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Young Canadians more focused on paying off debt than saving for retirement: Survey

Young Canadians are not showing much confidence in their outlook to retirement, and are more focused on paying off their debts, according to a survey.

The survey, conducted by the Bank of Montreal found that 80 per cent of young Canadians have little confidence in their ability to save enough money, and debt reduction is a more important factor.

Only 25 per cent said they are working on retirement savings, while 77 per cent are concerned they will outlive any money they put away for their senior years. Nearly three-quarters are worried they will not be able to afford the lifestyle they want.

BMO noted that the job market is extremely competitive and many graduates have yet to find work after finishing school, leaving them with plenty of debt to pay off.

As the March 1st RRSP contribution deadline looms, 91 per cent of those asked said they will expect to rely on their Registered Retirement Savings Plan.