Starting public pensions earlier might alleviate senior poverty: report

At a time when many retirement experts are extolling the virtues of starting government pensions later in life – in order to get a bigger monthly amount – a new report suggests starting them earlier may be a way to reduce senior poverty.

According to an article in The Financial Post, a report from the Global Risk Institute suggests that “lowering the early eligibility age (for government pensions) can help one group in particular: workers with lower incomes.”

The Institute’s report says starting pensions earlier than 65 “can put lower-income seniors in a better place financially and reduce the poverty rate among seniors as well.” In Canada, you can begin receiving Canada Pension Plan (CPP) payments as early as age 60, the article notes.

“The report , which examined two Canadian pension reforms that took place in the 1980s, which dropped the early eligibility age (EEA) to 60 from 65, concluded that lower-income retirees have financially benefited by claiming their pensions earlier,” The Post reports.

Those who start their CPP at 60 will receive a pension that is 36 per cent smaller than those who start it at 65, the article explains. Waiting until after age 60 to claim your pension means your future pension increases by “0.7 per cent each month, or 8.4 per cent per year,” the article adds.

“But lower-income retirees have a shorter life expectancy than retirees with higher incomes, which means they might not live long enough to reap those benefits. They might also require a boost in funds sooner just to accommodate the rising cost of living, which means claiming early isn’t just the smarter financial decision; it’s often the only financial decision they can afford to make,” The Post reports.

Even Dr. Bonnie-Jeanne MacDonald of the National Institute on Ageing, a proponent of waiting until you are 70 to collect CPP, agrees that if you need the money when you’re 60, it’s “a no brainer” to start taking it then, the article reports. “MacDonald, who has long advocated for Canadians to delay claiming their pensions, authored a report earlier this year that noted Canadians can receive 2.2 times the monthly pension at age 70 than if they claimed them at age 60,” The Post reports.

Interestingly, the “penalties” (early retirement reductions) for Canada’s pension plan are “lower than in other countries, such as the U.S., making the choice much more attractive for lower-income Canadians who need the money sooner,” The Post notes.

The article concludes by noting that some OECD countries have looked at “increasing the age of retirement” by two to five years, with the hope of keeping older workers on the job. However, the article notes, “some studies have shown these reforms caused a `spillover’ effect on other social programs, such as employment or disability insurance, and made some groups more vulnerable to poverty.”

Let’s also keep in mind that the Canada Pension Plan’s maximum benefit for 2024 is only $1,364.60 at age 65 – while the average CPP payment is $816.52. If you don’t have a workplace pension plan, you’ll need to put away money on your own to bolster that future, rather meagre pension. Why not take a look at the Saskatchewan Pension Plan. It’s open to any Canadian who has registered retirement savings plan room. You decide how much to contribute to SPP, and we take on the heavy lifting of investing and growing your savings. At retirement, you can choose among options like collecting a monthly lifetime annuity payment or the more flexible Variable Benefit.

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As a teenager, we used to play golf at a course where the green fees were $5 if you teed off before 8 a.m. The three of us would chip in for gas for our old car – you could fill the tank for maybe seven or eight bucks because gas was about 77 cents a gallon. And when we got tickets to see AC/DC play at the Ottawa Civic Centre in 1980, it cost $7 a ticket. You could also get change from a dollar bill when you got a Happy Meal at the Golden Arches.

Today these activities all cost about 10-20 times more than they used to.

What’s a person to do for fun without spending hundreds of dollars? Save with SPP took a look around the Interweb for some ideas.

While camping at a site costs less than a trip to Disney World, The Humbled Homemaker blog suggests an even cheaper alternative – camping in the backyard!

“You can still have the whole experience—s’mores, campfire, sleeping bags and all—for a fraction of the cost. When I was in high school my friend would have `camp-overs.’ We’d stay in her parent’s camper in their driveway, make hot dogs over the fire and stay up really late,” the blog tells us.

Another suggestion – take the family to the zoo! Our daughter and her family do this all the time. “Zoos can provide entertainment for couples and families. Most are either free or reasonably priced and some will allow you to carry in food. If not, pack a lunch and eat in the car,” the blog advises.

