Survey finds 83% of Canadians plan to change money habits as the economy remains uncertain

In the face of rising financial uncertainties, Calgary resident Jessica Wannamaker is helping her six-person household by zeroing in on one area she can control: food waste.

 

Faced with high price tags at the grocery store, the 37-year-old has recently turned to shopping at discount produce stores and repurposing leftovers into new meals.

 

“Food we used to toss is being turned into other meals,” she said.

 

Ms. Wannamaker is not alone. Higher prices, trade tensions and continuing economic uncertainty has many Canadians carefully retooling their household budgets.

 

The vast majority of Canadians plan to alter their financial habits in light of the current economic climate, according to a new Leger survey released Tuesday and commissioned by CPA Canada and BDO Debt Solutions. A whopping 83 per cent of those surveyed are changing their financial plans. Two-thirds are cutting back on spending, while about one-quarter of respondents said they’re prioritizing paying off debt.

One-third said they are in worse financial shape than a year ago. The online survey polled 1,590 adults across the country from Feb. 7 to 10. The survey does not have a margin of error because online polls aren’t considered truly random samples.

 

“The international climate is really causing a lot of uncertainty with Canadians,” said Li Zhang, financial literacy leader at CPA Canada. “Uncertainty is terrible for financial wellness, because it’s so hard to plan for your future.”

 

Tightening household budgets is a first step for many looking to curb spending, including Erin Spencer, a 30-year-old content creator based in Halifax who shares her finance journey online.

 

“I can’t control the fact that there’s going to be a trade war or that inflation is a thing,” she said. “So, what can I do to make sure I don’t get into a bad financial situation?”

 

For the first quarter of 2025, Ms. Spencer is only spending on essentials, such as rent and groceries. Lately, she’s been opting for free activities over shopping, including going on walks and window browsing.

 

When it comes to curtailing spending, Ms. Zhang says the first step is tracking your expenses. Next, she suggests listing them from most to least important. Then start cutting from the bottom of that list.

 

“It’s so personal for every individual,” Ms. Zhang said, noting that everybody has different must-haves.

 

As for which specific economic factors Canadians are most worried will affect their personal finances, CPA and BDO’s study found some generational divides. While 14 per cent of respondents aged 55 and older said political instability had the most impact on their personal finances, that was the case for only 4 per cent of those aged 18 to 34. That younger age range was more concerned about housing prices, but overall more optimistic about their financial prospects.

 

Ms. Zhang said this is likely owing to the fact that older Canadians’ time horizon for retirement is shorter compared to younger people who might have decades of work ahead of them and therefore more time to weather dips in the market.

 

Regardless of age, Ms. Zhang advises Canadians to have an emergency fund with six months of living expenses tucked away, in case of an unexpected job loss.

 

“An emergency fund can help you feel safe,” she said.

 

Once you reduce spending and accumulate more savings, Ms. Zhang says it’s time to focus on strategically paying off debt.

“The problem with debt is it always comes due,” she said. “You cannot ignore it.”

 

The survey found one consistent concern regardless of gender, age, or region: 76 per cent of respondents said the broader economic climate influences their feelings about their personal finances.

 

Ms. Wannamaker sees this directly while working as a cleaner and organizer for residential homes. Speaking with people from different socioeconomic backgrounds, including seniors, people with disabilities, doctors and lawyers, Ms. Wannamaker said lately no one is immune to rising costs: “Everybody is very highly aware of their wallet,” she said.

 

As for Ms. Spencer, she says she’s committed to addressing her debt: 40 per cent of her income goes toward that.

 

Even so, she’s made sure her finances still allow for things she deems essential – such as coffee pods.

 

“My life is over with a French press,” Ms. Spencer laughs. “I need my Nespresso pods to survive.”

 

 

 

 

This article was first reported by The Globe and Mail