Rise of the ‘Late Financial Bloomers’

Research6 suggests a new group of consumers – Late Financial Bloomers – are set to change the face of retirement.

Marriage and divorce

A series of socioeconomic factors, including later home ownership, are the main drivers behind this shift. Marriage and divorce trends are also key contributors: on average, first marriages now take place four years later than they did 20 years ago; similarly, divorce rates peak 20 years later than they did two decades previously.

Childbirth plays a role too. More women over 40 now give birth each year than those under 20, which means a growing proportion of the population will be supporting children through education later in life rather than focusing on retirement planning.

Plan ahead

Currently, Late Financial Bloomers account for just 6% of retirees, but this figure is set to rise significantly over the next 15 years. This shift towards later financial security means more people will face complex retirement journeys, thereby increasing the need to plan ahead.

6Canada Life, 2021