A third idea is having a game night at home. “Extremely cost effective, or even free, board games are a great source of entertainment for groups of friends and families with children. We like to incorporate fun and learning with games and most holidays you’ll find us playing cards or fun games like ImagineIf.” Save with SPP remembers family game nights well, playing Monopoly, Careers, Clue, or cards.

Another way to reduce your entertainment costs, suggests the Canadian Budget Binder blog, is to do a little more planning and set a budget for it.

“Once you have determined your overall budget, you must allocate funds to different categories to help manage all your entertainment interests,” the blog advises. “For example, your categories include dining out, movies and streaming, events and activities, travel and vacations, and hobbies and leisure.”

“A set amount allocated to each category will help you track what you did and how much you already spent,” the blog suggests. “If you have an amount set aside for movie tickets and have nothing left, you must wait until the next month for more `movie ticket money.’”

Another approach, the blog recommends, is to look for “low-cost activities” and to use “deals and discounts.” The blog suggests going to “art shows, festivals, famers’ markets and concerts held in your community free of charge for entry.”

As well, make use of parks and trails, the blog states. “You can always explore hiking trails, beaches, or parks for free. Taking a day out of your busy schedule can mean simply taking a day off work, having a picnic in the park, or even catching the sun at the beach,” the blog adds.

The MoneyCrashers blog expands on the idea of looking for bargains. Online coupons can be found at sites like Groupon, and can offer “excellent discounts” on activities, food, or other entertainment.

Watch your physical mailbox for discount coupons on restaurants, including “two for one deals and half off coupons,” the blog notes. Keep an eye on event websites for special discounts and deals, and take note of restaurants offering “kids eat free” deals, the blog suggests.

If you have membership cards that provide you discounts on select items, use them, the blog adds.

Finally, the Tiny Buddha blog provides us with some additional thoughts.

“Have a picnic in the park and ask everyone to make something from scratch,” the blog suggests.

On the dining with friends theme, the blog also suggests having “cookie swap” parties, “hosting dinners with friends,” and having a “food themed” potluck party, where everyone brings something Italian, Thai, Chinese, or whatever the theme is.

Another suggestion is to “have a culture day – visit a museum on a free day, listen to classical music on the way, and watch a classic movie in the evening.”

If there’s a common thread here it is to use your imagination and plan when it comes to entertainment. We’ll add one other suggestion – join a group. Perhaps it’s a book club, an investing club, line dancing classes (or any dancing), yoga, running, or cycling. It’s a great way to learn something new while making new friends.

Did you know that the Saskatchewan Pension Plan is not only for individual members? The plan can be, and is offered by many employers as their company pension plan.

Here’s an interview with Trevor Stein of Stein Corp, a plumbing and electrical firm, that explains the value of offering SPP as a benefit to your employees: Stein Finds Talent with SPP (youtube.com)

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Retirement still feasible for 40-year-olds with no pension – but it takes work and commitment

So, you’ve hit the big 4-0 and are beginning to realize that life after work is no longer as far away as it once was.

If you’re 40 and aren’t a member of a pension plan, can you still fund – on your own – a decent retirement income for yourself?

According to a recent article in MoneySense, the answer is yes – but it will take a little work on your part.

“The key is to try to mimic the pay-yourself-first approach by setting up an automatic contribution to your registered retirement savings plan (RRSP) to coincide with your payday. A good rule of thumb to strive for is 10 per cent of your gross income. Remember, in most cases the employees blessed with a defined-benefit pension are contributing around the same 10 per cent rate (sometimes more) to their pension plan. You need to match those pensioners stride-for-stride,” MoneySense suggests.

OK, this makes sense – preauthorized contributions on payday mean you won’t have time to spend the money on something else, and after a while, you won’t miss it.

The article takes the example of “Johnny,” who makes $90,000 per year gross and contributes 10 per cent — $9,000 – annually to his RRSP. If he gets an average return of six per cent each year for 25 years, he’ll have $493,780.61 in his RRSP by age 65.

