Even with inflation easing and interest rates starting to come down, many Canadians say it doesn’t feel any easier to get ahead financially. Instead, new cost pressures are making it harder to reach financial security.
A new national survey from Willful’s Great Delay 2025 Report finds that just 46% of Canadians feel optimistic about their financial future, down from 54% last year, even as typical cost-of-living indicators appear to be improving on paper.
More than half (58%) say the tough economy has forced them to delay major financial milestones in 2025. Wilful’s report shows sharp drop-off rates between the goals Canadians planned last year and what they were actually able to accomplish. For example, while 51% intended to pay down debt in 2024, only 26% did so this year.
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“These compounding pressures are chipping away at people’s sense of security. Even those who feel they’re doing ‘all the right things’ are finding it harder to stay optimistic about their long-term outlook,” Erin Bury, co-founder and CEO of Willful, told Money.ca.
New pressures are eroding confidence, even as inflation cools
This year’s drop in optimism comes despite softer inflation readings and a modest ease in borrowing costs. The headwinds now pushing against Canadian households look different — and in many ways are more direct.
Tariffs have emerged as a major pain point, with 53% of respondents saying tariffs have negatively affected their ability to budget for basics such as groceries and gas. The report also finds that expenses have grown by an average of 16.7% in 2025, adding new pressure to already-tight budgets.
Housing costs continue to weigh heavily, too. Nearly one in three Canadians (31%) saw their mortgage payments rise during renewals this year, a setback that many households were unable to absorb without adjusting other financial goals.
Bury says these compounding pressures are reshaping how Canadians approach their money. “Despite seeing a drop in interest rates and less pressure from inflation in 2025 vs. 2024, we’re seeing optimism drop because new financial strains keep piling on,” she said.
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Key milestones delayed — from debt repayment to wills
The largest delays this year appear in the financial tasks Canadians say they value most. Across debt repayment, savings, homeownership and estate planning, the data shows a consistent pattern: strong intentions in 2024 followed by sharply reduced follow-through in 2025.
- Debt repayment: 51% intended; 26% achieved
- Saving for the future: 49% intended; 30% achieved
- Buying a home: 18% intended; 4% achieved
- Making or updating a will: 36% intended; 9% achieved
- Completing POA documents: 17% intended; 6% achieved
For many households, short-term needs are overwhelming long-term goals. Nearly half (46%) dipped into savings to cover day-to-day expenses this year, while 37% report feeling financially worse off than they were in 2024.
Bury says these delays come with real consequences. “Delaying financial milestones means missing out on the most powerful financial tool at our disposal: time,” she said.
“Whether it’s putting off a home purchase, paying down debt, or completing a will, every delay has a ripple effect. It reduces wealth-building potential, limits future options, and leaves families more vulnerable in the event of an emergency.”
Estate planning is slipping — and families know the risks
Estate planning stands out as one of the areas where intentions dropped most sharply this year, despite broad awareness of the consequences.
The report shows that only 40% of Canadians currently have a will, just 24% have power of attorney documents, while more than a third (36%) have not discussed emergency or estate planning with their family.
Among Canadians surveyed:
- 65% agree that a parent dying without a will would cause family stress
- 53% say it would make financial and legal tasks harder
- 42% say it would make them anxious about their own financial security
- 31% say it would delay their own financial goals
Younger generations express even higher levels of concern, suggesting estate planning is an intergenerational issue rather than one limited to retirees.
The lack of preparedness also reflects ongoing gaps in financial literacy. “I didn’t learn about household budgeting, estate planning, or life insurance in school; and it’s also not something most of us discuss at the dinner table,” Bury said. She added that traditional financial education has not kept pace with the realities of modern financial life, from side hustles to digital assets. “Canadians can’t plan for the future if they don’t understand the tools available to protect it.”
As Canadians navigate compounding financial pressures, Bury says meaningful progress can start with manageable steps. “Start with small actions that have a big impact,” she said. “Whether it’s contributing a small amount to your RESP, TFSA, or RRSP, updating beneficiaries on registered accounts and life insurance policies, creating a will, or taking another small step on your financial to-do list, these small, intentional actions have a huge impact.”
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.