Healthcare Costs Eating into Boomers Retirement Budgets

Toronto, ON, November 1, 2023 – In a recent survey conducted on behalf of Sun Life, almost one-third (32%) of Boomers, fully or semi-retired individuals aged between 58 and 77, mention healthcare costs being a cause for their cost-of-living to be more expensive than they anticipated. This is second only to inflation (83%). Housing costs (31%) and market volatility (23%) are the other top causes of unexpected increases in cost-of-living.

Taking healthcare costs into account when planning a retirement budget is important as half (49%) of Boomers reported that they have a chronic health condition requiring medication or treatment. Already, a third (32%) of those with a chronic condition have or are considering changing their retirement plans or budget to be able to pay for medical treatment or medication related to their chronic condition.

The reality of healthcare costs in retirement is also being faced by Millennials, aged 27-42. Three-in-ten (31%) Millennials say they have a chronic physical or mental health condition requiring medication or treatment. Yet, just over half (52%) of Millennials with a chronic health condition have factored the cost of managing their chronic condition into their retirement plans. Demographically, a significantly higher proportion of female millennials (61%) admit to having not considered these costs compared to male millennials (43%).

About the Study

These are some of the findings of an Ipsos poll conducted between August 30 and September 1, 2023, on behalf of Sun Life. For this survey, a sample of 750 Millennials (aged 27-42) and 750 Boomers (aged 58-77) in Canada was collected. Quotas and weighting were employed to ensure that the sample’s composition reflects that of their respective Canadian populations according to census parameters. The precision of Ipsos online polls is measured using a credibility interval. In this case, the poll is accurate to within ± 4.1 percentage points, 19 times out of 20, had all Canadian Millennials or Boomers been polled. The credibility interval will be wider among subsets of the population. All sample surveys and polls may be subject to other sources of error, including, but not limited to coverage error, and measurement error.

For more information on this news release, please contact:

Sean Simpson
Senior Vice President, Ipsos Public Affairs Canada

+1 416 324 2002
[email protected]

About Ipsos

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