This example does not factor in any growth in Johnny’s wages. If his salary goes up each year and he continues to contribute 10 per cent to his nest egg, he’ll be contributing more than $9,000 per year, the article notes.

If Johnny got a three per cent raise annually for 25 years, MoneySense adds, then his RRSP will be more like $700,000 by age 65.

Assuming his mortgage is paid off, the article notes, Johnny will be able “to spend $40,000 per year (inflation-adjusted) until age 95.”

He will, the article adds, also get about $25,000 per year from the Canada Pension Plan and Old Age Security if he takes them at age 65.

That’s the second key point here – step one is to save 10 per cent of your gross earnings in an RRSP annually, and step two is to keep working until 65, and to collect government benefits at that age. “Working until 65 ensures he will get a robust retirement pension from the contributory CPP, plus he’s lived in Canada all his life and can expect to receive 100 per cent of his OAS benefits,” the article notes.

Retiring without a mortgage is another important aspect of this example.

“The ace up the sleeve for Johnny’s retirement is his mortgage-free home. It amounts to equity he could tap by downsizing, selling and renting, taking out a line of credit or using a reverse mortgage if he found himself needing cash flow or a lump sum of money in retirement,” the article explains.

This sounds great, but MoneySense notes that it can be greater. If Johnny were to also save three per cent of gross earnings in a Tax Free Savings Account, he will have an additional $355,000 in savings, bringing his total to over $1 million.

The TFSA would allow him more money to withdraw each year, boosting his income to $45,000, the article reports.

Another tactic Johnny could employ would be to delay his CPP and OAS until age 70, when he would get “42 per cent more CPP and 36 per cent more OAS,” the publication notes.

This article makes a lot of sense. Our late Uncle Joe was a strong believer in the “pay yourself first” concept of putting 10 per cent of your gross income into savings, and then living on the rest.

The Saskatchewan Pension Plan (www.saskpension.com) works well for “pay yourself first” savers. SPP allows you to set up pre-authorized contributions that can coincide with your pay dates. Or, you can set up SPP as a bill via online banking and pay yourself as well as the power, heat, and other bills. While Johnny will have to figure out what to invest in, SPP does that heavy lifting for you, in a professionally managed pooled fund. And when it’s time to withdraw money, SPP offers the chance of a lifetime monthly annuity payment or the more flexible Variable Benefit option.

Check out SPP today!

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There’s a room in our basement that we euphemistically call “the storage room,” chiefly because it holds all our accumulated family clutter. Toys, books, stamp collections, ancient stereo equipment, records, unneeded furniture – the list goes on and on.

We both occasionally spend a few minutes looking at the growing collection, then close the door.

But there’s a better way to manage things you don’t want or need – having a garage sale. Save with SPP took a look around to learn the dos and don’ts of putting your stuff up for sale in your laneway.

The KindaFrugal.com blog sees a garage sale as a way “to recoup some of the sunk costs from all the gently used items you’ve accumulated.” But, the blog advises, doing a garage sale properly requires a little strategizing.

“Pick the right day,” the blog advises. “Pick a weekend at least one week in advance, but two weeks ahead might be better if you have a lot of stuff to sell. That gives you time to get everything ready without feeling rushed.”

Sundays, the blog adds, seem to be the best days for it.

Next, the blog says, do a thorough check of the house and gather up all the stuff you want to sell. “Good sale items include old furniture, tools, computer stuff, dishes and other household items, books, appliances, vintage items, toys, kitchen gadgets, sporting goods, and other unwanted items,” the blog continues.

Be sure to clean/dust every item, and check pockets of all clothing – you don’t want to be selling your spare keys, important papers, or money.

Getting the word out about your sale is of crucial importance, notes The Garage Conundrum blog.

Social media can be a big help here, the blog says. “Create an event on platforms like Facebook to tap into a wide local audience. Highlight key items for sale with photos to pique interest and drive foot traffic. Share the event in community groups to maximize visibility and attendance,” the blog advises. We used Kijiji to help promote our sister-in-law’s garage sale, and it generated a lot of interest.

