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Vishesh Raisinghani
Updated Mar 23, 2026
Most Canadians would consider $1.54 million the “magic number” for retirement savings, according to a BMO survey. Unfortunately, many are falling short of that goal.
As of 2023, the median household net worth for people aged 55 to 64 was just $873,400, according to Statistics Canada.
Meanwhile, about 20% of adults over 55 have less than $5,000 in savings, the Healthcare of Ontario Pension Plan reports.
If you’re over 50 or 60 with no nest egg, typical wealth-building strategies like career changes, long-term investing and slow-and-steady savings likely won’t get you to your goal.
But that doesn’t mean it’s impossible to retire comfortably. Here’s how to build wealth on a faster timeline.
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Save aggressively
With a short time frame, you’ll likely need to make bold moves to build up your savings. That could mean cutting back on spending, downsizing your home or even relocating to a more affordable area. Saving as much as 50% of your income may seem extreme, but it can help you reach a modest retirement goal faster.
According to SmartAsset, the median income of someone between 55 and 64 is about $1,563.13 per week, or $75,030 per year according to StatCan. Saving 50% of that gives you about $37,515 a year, or $3,126.25 per month.
Investing that $3,126.25 monthly in a low-cost index fund like Vanguard’s S&P 500 ETF (TSX: VFV) could help it grow significantly. The fund has delivered a 14.55% annualized return since its inception. If that performance continues, you could have $793,620 in 10 years.
Start by making contributions to tax-advantaged accounts, such as your Tax-Free Savings Account (TFSA) and Registered Retirement Savings Plan (RRSP). These accounts can hold low-cost exchange-traded funds (ETFs) like the one above.
Platforms like CIBC Investor's Edge makes it easy to build grow your retirement savings.
This self-directed platform allows you to stay in control of every decision, from what you invest in to how often you contribute. You can automate your growth by setting up a Regular Investment Plan to make automatic contributions at intervals that suit your budget—a simple way to stay disciplined without having to watch the market.
You’ll have access to a wide range of assets, including stocks, ETFs, mutual funds, and GICs, to build a diversified portfolio that follows long-term value rather than short-term noise.
It’s a low-fee way to stay invested, with commissions of just $6.95 per trade—or $4.95 for active traders—and no annual fees for your first year. To help your money grow more efficiently, CIBC waives annual fees if you hold over $10,000 combined across your registered and non-registered accounts.
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Side hustles
Starting a business or side hustle could help you increase your income enough to build a comfortable retirement within a decade.
It’s not an uncommon career choice. According to RBC, 51% of Canadians are considering starting their own businesses. While building a business has its risks, it also offers high potential and relatively low barriers to entry.
However, StatCan data shows that the "business survival rate for the goods-producing sector was 50.8%, compared with 35.2% for the services-producing sector" after 10 years in operation.
If going all-in feels like too much, a side hustle may be a better option. It’s more common and less risky. Nearly one in four (23%) of Canadians say they have a side hustle to supplement their income, according to H&R Block.
While a side hustle might not make you rich on its own, taking on high-skilled jobs like tutoring, interior design, public speaking or social media management could make a bigger difference.
For example, adding $1,000 more per month to your investments in Vanguard’s ETF could grow your 10-year nest egg from $793,620 to about $1,047,477.
If you’re saving some of your income from your side hustles, consider parking this cash in an account that pays you a higher interest rate than a regular savings account — so that your idle cash can continue to make you money.
For example, open a personal account with EQ Bank and in just a few minutes you get access to the best features of a chequing account combined with a high-interest savings rate.
When you fund your account and set up a direct deposit, you can earn 2.75% on every dollar deposited into the account.
The account has $0 monthly fees and no minimum balances. Plus, you can withdraw from any ATM in Canada — for free.
When you’re playing catch-up, every extra dollar counts.
Eliminate debt
The only thing worse than having no savings is having a negative net worth. Without a financial cushion, your loans and credit card balances are propped up by your income, putting you in a fragile financial position.
That’s why it's important to tackle your high-interest debt. Consider using the avalanche or snowball method to start knocking down your liabilities.
If you’re dealing with multiple high interest loans, consider consolidating your debt by taking out a single loan at a lower rate with Loans Canada. Instead of juggling multiple monthly payments, you'll have one predictable payment to manage each month.
This can both ease your interest costs and improve your credit score. You can shop for the most competitive interest rates on personal and debt consolidation loans, since Loans Canada specializes in comparing rates offered by different lenders.
You don’t need a minimum credit score or annual income to receive personalized loan offers.
If your debt is only a couple of thousand dollars and you want to clear it as soon as possible, consider looking into Mogo.
You can get a line of credit of up to $3,500, and the online pre-approval takes only 3 minutes. If you fill out their pre-approval form, you have no obligation to sign up for a loan, and it won't hurt your credit score.
The entire process — from pre-approval to funding — is completed online in minutes, so there’s no waiting days to be matched with a lender.
You can easily chat with specialists on the app, and you'll get alerts to remind you of your payments.
Cut costs
Every dollar spent overpaying on a monthly bill is a dollar not compounding in your TFSA or RRSP for your retirement.
For instance, auto insurance premiums have climbed 18.9% since October 2020, according to Statistics Canada.
This jump suggests you might be overpaying every month if you’ve simply just auto-renewed your policy.
While average annual premiums in Ontario hover around $1,927, for instance, many experienced drivers with good credit and a clean record can find rates closer to the $1,500 mark by shopping around.
By using a comparison platform like Rates.ca, you could potentially save $500+ by comparing 20+ quotes from top-rated auto insurance providers to ensure you aren't paying a hidden ‘loyalty tax’ to your current insurer.
Just answer a few basic questions, and Rates.ca will show you the most affordable deals in your area in as little as 3 minutes.
Not only is the process 100% free, but you could also potentially save 20% by bundling your auto and home insurance together.
If you have a pet, you know the costs can add up fast: food, grooming, toys and especially vet visits.
According to the Ontario Veterinary Medical Association, routine veterinary care for a dog can cost between $4,100 and $5,200 per year. And this doesn’t account for expensive emergencies.
That’s why paying for pet insurance often ends up being more affordable than paying out of pocket for surprise vet bills.
Instead of absorbing big, unexpected bills all at once, Petsecure² helps cover up to 80% of eligible vet bills, including taxes and exam fees.
Petsecure also offers four tiered plans depending on what you actually need — from essential coverage to unlimited accident and condition protection, plus dental and optional wellness care.
Sign up today and you can get 10% off your first year of pet insurance.
Vishesh Raisinghani
Contributor
Vishesh Raisinghani is a financial journalist covering personal finance, investing and the global economy. He is the founder of Sharpe Ascension Inc., a content marketing agency focused on investment firms His work has appeared in Money.ca, Moneywise, Yahoo Finance!, Motley Fool, Seeking Alpha, Mergers & Acquisitions Magazine, National Post, Financial Post and Piggybank. He frequently covers subjects ranging from retirement planning and stock market strategy to private credit and real estate, blending data-driven insights with practical advice for individuals and families.
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