 per cent of 18-to-24-year-olds believe they’ll work well into retirement age. That was the highest figure of any age group polled, suggesting young Canadians growing up today aren’t preparing for Freedom 55, Freedom 60 or even Freedom 65.
Has your idea of retirement changed since the recession’s outset in 2008?
By Jason Buckland, MSN Money
Posted by: Noisy Joisy | Oct 28, 2021 4:41:17 PM
There are 3 tricks to a happy and/or early retirement.
1. A decent pension
2. Minimal or no debt
3. Sizeable Investment portfolio (RRSP) and/or equity (Home/Property)
All are controllable and even affordable, however one needs to start early. It isn't time to start worrying about your retirement when you reach 60-65. People need to plan their retirement as soon as they get a full-time job. Plan and decide on your own lifestyle based on what you can and can't afford. Many of the new generation are obsessed about keeping up with the Joneses and wanting ALL the new electronics, gadgets, cars, etc. The old adage of "If you can't afford it... don't buy it" rings truer these days. Maybe a newer adage should be "If you can't pay off your credit card... you shouldn't have one". However, many will never learn... hence the spike in bankrupcies. Some are due to loss of job however, an equivalent number or more are due to lack of self control.
Posted by: Retired and Rich | Oct 28, 2021 8:02:39 PM
What a moron to be giving financial advice. Freedom 55 was not an idea to retire at age 55 but to be free from paying anymore insurance premiums after age 55.
Posted by: Wilson | Oct 28, 2021 8:54:36 PM
The age I decide to retire is when I want to stop working, not for any monetary reason. My work is so exciting and challenging, that the thought of giving it up at age 60, or 65, or70 is depressing. Yes, one can work and enjoy life at the same time. I would probably die very soon after retiring.
Posted by: Canuckguy | Oct 29, 2021 2:13:53 PM
You are WRONG! It was London Life's slogan promising that with their help, ordinary people would be able to retire at 55.
Posted by: Elmo | Oct 29, 2021 6:54:10 PM
I agree with Joisy. I never bought a new car until I was 51 years old... also saved on insurance premiums along the way. Also never leased a car... that's a never ending debit on the bank account. Never paid through the nose for a cellphone/tweeting/texting plan (don't even have one), don't have or need an ipod or a bluetooth or 5,000 channels on my car radio. I have a 7 year old 48" HD TV... don't need an extra 10" or 350 extra channels, most of which are duplicate or crap anyways. Have a desktop and a laptop for travelling... don't need ALL the extra computer gadgets or mach speed internet... I can wait a few seconds more for the boot up. I pay my credit cards off every month and collected air miles from 2 different sources for 15 years... which I recently "cashed in" for $1500. worth of gift cards to buy hardwood flooring for my renos. Also cashed in for $500. worth of FREE gas cards.
Posted by: clear and focused | Oct 30, 2021 12:08:07 PM
It sounds like I live amongst a sea of fools. Why don't you all go and read the book "Animal Farm" and take note of Boxer's fate. Why don't you people open your eyes. You think this is all happenstance? You think this article is about debate? You don't see how they are setting you up for passive acceptance of forced poverty - aka: population reduction in all its forms?
Who do you think comes up with phrases like: "Certainly, in a time of economic rethinking, early retirees look, well, lazy on the world’s scale."?
You make me sick Jason Buckland. You are a propagandist who only Joseph Goebbels could love.
And as for the rest of you, posting trivial comments about a false debate... well, it seems you are all delusional and know little of current events or casino-economics. We do not live in a capitalistic-democracy. And you are blindly following the Pied Piper into oblivion, whilst you debate the inconsequential. What a joke!
Posted by: Elmo | Oct 30, 2021 4:36:47 PM
@clear and focused... nice to see you came up with some rational thoughts about the subject matter of this article. Your inane (and foolish) commentary serves absolutely nothing at best. Maybe you should go back to your "Animal Farm" and pleasure some goats and other critters.
Posted by: clear and focused | Oct 30, 2021 7:39:32 PM
I take it that my comment went way over your head. How sad it is that you choose to comment on a book you’ve never read. Hahaha. I know that you’ve never read it, because if you had, you would realize how apt my comment is. In fact, it is probably the only suitable comment on this ridiculous forum. If you want to educate yourself before you make such foolish statements, you can pick up the book – written by George Orwell (Eric Blair) – in any Canadian high-school... because it is part of the curriculum. Perhaps if you went to high-school, you would know that... and perhaps you would see the similarities between Orwell’s depiction, and our current system. Hahaha Elmo, you are the archetypical - useful idiot. My guess is you work for the government... because they like their employees to be simpletons, who wear blinders, and are oblivious to history. How sad. I wonder if the government and their fake economy will save you from the dark-age they have wrought.
Posted by: Myron1043 | Oct 31, 2021 12:50:51 AM
My wife and I recently retired (both of just turned 60). The mortgage is paid, kids are launched into the world, no employer to answer to and never seeing my name on an org chart again = happiness and freedom.
There will be no condo in Florida like we always dreamed of. On the other hand we have learned to truly appreciate what we have now. We are fortunate to enjoy good health, a roof over our heads, enough to eat, water to drink, warmth on a cold night and protection from the storm. Our four children live three hours away and our old SUV (with 125K miles) still gets us there. We are going to enjoy what ever time is left for us on this earth!