You also want to set prices for your items, the blog suggests, and those price tags should be able to withstand the elements. “Weather-proof pricing labels endure the elements, ensuring prices remain visible regardless of weather conditions. These labels stick firmly to items, preventing them from blowing away or getting lost during the sale. With clear labeling, customers can quickly identify prices, streamlining their shopping experience,” the blog suggests.

Other ideas in the article suggest displaying any more valuable or collectible items in a separate area/table, and to set a “flat rate” for things like books and CD – if you take 10, say, they are $1 each but otherwise $2 each. This pricing idea “helps clear out inventory quickly,” the article tells us.

A few more insights are on offer over at Better Homes and Gardens magazine.

Scope out other garage sales in your neighbourhood “to gather intel on what works, what doesn’t, and how to price everything to sell,” the article suggests.

Another tip – “price as you gather your items,” the magazine advises. Pricing, the article continues, takes forever and “you’ll be too stressed and tired to make good choices” if you try to do it all the night before.

The article also says social media is the way to go for advertising, but says a few old-school signs and banners help as well. “Always include your full address, the days of the sale, and times.” Indicate if you are able to accept other forms of payment besides cash, the article notes.

The Money Smart Family blog gives us some final good ideas.

Consider minimizing the work by joining forces with neighbours and doing a multi-family sale, the blog states. Talk the sale up with neighbours prior to sale day, e-mail or message friends who live farther away, the blog adds.

Use tables so people can see the items better. “Gather as many tables as you can.  Use sawhorses with doors or pieces of plywood if you have to. You’ll sell more if what you display isn’t super-cluttered. We even build a rack for shoes out of wood scraps and put mini-shelves in the middle of tables to give us more space on the tables,” the blog advises.

If everything goes well, you’ll have turned most of the items into cold, hard cash. In our neighbourhood, items that don’t sell are usually put by the curb with a “free” sign, and usually disappear within a day or two. Alternatively, you can donate them to your local thrift shop.

A nice use of any sudden, extra cash is long-term saving. Consider opening an account with the Saskatchewan Pension Plan. For over 35 years we have been helping Canadians save for retirement. SPP, open to any of us with unused registered retirement savings plan room, will professionally invest your savings dollars in a low-cost, pooled fund. When it’s time to turn savings into retirement income, you can choose such options as a lifetime monthly annuity payment, or the more flexible Variable Benefit.

Check out SPP today!

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In the U.S., 35 per cent say they haven’t started saving for retirement yet

A new study by U.S. firm FlexJobs has found that more than a third of Americans have not yet started to save for retirement.

The study was featured in detail in a recent article in Consumer Affairs.

The study, carried out in June of this year, involved interviews with 2,000 U.S. workers. “The group answered questions about their current and future retirement plans,” the publication explains.

“Overall, 65 per cent of the survey respondents reported they are currently saving for retirement, with 35 per cent not yet starting their savings plans. Of that group, 20 per cent said they aren’t currently saving, but have plans to start in the future,” the article notes.

Fewer women than men said they were saving for retirement – 61 per cent of men versus 52 per cent of women, the article continues.

Major differences were seen in savings rates when the data was crunched by generation, the article reports.

“Baby boomers represented the largest percentage of retirement savers, with 61 per cent saying they’ve been saving for retirement. On the other hand, 58 per cent of Gen Xers and 46 per cent of millennials reported the same,” Consumer Affairs notes.

“However, over 25 per cent of millennials and nearly 20 per cent of Gen Xers said they aren’t currently saving for retirement but plan to start in the future,” the article adds.

“These results aren’t wholly surprising, as baby boomers are closer to retirement age and have likely had a longer period of time to save,” states Keith Spencer of FlexJobs in the article. “Those who are at earlier stages in their careers may also have competing financial priorities, like student loan debt, which can impact their ability to save. Similarly, different generations have experienced varying economic conditions, which could disproportionately affect career opportunities and savings potential.” 

Do the survey’s authors have any encouraging words for those among us who are yet to put that first retirement savings dollar into an account? Is it too late for them?

