Grade
Grade value
Results overall
A
I already see my money working for me.
55.9%
B
The plan is in motion and is being executed.
31.2%
C
I have a goal but unsure how to achieve it.
10.4%
Fail
I don’t know where to begin.
2.5%
Gen Z, however, doesn’t agree with the majority. While they have financial goals, achieving them is where the grade falls short. Over a third of Gen Z (37.2%) gave themselves a C—“I have a goal but am unsure how to achieve it.”
Using registered accounts for investing and saving
A registered account can be a good spot to hold cash, but it’s even better to hold investments there. Why? Because the growth is tax sheltered. Registered accounts in Canada include the tax-free savings account (TFSA), registered retirement savings plan (RRSP), registered education savings plan (RESP), first home savings account (FHSA), registered retirement income fund (RRIF), and registered disability savings plan (RDSP).
While 16.4% of those surveyed gave themselves a B for using their registered accounts as a savings vehicle, a whopping 78.5% gave themselves an A because they’re investing within their accounts.
Who hasn’t opened a registered account? Overall, 2.5% said they’re “failing” at registered accounts, as they’ve yet to open up an account. The majority of those respondents were Millennials (5.6%) and Gen Z (14%), compared to Gen X (2%), Boomers (1.9%) and Silent Generation (0.8%).
How financially literate are Canadians feeling?
Most Canadians polled (55.2%)—and the majority of every generation—gave themselves a B for financial literacy, indicating they felt “good” about their knowledge level.
Gen Z, interestingly, had the greatest variability between A, B, C and Fail grades.
25.6% chose A for “excellent”
37.2% chose B for “good”
30.2% chose C for “fair”
7% chose “fail”
So, it appears that Gen Z is pretty confident in their knowledge, despite their lack of confidence in paying off debt, as mentioned above.
Canadian financial report card
Canadians are feeling pretty confident with money and use of financial products, according to this MoneySense poll. There’s always room for improvement, but Gen Z’s responses show that despite feeling good about what they know, they need some help. And the older generations understand that the times have changed—financially speaking, of course.
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