A new CPP Investments survey reveals that most Canadians remain anxious about retirement, but financial literacy and planning can help ease those fears. Understanding the role of the Canada Pension Plan is key to building confidence in a secure financial future.
Financial stress continues to shadow retirement dreams for many Canadians. According to the 2025 CPP Investments Retirement Survey, nearly six in ten people fear they’ll run out of money before the end of their lives. Yet the research also offers a reassuring message: knowledge and planning are powerful antidotes to anxiety.
Canadians who take the time to develop a financial plan and understand the role of the Canada Pension Plan (CPP) are significantly more confident about their financial future. Over half (52%) of non-retirees with a plan say it gives them assurance that their savings will last throughout retirement — and that confidence can make all the difference.
The weight of retirement anxiety
Concern about financial security spans across generations. Anxiety peaks among Canadians aged 55 to 59, who are approaching retirement age and beginning to confront the realities of fixed-income living. The survey found that over half (55%) of non-retirees and 44% of retirees do not have a retirement plan in place. These figures have remained largely unchanged from last year, indicating that financial unease has become a persistent national concern.
“Running out of money in retirement is a deeply rooted concern,” said Michel Leduc, Senior Managing Director and Global Head of Public Affairs and Communications at CPP Investments. “But Canadians already have a dependable foundation in the CPP — one that provides lifelong, inflation-protected benefits.”
Why so many Canadians don’t Plan
For many, the obstacles to retirement planning stem from immediate financial pressures. Among non-retirees without a plan, 59% said they need to earn more before they can start saving for retirement, while nearly half (49%) said paying down debt must come first.
Younger Canadians, often juggling student loans, rent, and career-building goals, face a particularly challenging balancing act. Over half (53%) of those aged 18–34 said advancing their careers takes priority, while 47% cited buying a home as their main focus. These competing pressures delay retirement planning — even though starting early is one of the best ways to secure financial stability later in life.
“Confidence is a powerful enabler,” added Leduc. “Canadians who feel secure about the CPP’s role in their retirement are more willing to take proactive steps like saving more, making a plan, or seeking advice.”
The gender gap in retirement confidence
The study revealed a notable gender gap in retirement readiness. Women continue to report higher anxiety levels about financial security, with nearly two-thirds (63%) worried about outliving their savings compared to 55% of men. This disparity stems partly from systemic factors — women often earn less over their lifetimes, take more career breaks for caregiving, and tend to live longer than men.
This combination creates a challenging reality where women are less likely to have formal retirement plans and feel more uncertain about their financial future. Closing this gap requires targeted financial education, accessible planning tools, and more inclusive conversations about money.
Younger generations carry heavy financial stress
While it may seem like retirement is a distant concern for young people, financial stress is affecting younger Canadians more significantly. The survey found that 68% of Canadians aged 18–24 feel “a lot of anxiety” about making the wrong financial decisions — a number that drops significantly with age.
This highlights a crucial opportunity: fostering financial literacy early can build confidence and long-term financial security. Understanding key principles — like saving consistently, managing debt, and recognizing the role of the CPP — helps young Canadians lay a solid foundation for the decades ahead.
The power of trusted financial guidance
Beyond policies and numbers, personal relationships play a powerful role in shaping financial confidence. Nearly half of Canadians (48%) reported that someone in their life — a parent, teacher, mentor, or friend — has influenced their understanding of money and retirement. Those with such guidance reported lower financial stress and more optimism about their future.
“Financial knowledge doesn’t just come from books or advisors — it often comes from people you trust,” said Leduc. Encouraging open conversations about money, especially across generations, can demystify retirement planning and empower communities to take control of their finances.
Financial literacy and the CPP: A stronger future
One of the most striking findings from the survey is the link between understanding the CPP and financial confidence. Among those who were very familiar with the CPP, 73% reported feeling confident about their retirement finances, compared to just 21% among those unfamiliar with it.
The CPP offers Canadians a reliable foundation for retirement income, providing inflation-protected payments that last for life. Yet, as the survey shows, awareness of how the system works directly influences peace of mind.
November marks Financial Literacy Month in Canada, a timely reminder to learn, plan, and seek trusted advice. CPP Investments hopes that this research encourages Canadians to take charge of their financial futures — because understanding and planning today can lead to a more secure tomorrow.
A new conversation about financial confidence
As Canadians continue to navigate an uncertain economy, the findings from CPP Investments underscore an important truth: financial anxiety can be reduced through knowledge, preparation, and support. From creating a simple savings plan to learning more about the CPP, small actions can lead to significant shifts in confidence.
Whether you’re decades from retirement or just a few years away, the key is to start now. By combining financial literacy with trusted guidance and awareness of public programs like the CPP, Canadians can face the future not with fear, but with confidence.