Posted by: Elmo | Oct 31, 2021 2:10:46 AM
@clear and focused... your attempt to impress us with your Orwellian utopia scare tactics are inane at best. During your next seance with George, you might remind him that his communist paranoia is virtually invalid in this day and age, the Berlin wall came down quite a few years ago and Mao's Red Book is gathering dust. While you're on your little rant and roll, maybe you can try to scare us with some Nostradamus / Mayan prophecies and a few Illuminati theories. Since you must also take Halloween seriously, I will assume that your Chicken Little costume is dry cleaned and ready for another round of fun. Lastly... you may want to volunteer for the next "Trim the Herd" contest or use your government assistance cheque to buy a tent for the next Occupy whine and bitchfest.
Posted by: world guy | Oct 31, 2021 2:52:22 AM
retirement is being able to tell your boss to take this job and shove it
Posted by: Mike | Oct 31, 2021 7:20:17 AM
plan your financial retirement and then find yourself a project job, keeps your mind and body moving. Already retired
Posted by: Clear & Focused | Oct 31, 2021 7:50:03 AM
Hahaha. I think you need to look up the definition of utopia. Orwell never wrote about a utopia. And if he did, why would a utopia contain any "scare tactics"? Hahaha. Buy a dictionary. I think the word you were looking for is "dystopia". And if you think communism came down with the Berlin wall, then you truly are delusional and sheltered. These concepts are ever evolving. In fact, communism and fascism have merged in governments all around the globe; and they label it "democracy" for the simpletons who don't understand these definitions - like yourself. You are the type of fool this propaganda is written for. Hahaha. Try reading some history before you comment on things you know nothing about.
Now I am certain that you work for the government. LOL
Posted by: Elmo | Oct 31, 2021 9:59:57 AM
@dazed and confused. Hahaha... keep believing your own idiocy and good luck in your lifelong Orwellian search for... YES... a Utopian society. Hopefully you can find enough time to crawl out of your parent's basement and gather a flock of sheeple to blindly follow you on your quest for the perfect world. Can't wait to see the socialist platform you attempt to get yourself elected on, but then, Hahaha... you would risk becoming one of those government lemmings you despise so much. Oh well, such a pity that the simpletons of the world will never get the chance to bask in the aura of your grandiose delusion. Hahaha... now I am certain you're an imbecile. LOL
Posted by: John Gaul | Oct 31, 2021 10:03:13 AM
The point is that the expectation of retirement was different 20 years ago. The global, deregulated capitalism was supposed to create more wealth and the expectation was that many people could retire in their mid to late fifties. The economic experiment has failed for most people and one of the proofs of that failure is having to work longer in order to afford retirement.
Stagnant wages, benefits slashed, jobs off-shored, and the resulting growth of insecure lower paying jobs have made it impossible for some and difficult for most to retire in their late fifties. In fact their will be many that can never afford to retire. Perhaps rather than attempting to define retirement we should shine a strong light on the present economic system that has failed so many people. Perhaps the Occupy Wall Street demonstrations happening all over the world are starting to awaken people to the fact that our present economic system has failed most of us.
Posted by: carl | Oct 31, 2021 10:06:36 AM
I have been reading the banter between 'Clear and Focussed' and 'Elmo' and I'm afraid that 'C and F' makes the more compelling argument, unfortunately. We live in troubling times, in a state of flux and if the people do not awaken we will all be little more than mindless serfs.
Posted by: Mark | Oct 31, 2021 10:29:20 AM
Freedom 55 is still posible, depends on a persons priorities. My wife and I are both savers by nature having maxed out RRSP's since our early 20's. We have been fortunate to had good jobs with no periods of unemployment.
We live in a newer home, paid off 8 years ago. We drive newer vehicles, enjoy holidays but we carry no debt except credit cards which are paid off monthly. We paid fully for each of our childrens educations.
We are careful with our spending though. We eat out rarely, but eat well at home. We don't have every new gadget.
The huge number of garage sales you see is a reflection that most people buy way too much useless stuff. Many garages I see have not had a vehicle parked in them in years due to the clutter in their houses taking over their garages.
So by careful saving, our very conservatively invested portfolio is over $1,750,000. We don't have super high paying jobs, we just started early and stayed focused on investing.
We are both in our early 50's. I plan to retire at 56, my wife may work a few years longer by choice.
We Have friends that make way more than us that will never be able to retire. They bought into having the 4000+ square foot homes, expensive imported vehicles and numerous trips purchased all on credit.
Life is about choices.
Posted by: Clear and Focused | Oct 31, 2021 10:49:46 AM
Your blathering is incoherent and contradictory... but long live free speech - even for the Elmo's of the world. Oops, no, we lost that too, with the purposely-vague definition of "hate" in our "hate-speech" laws, which they inacted while you were sleeping. But who cares - right? Awareness is not part of your government job description.
Now... queue all the buffons who foolishly respond thinking that I am pro-hate-speech - after all, you are the ones who this clever propaganda was created for.
Posted by: GG | Oct 31, 2021 10:55:42 AM
I like it Mark. You started planning early in life. Now it is paying off. Good for you. We effectively have done the same. And at 58 (2012) I will retire, my wife following a year later at the age of 55.
We have always used the 10% rule. 10% off the top and into RRSP's etc and then the rest is committed to our daily budget. Likewise we do not travel that much, however when we do we pull all the stops in the effort to have a good vacation. Our net worth is substantial, our assets both liquid and material well balanced. We have a very strong home life and we do not worry about the Jones's next door. We both drive "modestly used" vehicles and we keep them for a minimum of 10 years.
If you fail to plan then you plan to fail. This is the real message that everyone needs to hear.
Posted by: joannie | Oct 31, 2021 11:16:56 AM
Freedom 55 worked for me. I recently retired at 70, and am very comfortable due to careful planning and living.