“It’s never too late for consumers to start planning and saving for retirement,” Spencer tells Consumer Affairs. “It’s important to begin by establishing some clear retirement goals that account for factors like your ideal retirement lifestyle and your target retirement age. From there, you can start creating a budget, tracking your income and expenses, and prioritizing saving wherever possible. Consumers should also explore any employer-sponsored retirement plans that might be available to them through their workplace, which can be particularly beneficial if their employer offers matching contributions.” 

The article concludes by warning newbies of several factors that can impact retirement savings plans – financial constraints (i.e., your ability to set aside anything for retirement), market volatility, “societal spending pressures,” caregiving responsibilities and a lack of financial literacy.

If you are worried about how to invest your savings – and aren’t in a pension plan or retirement program at work – then the Saskatchewan Pension Plan may be just what you’ve been looking for. You decide how much you want to contribute to your SPP account, and we do the rest – professionally investing your savings in a low-cost pooled fund, and growing your nest egg until it’s time to retire. Then, SPP member options include a lifetime monthly annuity payment or the more flexible Variable Benefit.

Get the team at SPP working for your future!

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Every morning, as soon as the first beam of sunlight dares to enter our room, our Sheltie Phoebe is instantly awake, making encouraging “wake up” barks and little indignant cries that soon are joined by our other Sheltie, Duncan.

Negotiation does not work – we need to get up, right now, and feed the little princess and prince, and then, soon afterwards, stumble around the still-dark neighbourhood for a walk. Their early morning antics make us appreciate winter, when the sun comes up hours later. But we love them dearly.

Save with SPP wondered how others feel about the value of having a dog in retirement.

The Extra Mile blog sees a lot of value in having a dog in retirement.

“Dogs are man’s best friend, and that’s especially true for retirees, who can enjoy an array of health and lifestyle benefits sharing their home with a canine companion,” the blog reports.

The article quotes Janice Walker, 71, as saying “dogs just make your golden years brighter.” She originally was “dogless” in retirement “so she could travel more easily,” the article continues, but that thinking changed and soon she and her husband Richard added a Lhaso Apso and a Bichon Frise to their family.

“The dogs encouraged them to walk around their neighborhood four times a day, follow a healthy daily routine, and meet and chat up neighbors. One of Walker’s favorite things about having dogs is being greeted at the door by their wagging tails,” the blog reports. “The unconditional love that dogs give you, and the excitement when you come home, you can’t bottle that,” she tells the blog.

The chief benefits of having a dog in retirement include exercise, the benefits to your heart health (blood pressure is usually lowered), companionship, and “fostering a sense of community” through more interaction with neighbours and other dog walkers, the blog says.

The Kiplinger website recalls that many people got their first dog during the odd, isolating days of the COVID-19 pandemic. “Their instincts to shelter in place with a dog or cat were right on target because in times of stress pets offer people emotional and social support,” the site notes.

Research carried out by biologist Ericka Friedman found that “people who had a heart attack and owned a pet were more likely to be alive a year later than those without a pet. Among the 39 patients without pets, 11 (28 per cent) had died compared to only three (six per cent) of the 53 pet owners,” Kiplinger reports.

She also found that those with dogs “have healthier lifestyles, including getting enough exercise and sleep.”

“Other studies have linked pet ownership with decreased blood pressure, slightly lower overall blood cholesterol levels and general calming benefits, although more research could determine whether pets reduce anxiety or even depression in people,” the Kiplinger article concludes.

There are a few downsides to having dogs, reports The Globe and Mail. Dog ownership “can be a headache for those who travel a lot,” since someone has to look after your furry friends while you are away.

Having a dog may limit your rental options as well, The Globe reports. Pet owners Bruce and Brenda Rennie tell The Globe that as renters and dog owners, they found it much harder to rent. “Renting with a pet is much more difficult,” she tells the newspaper. “It easily took 60 per cent or more of the possible places we could rent off the market to us. People are worried about dogs doing damage to their property and stuff. That was a big thing. I could have had five kids, but one dog …”

Other dog-related expenses include food and treats, toys and “eye-watering” vet bills, the article warns.

It’s true that the cost of food and care for our doggies are higher today than in the past, but we are of the opinion that they are worth every penny.

