News Releases
Canadian baby boomers are feeling the squeeze of being “the Sandwich Generation,” and for many, it's beginning to compromise their lives.
According to a recent survey of 2,195 Canadians between the ages of 45 and 60 conducted for BMO Financial Group by Ipsos Reid, of the one-third (34 per cent) of boomers who currently assist aging relatives:
� 66 per cent say it has had some negative impact on their lives
� 31 per cent say they have less time for themselves
� 20 per cent have had to take time off work
� 19 per cent say that they have been impacted financially.
Adding to the pressure, 44 per cent of these boomers also financially support their children. Yet, despite the challenges, more than half (59 per cent) of caregivers say assisting aging family members has strengthened their relationships.
“This research corroborates other studies we have conducted over the past two years that paint a picture of a generation juggling the needs of parents and children, along with their own priorities,” said Kris Vikmanis, Head of Retirement Market, BMO Financial Group. “As Canadians live longer, this trend will continue to grow, so it's important for boomers who are currently providing care for aging relatives or expecting to do so in the future, to start planning for the impact this can have on their finances and lifestyle.”
Yet fewer than one in 10 (7 per cent) have asked for financial advice about budgeting and planning for the assistance they provide to their family members. According to the survey, those boomers who are not currently assisting aging family members, but who expect they will at some point, are not planning either.
“Boomers tell us that they recognize retirement planning is important, however our research has indicated, time and again, that many aren't taking the necessary steps to plan for their future. The notion of factoring in costs for a family member's care or their own care is not necessarily top of mind, but it should be,” said Vikmanis.
Boomers not planning ahead for caring for relatives or themselves
� More than one-third (36 per cent) of boomers who are not currently caring for relatives, expect to in the future
� Yet only one in four (26 per cent) are planning financially to provide this care
� Despite these family pressures, only 26 per cent of boomers have a plan in the event they personally need assistance when they get older.
“Canadians are facing competing priorities and concerns. We want to assist them with identifying and addressing their key issues to help them appropriately plan for and manage them,” added Vikmanis.
BMO helps clients who are assisting aging relatives
BMO Harris Private Banking offers a unique wealth management service, called enCircle™, designed to lessen the burden of financial management on seniors and their adult children. enCircle advisors work with clients and their families to tailor a plan that can include bill payment, investment management, estate planning, coordinating the filing of tax returns, applying for travel insurance, travel banking, as well as home and health care education. Since this service was launched in May 2005, the response from clients has been extremely positive, confirming that professional assistance with managing financial affairs later in life is valuable to both seniors and their families.
In addition, BMO Financial Group recently launched a podcast series examining emerging issues facing Canadian boomers who are approaching retirement. The latest episode focuses on caregiving and is hosted by Pamela Wallin, a journalist for more than 30 years and a member of BMO Financial Group's Advisory Council on Retirement. The podcast features Dr. Amy D'Aprix, a gerontologist who began working with caregivers and seniors more than 20 years ago. The podcast can be downloaded from BMO's retirement website at: www.bmo.com/regeneration.
Additional Survey Highlights
Differences between the sexes
- More women than men (31% vs. 23%) said they provide emotional support to an aging relative
- More men than women (22% vs. 16%) said they have been financially impacted as a result of caring for aging family members
- Almost twice as many women than men (18% vs. 10%) responded that caring for older relatives has had a negative impact on their health
- Women were twice as likely (12% vs. 6%) to respond that assisting an aging relative has impacted the job or career path they have chosen.
Regional differences
Respondent were asked: Which of the following statements apply when it comes to assisting aging family members?
|
Activity |
Average |
BC |
AB |
SK/MB |
ON |
QC |
ATL |
|
You provide emotional support |
27% |
29% |
29% |
36% |
29% |
19% |
26% |
|
You provide transportation |
18 |
16 |
15 |
22 |
21 |
13 |
19 |
|
You do errands |
18 |
16 |
19 |
22 |
19 |
15 |
17 |
|
You manage their finances |
10 |
11 |
9 |
12 |
11 |
8 |
13 |
|
You prepare meals |
6 |
6 |
5 |
8 |
6 |
5 |
5 |
|
Family member is living with you |
5 |
5 |
4 |
6 |
5 |
5 |
6 |
How has helping your aging family member(s) impacted your life?
|
Impact |
Average |
BC |
AB |
SK/MB |
ON |
QC |
ATL |
|
Strengthened relationship |
59% |
59% |
60% |
66% |
59% |
51% |
71% |
|
Less time for yourself |
31 |
34 |
34 |
31 |
32 |
28 |
29 |
|
Taken time off work |
20 |
22 |
31 |
21 |
22 |
11 |
18 |
|
Financial impact |
19 |
17 |
25 |
26 |
17 |
22 |
13 |
|
Impacted your health |
14 |
14 |
9 |
12 |
18 |
11 |
14 |
|
Impacted your career |
9 |
8 |
6 |
7 |
11 |
7 |
11 |
Full results available upon request.
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