$1 million isn’t what it used to be — and for Canadians, the number you need for financial freedom might surprise you

That’s why tracking your net worth against the national average and different percentiles can give you a clearer picture of your progress toward financial freedom — and your real retirement readiness. A million dollars in savings might sound impressive. But after you run the numbers, it may not be as secure as it seems.

A big part of that discussion is retirement. Although a million dollars might seem like remarkable financial success in your 20s, or even 30s, it’s a different story when you retire and still have another 20 or even 30 years ahead of you. According to BMO Financial Group’s 2026 Annual Retirement Survey, the average Canadian believes they’ll need $1.7 million to comfortably retire — up from $1.54 million the year before. And more than 1 in 3 Canadians (36%) say they’re unlikely to reach that target.

These numbers mean it’s important to know where you stand today, so you can plan for where you want to be tomorrow. With that in mind, here’s what the latest data says about what it takes to be in the top 10% of Canadian families — and how to start closing the gap.

Canada’s top 10%

Statistics Canada’s Survey of Financial Security (SFS), a national survey on the assets and debts of Canadian families, is one of the most reliable sources of data on household wealth in the country. According to the most recent results from 2023, the median net worth of Canadian families was $519,700. That means if your household’s net worth is above that figure, you’re doing better than half of all Canadian families.

The numbers vary significantly by province. Families in British Columbia had the highest median net worth at $773,500, while Ontario families came in at $665,600. At the other end of the spectrum, New Brunswick had a median of $286,200.

To break into the top 10% of Canadian families by wealth, you’ll need a net worth of at least $2 million, according to the Parliamentary Budget Officer’s (PBO) 2025 update to its High-net-worth Families Database (HFD). The information is drawn from StatCan’s SFS and surveys like Maclean’s 2024 list of Canada’s wealthiest.

The same PBO report found that the top 10% of Canadian families collectively hold 53% of total net wealth in the country, while the top 1% alone hold 24%. Meanwhile, the middle 40% of families share about 27.6% of national wealth, and the bottom 40% hold just 3.3%.

So if you have a net worth above $2 million, you’re genuinely among the affluent. Your family likely enjoys greater access to housing, education and opportunities than the vast majority of Canadians.

Another point worth noting: Total Canadian household net worth reached $18.6 trillion in the first quarter of 2026, according to StatCan — an increase of 1.3% from the previous quarter. However, that aggregate wealth isn’t evenly distributed, which is precisely why tracking your individual net worth is crucial.

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Wealth is a moving target

Every year, Canada’s wealthiest families tend to get even richer. At the same time, the cost of living keeps rising.

Between 2021–2025, the S&P/TSX Capped Composite Index — Canada’s primary benchmark for the domestic stock market — has delivered a total return (including dividends) of roughly 124%, with an annualized return of around 17.5% over that period. That gave the portfolios of many affluent Canadian families a meaningful boost, raising the bar for what it takes to stay in the top 10%.

Meanwhile, Statistics Canada reported the consumer price index (CPI) rose 2.1% on an annual average basis in 2025. While that’s the smallest annual average increase since 2020, cumulative inflation over the past five years has reached nearly 20% — meaning your dollar buys significantly less than it did in 2021.

Taking all of this into account, maintaining your position among the wealthiest Canadians means more than just keeping pace with inflation. It requires investment growth that outstrips the rising cost of living and the rising wealth of those already ahead of you.

For most Canadians — the broad middle band of earners — reaching the $2 million threshold may take a lifetime of disciplined saving, savvy investing and, for some, a well-timed inheritance or successful business outcome. But it doesn’t have to be done alone. Finding a qualified financial adviser during the early stages of your wealth-building journey could make a meaningful difference — especially if your net worth is approaching or at the Canadian median of $519,700.

Look for a certified financial planner (CFP) or chartered financial analyst (CFA) registered with your provincial securities regulator, such as the Ontario Securities Commission (OSC) or the Autorité des marchés financiers (AMF) in Québec.

A slow and steady approach

If you’re still in your younger years, one of the most reliable paths to building wealth is a slow and steady approach to investing. For many, consistently putting a little money aside into a broadly diversified, low-cost investment — like an index fund — is the easiest way to start building a nest egg.

It’s also a strategy championed by investing legend Warren Buffett, the former CEO and current chairman of the board of Berkshire Hathaway.

“My regular recommendation has been a low-cost S&P 500 index fund,” Buffett wrote in his 2016 letter to Berkshire Hathaway shareholders.

Buffett applies this advice to his own family. “One bequest provides that cash will be delivered to a trustee for my wife’s benefit,” he wrote in Berkshire’s 2013 shareholder letter. “My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund.”

For Canadian investors, Buffett’s advice translates well. You can access equivalent exposure to the S&P 500 — or the Canadian market — through low-cost exchange-traded funds (ETFs) listed on the Toronto Stock Exchange (TSX). Options include the iShares S&P/TSX Capped Composite Index ETF (TSX: XIC) and the BMO S&P/TSX Capped Composite Index ETF (TSX: ZCN), both of which offer broad exposure to roughly 225 of the largest Canadian companies at low annual fees.

Even better: These ETFs can be held inside a Registered Retirement Savings Plan (RRSP) or Tax-Free Savings Account (TFSA), which both offer powerful tax advantages. Contributions to an RRSP are tax-deductible, reducing your taxable income today — and growth is tax-deferred until withdrawal. A TFSA, meanwhile, offers completely tax-free growth and withdrawals at any time.

If you’re just getting started and aren’t sure how to invest, Canadian robo-advisors offer an easy, automated way to build a diversified portfolio without needing to pick individual stocks.

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A passive-income play

With housing prices elevated across many regions in Canada, real estate remains one of the most intuitive wealth-building tools — and it’s one that Canada’s wealthiest families know well. Baby boomers in particular have benefited enormously: According to StatCan’s 2023 SFS data, the median value of family homes was $500,000, with families aged 65 and older boasting a median net worth of over $1.1 million — much of it tied to real estate.

Buying into the property market has become progressively more difficult for many Canadians, particularly first-time buyers. But homeownership isn’t the only way to benefit from real estate. Real estate investment trusts (REITs) — publicly traded companies that own income-producing properties — allow investors to participate in the real estate market without a down payment or landlord responsibilities.

Canadian REITs can be purchased on the TSX and held inside an RRSP or TFSA, combining the passive income potential of real estate with the tax advantages of registered accounts.

A time-tested hedge

Once you’ve established your wealth, protecting it is the next priority. One of the most historically reliable tools for doing so is investing in gold.

The precious metal tends to hold its value during economic downturns and can serve as a hedge against inflation and currency volatility — both of which are particularly relevant for Canadians, given the loonie’s sensitivity to global commodity prices and U.S. monetary policy.