Roughly half of working Canadians are living paycheque to paycheque, according to a new survey.
A recent poll done for The Canadian Payroll Association that included over 5,600 people found 48 per cent rely on each payday to cover their bills, and would have a difficult time meeting their financial obligations if their paycheque was delayed just a week.
Half of those polled said they are able to save five per cent or less from their earnings, with 39 per cent describing themselves as “overwhelmed” by their debt.
“A significant percentage of working Canadians carry debt, have a gloomy view of their local economy and are fearful of rising interest rates, inflation and costs of living,” said Patrick Culhane, CPA president and chief executive, in a release. “In this time of uncertainty, people need to take control of their finances by saving more.”
Around 40 per cent admitted to spending all or more of their net pay each week. A quarter of those polled also said they would be unable to raise $2,000 if an emergency situation happened within the next month.
According to the poll, the most common types of debt were mortgages (26 per cent), followed by credit-card debt (18 per cent), car loans (17 per cent) and a line of credit (16 per cent).