New numbers from TD Bank are painting a grim financial picture for Albertans.
According to the report, nearly 50 per cent of those surveyed are not feeling positive about their current financial situation with around 73 per cent saying inflation and the rising cost of living are their biggest financial hurdles in 2024.
The University of Lethbridge’s Dhillon School of Business says they are not surprised by the numbers.
“We’re carrying more debt as a province, as individuals in the province, and when cost of living goes up in the form of inflation and when interest rates go up, the cost of servicing those debts increases,” says Dr. Vishaal Baulkaran, associate professor of finance.
The survey also showed 44 per cent of Albertans are planning to reduce their spending by up to $500 per month this year with 83 per cent hoping to make fewer retail purchases.
Meanwhile, 57 per cent promise to eat out less to cut back and 59 per cent added they will be more thrifty when shopping.
One financial adviser says surveys like this one can help people take notice of their own financial situation.
“That might be the push that pushes the general public to pay more attention, take the finances more seriously, and then look at their spending,” says Kevin Kranzler, financial adviser with Kranzler Financial Services.
TD has some useful tips for those looking to dig themselves out of a financial hole.
“Understanding your cashflow, understanding what your sources of income are, and then really trying to get a view of what the line items of your budget are and what you’re spending each month,” says Emily Ross, vice-president of Everyday Advice Journey at TD Bank.
One thing that might not be in that budget is entertainment, with the survey showing 55 per cent plan on spending less on that night out.
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