If you are thinking of taking on a dog in retirement (or a cat, or both), you will need to have some extra dollars put aside for that new expense. A great way to supplement the modest benefits you’ll get from the Canada Pension Plan and Old Age Security is to sign up for the Saskatchewan Pension Plan. SPP will do all the difficult investing work for you – you provide contributions, and we will invest them in a low-cost, pooled fund. At the end of work, SPP helps you turn your now-grown savings into income – options include a lifetime monthly annuity payment or the more flexible Variable Benefit. Check out SPP today!

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Successful habits of those living beyond age 100

A recent article in The Times of India took a look at the secrets of longevity – habits of those who have already lived beyond the century mark.

The article notes that as recently as 2000, there were only about 1.5 million people around the world age 100 and older – by 2021, there were more than 5 million.

The Times cites an article in the journal GeroScience that found “dietary practice and weight management in healthcare strategies to promote healthy aging played a pivotal role in longevity. It also recognized rural living styles and sleep hygiene as potential factors contributing to healthy aging.”

While you might think that genes have the most to do with this – if your parents lived past 100, then maybe you will – the article says the study found that “non-genetic or environmental factors” account for 60 per cent of “successful aging.”

Okay then – what can we do to promote a longer lifespan?

First, the article tells us, is diet.

“A healthy diet, like the Mediterranean diet, along with eating a variety of foods, including milk and grains, helps people live much longer, as seen in centenarians,” the Times reports.

“The study also suggests avoiding smoking and tobacco, as they harm the body in many ways. Smoking increases the risk of premature death but quitting it can reduce this risk. Smoking is injurious to both your mental and physical well-being,” the article continues.

So, eat healthy and get rid of the smokes. What else?

Sleeping, we are told, is very important. “In a study of three European cohorts, individuals without sleep disturbance compared to those with severe sleep disturbance were projected to live six additional years in good health and three more years without chronic diseases between the age of 50 and 75,” the Times notes. “Sleep satisfaction was also found to modulate the link between occupational stress and metabolic syndrome or BMI while both long and short sleep durations were associated with an increased risk of death,” the article states.

Okay, no more late nights and catnaps. Are there other tips?

The research, reports the Times, suggests that those of us taking fewer medications in our older years will live longer.

“On average, centenarians were taking 4.6 medications … versus 6.7 for those aged 80 and above. This lower medication usage may reflect a lower disease prevalence in centenarians,” the article reports.

Finally, the research has found that rural living may also be a factor.

“Over 75 per cent of centenarians lived in rural areas, suggesting that rural lifestyles may contribute significantly to prolonged health and longevity. The study notes that enhancing green spaces, tree canopy and public parks to encourage rural lifestyles may boost life expectancy and postpone epigenetic ageing,” the report concludes.

So, if you’re not already living outside a city, be sure to spend lots of time in healthy rural-type settings like parks.

If you are lucky enough to enjoy a ripe old age, it’s important to take steps to ensure you don’t outlive your savings. Members of the Saskatchewan Pension Plan have the option of converting some or all of their savings to an annuity when it’s time to retire. With an SPP annuity, you will receive a monthly payment on the first day of every month for as long as you live – you’ll never outlive your savings.

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Here’s how to chop that grocery bill down to size

Inflation is said to be slowing down, but the high cost of groceries is still a hot topic at the golf course and around the table after line dancing class.

Save with SPP decided to scour the Interweb to find out what others are doing to cut their food costs.

At The Penny Hoarder blog, one suggestion is to “create a grocery budget.”

“The first step to saving money on food is to think like a Boy Scout (i.e., “Be Prepared”). Setting up a monthly or weekly grocery budget will help you stay on track and keep your spending in check,” the blog suggests.

We like this one – instead of grumbling that everything on your list costs more, you bring a set amount of money, say $100, and come home with that amount of groceries. Interesting!

Other ideas from this blog are to develop a meal plan – so that you know exactly what you need to buy, item by item – and the classic advice to clip/save/find coupons and make good use of them.

The Daily Hive offers up some additional thoughts.

Skip pre-cut fruit and veggies, the blog advises. “Since there’s an added labour cost to these items, it’s often cheaper to buy the larger item and cut it up yourself, especially if it’s a low-cost product like squash or watermelon,” the blog adds.

