Many Canadians are dipping into savings to survive. Some won’t last a week if they lose their job: survey

Courtesy: Avi Richards/ Unsplash

One month down and eleven more to go for 2023, yet some Canadians have already had enough. 

It’s no secret that financial prosperity is among the most popular new year’s resolutions for many. However, with the cost of living in Canada feeling like the highest it’s ever been, good fortune might not be on the horizon for some.

According to a survey conducted by Abacus Data, 47 per cent of Canadians have reduced their savings. Additionally, many have either dipped into their savings account or stopped contributing to it altogether.

In fact, the poll says families making $50,000 or less, as well as parents of children under the age of 18, are withdrawing from their savings just to make ends meet. 

And it gets worse. Twenty per cent of respondents also admitted that if they lost their job tomorrow they would only have enough saved up to last a week. In addition, 42 per cent wouldn’t be able to make it past a month. 

The survey also shows that one in five Canadians resorted to skipping a bill or paying less than the minimum due in the last four to six weeks. 

Another last resort was to increase their credit card balance to cover important expenses, which a fifth of Canadians have done. 

The survey polled 1,500 Canadian adults from January 27 to 30, 2023.

The margin of error for a comparable probability-based random sample of the same size is plus or minus 2.6 per cent, 19 times out of 20.

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