Canada has been named one of the most expensive countries to retire in.
A new report released by Swedish loan and mortgage comparison firm Sambla has placed Canada among the top 10 most expensive countries for retirees.
The study, which lists the 20 priciest countries to retire in, put Canada in sixth place behind Switzerland, Monaco, Qatar, Singapore, and Liechtenstein. Australia, Iceland, Austria, and France rounded out the top 10.
Sambla created its ranking system by collecting cost-of-living figures for 100 countries. The stats, which did not include rent, were then compared against each country’s retirement age and average life expectancy. That comparison allowed the firm to estimate how much money an average citizen would need to retire in their corresponding country.
The report estimated the cost of living without rent in Canada each month to be approximately $1,100.
With an average retirement age of 60 and an average life expectancy of 83, Sambla concluded that Canadians would need to save approximately $300,500 to retire if housing was already paid for.
Conspicuously absent on the list of the 20 most expensive countries to retire in was Canada’s neighbour, the United States.
While the U.S. is a cheaper place to retire to, it didn’t rate as highly as Canada in the 2023 Natixis Global Retirement Index. Neither North American country placed in the top 10 for global retirement security, but Canada consistently ranked ahead of its southern neighbour in all categories.
The index, which is compiled each year by Natixis, a French firm specializing in wealth management, ranks 44 countries in 18 categories within four main themes: health, quality of life, material well-being, and finances in retirement.
Canada placed 10th in the finances in retirement segment while the United States placed 13th. For material well-being, Canada took the 19th slot, just two ahead of the United States in 21st place. In health, Canada was well ahead, coming in at No. 13 compared to No. 25 for the United States, while Canada took 17th for quality of life, four spots ahead of the United States, which ranked 21st.
The index gave Canada 12th place overall while the United States was relegated to 20th.
Canada’s 2021 Census revealed that the poverty rate of Canadians aged 65 and older was less than 5 percent, lower than any other age group in the country, and roughly half the poverty rate for U.S. seniors.
