Most working Canadians are planning to continue to earn income following their retirement – a turnaround from the present generation of retirees who are staying away from the job, a new national survey suggests.

But the Investors Group report also reveals that many Canadians remain unsure how much money they’ll need for their retirement.

“Many people who have not properly planned for retirement will probably have to work to maintain their lifestyle. Leaving retirement planning to the last minute, or making retirement lifestyle decisions based on inaccurate assumptions, is risky,” notes Heather Clarke, director of Advanced financial planning support for Investors Group.

The survey, conducted by Decima Research, shows 72 per cent of Canadians who aren’t yet retired are “strongly considering” working in some capacity.

But about 59 per cent haven’t determined how much money they’ll need.

The survey also showed that while most survey respondents haven’t adjusted their retirement plans as a result of weaker stock market returns, those who did make changes (19 per cent) indicated their adjustments included earning more in retirement, saving more, and spending less.

“People need to be realistic about earning potential as they age,” added Clarke.

“When people retire from their primary career, many hope to be free to find a new occupation which they will enjoy doing while they supplement their income.”

But the study shows about only one in five retired people find new occupations that allow them to generate earned income.

Other survey results include:

* 76 per cent of Canadians said they viewed CPP payments as either their primary or secondary source of income after they retire and 73 per cent said they intend to rely on their RRSPs.

* 62 per cent of respondents intend to rely on their employer pensions as their primary or secondary source of income.

* Younger Canadians (less than 50 years old) are more likely to expect to generate their own retirement income through employment earnings or investments, while retirees are more likely to rely on government pension payments.

* Only 22 per cent of Canadians said they are expecting an inheritance that will improve their financial situation.

* Retired Canadians were more likely to be confident of their ability to cope financially with an unexpected event in their life.

* Younger Canadians (under age 50) were more likely to be confident that their financial situation will improve over time.

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