A second thought – don’t just plan your meals, plan your snacks too, the blog suggests.

“One top trick to see lower grocery receipts is to plan your meals and snacks for the week,” The Daily Hive reports.

“By crafting each meal ahead of time, you know exactly what to shop for and can avoid unnecessary or impulsive buys,” the blog continues.

A USA Today article via Yahoo! provides a few more ideas.

“Shop your pantry” before going out to buy ingredients for meals – maybe you have some of the things already, the newspaper advises.

“Use your grocery store’s app to carefully plan your shopping trip from the comfort of your own home and check all available coupons. Utilizing your grocery store’s app is one of the best ways to stay on budget and save time when you shop,” the article adds.

Another idea from USA Today is to buy things that are in season. “When purchasing produce, choose produce that’s in-season. Out-of-season produce tends to be more expensive than its in-season counterparts,” the newspaper notes.

The Victoria Times-Colonist provides a few more tips.

One interesting idea is to avoid going to the grocery store altogether. Huh?

“If you tend to wander off your grocery list because every time you go to the store you buy things you don’t need, shopping online and picking up curbside is a good workaround,” the article suggests. This can also save time if you are buying groceries from multiple locations, the article adds.

As well, a sort of further idea to the “grocery budget” plan is to keep your previous grocery bills so that you can “track what you are already spending,” the article reports.

“Start by reviewing how much you have spent on the last few times you’ve gone grocery shopping,” states David Brindley, deputy editor for AARP Bulletin, in the article.

“If you don’t keep receipts from past grocery runs, try looking at your bank account statement and adding up the grocery charges. Once you know how much you spend on groceries, set a goal, for example, staying within a specific budget or reducing your spending,” he adds.

These are all good ideas. If there’s a common theme, it is to spend more consciously on groceries rather than just tossing stuff into the shopping cart and then complaining about the cost.

A couple of things we’ve learned to do to save on shopping is to work with a fairly empty fridge – don’t pile it full to the brim. Why? If you can see everything in your fridge, you won’t buy the same things twice, or throw out stuff that’s been shoved to the back behind something else and has gone “off.”

Having an extra stream of income will also help out your grocery shopping in retirement. If you aren’t covered by a retirement program at your workplace, have a look at the Saskatchewan Pension Plan. With SPP, you decide how much you want to save, and we do the rest – investing your savings over time in a low-cost, professionally managed pooled fund. You can make contributions in many ways – through pre-authorized contributions from your bank account, via online banking (SPP can be set up as a bill), by credit card or by mailing us a cheque.

Get SPP working for you today!

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Canadians struggle to save for retirement; 75 per cent blame cost of living: CARP study

A new study from the Canadian Association of Retired Persons (CARP), carried out by Sun Life, finds that “one third of Canadians struggle to plan for retirement,” and “75 per cent of people say their cost of living is negatively impacting their retirement savings.”

The findings were made public via a recent media release.

And the research had other troubling findings, such as the fact that “over half of respondents are worried they do not have enough money to retire,” the release notes.

“There are many factors to think about for Canadians when it comes to saving for retirement,” states Eric Monteiro, Senior Vice-President, Group Retirement Services, Sun Life, in the media release. “Planning can significantly affect someone’s ability to retire. Considering what you want your retirement to look like, and building a roadmap to get there is essential.”

The release says that those who are “digitally engaged” with their retirement savings “have more money saved, feel more confident about their plan, and experience better retirement outcomes.”

We gather this means people who check their savings progress online. The release states that:

• Members who are digitally engaged see an average balance 230 per cent higher than those who are not engaged ($123,800 versus $51,800).
• Digital members contribute 61 per cent more to their savings accounts than those who aren’t online ($8,700 versus $3,400).
• Digital members are two times as likely to maximize an employer match. While 30 per cent of non-digital members maximized that match in 2023, this compares to 61 per cent of digital members.

