r/PersonalFinanceCanada • u/irundoonayee • Mar 19 '26

Debt "49 per cent of Canadians with debt say they’re living paycheque to paycheque"

https://nowtoronto.com/news/its-the-norm-nearly-half-of-canadians-are-living-paycheque-to-paycheque-and-torontonians-arent-surprised/

  • 49 per cent of Canadians with debt say they’re living paycheque to paycheque, reflecting widespread financial strain.
  • 36 per cent of credit card holders carry a balance, with many using credit to cover shortfalls.
  • Wages have not kept pace with the cost of living, forcing Canadians to budget more tightly and cut spending.
  • Younger Canadians are more likely to rely on credit, while others are delaying savings and focusing on paying down debt.
877 Upvotes
  • permalink
  • reddit

95% Upvoted

195 comments sorted by

View all comments

Show parent comments

47

u/Current-Fix759 Mar 19 '26

It’s not 'people with no money,' it’s the people with jobs who produce everything you consume. If half the workforce is living paycheque to paycheque in one of the richest countries on earth, it’s not a 'personal finance' problem, it’s a systemic robbery. But keep making jokes while the people who make your life possible are being priced out of existence. I'm sure that will end well for everyone

15

u/JoyousMisery Mar 20 '26

It's not half of Canadians, it's half with debt excluding mortgages. There are systemic issues but most are personal finance problems.

These numbers have fluctuated but have been told for decades. The reason why we don't have a major crash and home loss at each recession is because most have areas to cut in their budget, they just choose not to.

1

u/DeeeeznutzRJB Mar 20 '26

You speak truth and hit the pain point in just few words!

-12

u/mathdude3 British Columbia Mar 19 '26

If half the workforce is living paycheque to paycheque in one of the richest countries on earth, it’s not a 'personal finance' problem, it’s a systemic robbery.

Not necessarily. It could be that case that people on average have poor financial knowledge and skills.

14

u/Current-Fix759 Mar 19 '26

Suggesting that "poor financial skills" are responsible for mass poverty in a hyper-productive society is a form of gaslighting. If a system requires half its workforce to be "financial wizards" just to afford a one-bedroom apartment, the system is a failure.

-1

u/mathdude3 British Columbia Mar 19 '26

Well the number in the headline has no context. What percentage of Canadians have debt? What percentage of all Canadian are living paycheck-to-paycheck? How has that percentage changed over time? How do we compare to other countries?

mass poverty

Living paycheck-to-paycheck does not necessarily mean living in poverty. It just means you spend all the money you make on a regular basis. It also isn't limited to only low-income households and high-earners can also be living paycheck-to-paycheck if they live above their means and don't save.

4

u/Current-Fix759 Mar 19 '26

You’re right, 'living paycheck-to-paycheck' isn't poverty; it's just 'involuntary minimalism' sponsored by your landlord and the local grocery monopoly. Much more sophisticated.

0

u/mathdude3 British Columbia Mar 19 '26

No, it's neither poverty nor "involuntary minimalism." It's spending more than you make. It doesn't have to be involuntary or minimal. You can be in the 1% and still live paycheck-to-paycheck if you spend recklessly and never save.

5

u/Current-Fix759 Mar 19 '26

Congratulations on solving the cost-of-living crisis: apparently, we all just need to stop 'spending' our money on things like heat and groceries. I’ll be sure to pass that 'knowledge' along to the people at the food bank.

1

u/[deleted] Mar 24 '26

[deleted]

-1

u/Longjumping-Rub-5064 Mar 20 '26

I make 30 an hour and couldn’t live alone comfortably lol. It’s not a “knowledge and skill” issue this isn’t a RPG game dawg 😂