June 12, 2013
A large number of Canadians are not paying attention to the "gap" between their healthy life expectancy and their overall life expectancy, according to "
Mind the Gap: What Canada's Baby Boomers Need to Know to Protect Themselves
," a special report produced by RBC Wealth Management. The "gap" refers to the increasing number of Canadians who are now living nine to 11 years past the time they are considered "healthy." As a result, these baby boomers must address certain vulnerabilities that they may face.
"These changing demographics present challenges that we haven't seen before in
, head of RBC Wealth Management Services. "Specifically, while we have always been keenly aware of the financial vulnerabilities faced by persons over the age of 65, our concerns lie equally with the growing demographic of Canadians who will no longer be able to manage their own financial affairs due to health issues. This means an increased need for resources and concern for those who have not planned for the possibility that they may be unable to act or make decisions for themselves. There is a growing urgency around this issue and Canadians need to be aware of it so they can plan ahead."
While the consequences of this gap have broader societal, health and legislative implications, "Mind the Gap" focuses on the financial wellbeing of Canadians who comprise this growing population.
"Without question, creating a Power of Attorney (POA) is a prudent course of action," said Maiorino. "While the document itself is an essential estate planning tool, of equal importance is who will take on the role. Appointing the most appropriate person or people to take on the role of attorney is a vital decision."