“It’s important that people not only prepare for retirement but feel confident in the decisions they’ve made. It’s clear that those who regularly log-in online see the long-term benefits of embracing the convenience of digital tools. These numbers paint a vivid picture about how technology can empower people to take control of their financial future,” Monteiro adds, via the release.

Members of the Saskatchewan Pension Plan have a variety of online tools to map their retirement progress.

By using My SPP, you can quickly check the most recent rates of return on SPP’s Balanced Fund and Diversified Income Fund. You can take a look at your current account balance, download any tax slips or statements, and check your personal account information to make sure you’re up to date.

On the planning side, SPP’s Wealth Calculator gives you a quick idea of just how much income your future self may receive from your invested SPP contributions.

You can even choose to make contributions directly through the website via a credit card.

All these tools will help keep your SPP retirement planning on track – and when it’s time to collect, you can choose among such options as a monthly lifetime annuity payment or the more flexible Variable Benefit.

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In Live Your Best Retirement, author Ramon Reid begins by expressing concern for those who are not happy in their so-called golden years. The book then provides ways to turn things around for that group.

As he began his own retirement, he noticed “a worrying trend in people who had retired. A lot were lost and unfocussed or even worse – they seemed angry that retirement hadn’t delivered the goods.” Worse, he continues, they didn’t know what to do about it.

He and his wife, on the other hand, had a plan when they retired early. “We (had) a number of key projects in mind, are active physically as keen gardeners, cyclists and kayakers, are emotionally centred with regular meetups with friends and family and are intellectually stimulated as part-time business and management consultants.”

In other words, he writes, “we made purposeful decisions about how we wanted to live our third age.”

Those on the verge of retiring, he advises, don’t “want to drift aimlessly in a sea of indecision” about the years ahead. They instead need to be “prepared for more than one option,” and to be able to “learn fast or adapt.” Having a plan for the years ahead allows you to “look forward to the future with excitement and not look back in grief.”

The book gives dozens of real-life examples of how individuals and couples coped with retirement and its precursor processes, like planning.

The transition to retirement “can be tough,” he writes. “For some retirees, the reality of retirement is a far cry from their expectations and often leads to disillusionment and deep unhappiness.” Further, he continues, a surprising 40 per cent of Americans reverse their decision to retire.

That’s because they don’t have a purpose for retirement. “Finding purpose in life means different things to people. The quest assumes an even greater urgency once you enter the third age of your life,” he writes. “For some, it is about fulfilling a passion; for others, it is unearthing a passion they did not know they had.” He suggests that volunteering in retirement is a “transformative” action for retirees seeing purpose.

In a chapter on personal growth and learning, he notes that “retirement is not the end but the beginning of a new appreciation of the wonders of life.”

“The trick,” he writes, “is teasing out the reward of a hobby, or learning a new skill, even a language, that occupies your mind 100 per cent. Take comfort in the research that shows, time and again, that your growth is achieved by challenging yourself.”

Examples of things to learn in retirement, he writes, include a new language, music, strategic game playing, dancing, acting, cycling and pottery.

“Be curious, be active,” he advises. “You have as much to offer the community as the community has to offer you.”

He concludes his optimistic book by advising retirees to find “like minded others” by joining classes or groups. “Start small and build on your options,” he suggests. “Do something positive at the start of every day.” Be careful what you are eating – cut back on processed foods, sugar and alcohol, he advises.

“Just do it, start doing something, anything, today. Take the first step, the others will follow. Stepping out will become easier each day, just as your confidence and capability does.”

This is a fantastic and motivating book. The move from work to retirement can be jarring and sad if you haven’t thought about what to do with all that time, and while the focus with pre-retirement seems to always be on money, it’s really more important to be active and to try new things, as Ramon Reid says so well.

Changing jobs? Your SPP account is ready to make the move with you. Since you can join SPP as an individual, changing employers doesn’t affect your eligibility to continue contributions – you can keep going on your retirement savings no matter where you’re working. And, once those contributions have been professionally invested in SPP’s low-cost pooled fund, you’ll enjoy – at retirement – options that include a lifetime monthly annuity payment or the more flexible Variable Benefit option.

Get SPP working for you today!

Join the Wealthcare Revolution – follow SPP on Facebook!