Note: Comprehensive Planning = CP; Limited Planning = LP; No Planning = NP
1. CP: Those that have comprehensive / integrated financial plans, (i.e. the main financial advisor has provided financial planning for major life goals and events or at least three of the planning components: household budgeting, tax, retirement, estate planning, investing, debt or risk management).2. LP: Those with limited planning, (i.e. the main advisor has provided advice or services related to one or two elements of the planning components).3. NP: Those with no planning, (this group had not used any of the financial planning services through an advisor).
On Track with Financial Affairs:
Those with comprehensive plans (CP) are substantively more likely to report feeling on track with their financial affairs compared with those who do no planning or only limited: 81% (CP) feel on track with their financial affairs vs. 73% (LP) and only 44% (NP).
Those who engage in comprehensive financial planning, and cite retirement as an important goal, feel more confident in their plans to retire: 50% (CP) feel on track to retire when they want to vs. 39% (LP) and only 22% (NP).
Ability to Save Compared to Five Years Ago:
Those who have comprehensive financial plans (CP) are significantly more likely to report that they have improved their ability to save in the last five years: 62% (CP) vs. 56 (LP) vs. only 40% (NP).
Dealing with the Bumps in Life:
Those who have comprehensive financial plans are significantly more confident that they are prepared to deal with the challenges and bumps in life such as: unexpected financial emergencies, tough economic times and ensuring loved ones are financially looked after if something should happen to them.
Can deal with unexpected financial emergencies: 60% (CP) vs. 53% (LP) vs. 28% (NP)
Can deal with tough economic times: 65% (CP) vs. 57 (LP) vs. 36% (NP)
Ensure loved ones financially looked after if something should happen to them: 73% (CP) vs. 65 (LP) vs. 41% (NP)
Living Today - Discretionary Spending:
While saving for the future is important, it's also important to consider the needs and wants of today. Those who engage in comprehensive planning feel more confident in reaching their discretionary goals that they identified as important:
74% (CP) said they would be able to take an annual vacation vs. 70 (LP) vs. 44% (NP);
61% (CP) said they'd have enough money to live the life they want vs. 55% (LP) vs. only 31% (NP).
65% (CP) said they'd have enough money for splurges vs. 58% (LP) vs. only 31% (NP);
The Difference a CFP Professional can Make:
Canadians who work with CFP professionals are more likely to report benefits of planning than those who engage non-certified advisors for their financial planning needs.
"Financial planning has helped me have greater peace of mind" (73% planner is CFP professional vs. 63% advisor non-certified)
"Because of financial planning, I worry less about money" (63% planner is CFP professional vs. 53% advisor non-certified)
"I am closer to achieving some of my life goals as a result of planning" (70% planner is CFP professional vs. 61% advisor non-certified)
"Because of financial planning, my family will be looked after if anything happens to me" (60% planner is CFP professional vs. 53% advisor non-certified)
To arrange interviews please contact:
Chadnick Communications (for FPSC)
416.593.8587 x 307