Accounting For Aging and Retired Canadians
When people get older and retire, their accounting needs change, but their need for an accounting company doesn’t disappear. Accounting for elderly people is due to become a large part of what any accounting company can do for its clients.
As of 2018, 15% of Canadians are seniors (age 65+), and 29% are Baby Boomers, who are just hitting retirement age.
Per Monster.com, “With the oldest Baby Boomers hitting their 60s, a multibillion-dollar niche in accounting is developing to help seniors and their adult children plan for the future care of those who can no longer live independently.”
Older people have different financial goals and concerns than younger people. Retired people might be concerned about outliving their money, and are more focused on financial planning now and in the near future, rather than the distant future.
People of retirement age may also be looking at selling real estate and divesting themselves of assets to provide funds to live on. They are also more concerned about their estates, and having their money and assets being divided up exactly the way they want them to be after their death.
Retirement-age people tend to use healthcare more often, and for more expensive or involved procedures. This could be a facet of their financial picture; they might be looking at improving their health insurance situation, or even looking at doing financial planning for medical tourism (travelling to other countries to have procedures done).
Retired people also become Snowbirds—Canadians who spend a large part of the cold months in a sunnier climate like Arizona or Florida. Snowbirds have particular financial needs as well; they may need their bills taken care of for them in Canada while they’re away, and their tax situations might be more complicated with partial residency or real estate holdings in a foreign country.
Here’s a video with regards to whether or not you can afford to retire. This should give you some sense of where you stand and what you may need to discuss with your accountant.
Accounting firms can provide a number of services to retired clients, so they don’t need to get these services from multiple providers. This is a great benefit to older people, who may not have any interest in spending more time than they have to on their accounting/financial needs, and don’t want to have to deal with multiple companies. Shaw and Associates might be the only accounting company you need as you age.
Contact Shaw & Associates Chartered Accountants for accounting help you can count on. One complimentary meeting with us will put you and your business on a more profitable and positive path.