Summer spending habits of Canadians shift towards savings, as per a recent survey.

Summer spending habits of Canadians shift towards savings, as per a recent survey.

Summer Squeeze: Canadians Choose Saving Over Spending Amid Economic Struggles

In a groundbreaking survey conducted by Ipsos on behalf of CIBC, a staggering 88% of Canadians admit to being anxious about the escalating cost of living disrupting their summer plans.

This poll, which questioned 1,500 adults aged 18 and above, reveals a nation grappling with financial worries as they look to navigate summer on a tight budget.

"In these troubling economic times, cost-conscious decisions are shaping the spending habits of Canadians," comments Carissa Lucreziano, Vice-President of Financial Planning and Advice at CIBC. "It's no surprise that many Canadians are actively seeking ways to maximize their financial resources during the summer while avoiding unnecessary financial drains."

The respondents highlighted that their primary expenditure this summer will be on everyday necessities, such as gas and groceries, a testament to their commitment to financial prudence.

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Here's a breakdown of the key findings from the report:

• 67% of respondents prioritize saving over spending this summer
• 46% are making a conscious effort to reduce daily expenses
• 30% are postponing big-ticket purchases
• 65% are opting for local vacations rather than international travel
• 14% plan to jet off to the U.S.

The survey also reflects a sense of pessimism among Canadians about the overall economy:

• 76% report that saving money is becoming increasingly difficult
• 72% perceive the current economic climate negatively
• 68% express concerns about interest rates

However, despite these financial pressures, the poll indicates that Canadians are determiningly set to face their financial challenges, with 65% feeling well-prepared to manage their expenses.

To combat the financial hurdles, respondents are preparing to reduce daily spending, tighten their budgets, take advantage of deals, and create local experiences to have a budget-friendly summer.

Lastly, the survey data suggests a few strategic approaches for Canadians to weather the storm of economic uncertainty:

1. Scale Down Discretionary Spending: Focus on essential expenses while cutting back on non-essential expenditures.
2. Boost Income: Look for alternative income sources, such as freelancing or part-time work.
3. Maintain Credit Health: Monitor credit utilization and payment history to maintain a strong credit score.
4. Save and Invest Wisely: Direct funds towards savings and opt for stable investment options.

By adhering to these strategies, Canadians can better navigate their finances during tough economic periods.

1. Many Canadians are prioritizing saving over spending this summer, as seen in a survey conducted by Ipsos on behalf of CIBC.
2. To save money, 46% of respondents are reducing their daily expenses, while 30% are postponing big-ticket purchases.
3. Instead of going on international vacations, 65% of Canadians are opting for local trips due to economic constraints.
4. To weather the storm of economic uncertainty, Canadians can consider scaling down discretionary spending, boosting income, maintaining credit health, and saving and investing wisely.

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