BDO has put out its annual affordability index and it shows a growing number of people living paycheque to paycheque.

53% of Canadians are living cheque to cheque with 25% of people saying their debt is overwhelming. Senior Vice-President Donna Mihalcheon wasn’t surprised by the data, but she has a number of concerns. “49% can’t always cover their housing costs. More than a third can’t cover heat, water and other utilities and more than one quarter find it difficult to put food on the table. Those are the one’s that are really alarming to me.”

Mihalcheon says for people aged 35-54, almost 40% say they have no retirement savings. It’s up five per cent compared to 2018. “This significantly bothers me, is the number of people, boomers and seniors, that aren’t prepared for retirement. And even more, the number of boomers or seniors that have those same issues. Can’t provide for housing. 36% are having trouble with heat and water. 26 % with food and feeding themselves.”

Mihalcheon adds that 44% of people aged 35 to 54 are over $20,000 in debt. “About one third of BC residents have non-mortgage debt of more than $20,000, whereas that statistic is higher in the rest of Canada.” Mihalcheon says the first thing people should do is find out if they have a problem and talk to someone if you need help.