The top retirement mistakes Canadians make

One of the biggest mistakes Canadians make is not saving enough for retirement. According to a recent study, more than a quarter of generation Xers have saved nothing for retirement.

There are a number of reasons why people don't save enough for retirement. Some people think they will never retire, or that they will have to work part-time in retirement. Others simply don't know how much they need to save.

The first step to ensuring a comfortable retirement is to start saving early. The sooner you start, the more time your money has to grow. Even if you can only save a small amount each month, it will add up over time.

Another mistake people make is not taking advantage of employer-sponsored retirement savings plans. If your employer offers a defined contribution pension plan or a Group RRSP, make sure you are contributing enough to take advantage of any employer matching contributions.

Another way to boost your retirement savings is to take advantage of government-sponsored retirement savings plans like the RRSP or a TFSA in Canada. You can contribute up to 18 percent of your previous year's income to an RRSP, and the government will give you a tax refund on your contributions.

Finally, don't forget to plan for inflation. When you retire, you will likely need more money than you do today to cover the same expenses. Make sure your retirement savings plan takes inflation into account so you don't outlive your money.

Saving for retirement may seem like a daunting task, but it's important to start early and make smart decisions with your money. By following these tips, you can ensure a comfortable retirement.

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