The article explores the growing challenge many Canadians face when trying to support aging parents while still saving for their own retirement.It follows the example of Sophia and Carmen, a Montreal couple in their mid-50s who had planned to retire in their early 60s and enjoy travel and leisure.

However, as both sets of their parents require increasing levels of care, including support for dementia and mobility issues, they find their retirement plans under pressure due to both time demands and out-of-pocket costs.

Financial experts from CIBC highlight that this situation is increasingly common, with research showing that 63 per cent of Canadians over 30 already provide or expect to provide financial support to aging parents.Nearly half of caregivers report spending around $5,000 annually, and these costs are expected to rise with inflation.This creates a dual financial strain, as individuals must simultaneously plan for their own retirement while supporting older family members.

The article stresses the importance of early, open conversations within families about caregiving responsibilities, available parental assets, insurance coverage, and potential gaps.However, only about 40 per cent of families currently engage in these discussions.

Financial planners are presented as key supports in helping families model different scenarios, assess risks, and integrate caregiving costs into long-term retirement planning.

Practical strategies include creating a dedicated caregiving budget, establishing an emergency reserve for unexpected costs, and using financial tools to simulate different retirement and care scenarios.Experts also emphasize the importance of balancing priorities so that supporting parents does not undermine one’s own retirement security.

Ultimately, careful planning, professional advice, and family collaboration are framed as essential to reducing stress and ensuring both generations’ core needs are met.