Living Paycheque to Paycheque: Canadians Feel the Pressure Mount
As the cost of living continues to climb, more Canadians are finding it difficult to stay financially afloat. For many, each paycheque is already spoken for, leaving little room for error when expenses arise.
In fact, a new report from MNP LTD reveals that 50% of Canadians say they are just $200 or less away from being unable to cover their monthly bills and financial obligations.
The pressure is mounting, with a growing number of people also expressing stress over their ability to handle unexpected costs, like a car repair.
What is Paycheque-to-Paycheque Living?
Living paycheque to paycheque refers to a financial situation where an individual or household spends nearly all of their monthly income on essential expenses, leaving little to no money for savings or emergencies.
In this scenario, even a minor unexpected cost—such as a car repair, medical bill, or home maintenance—can create serious financial strain.
For Canadians in this position, planning for the future is difficult, and financial security often feels out of reach.
How Many Canadians Are Affected?
The scale of the problem is staggering. According to a recent survey by H&R Block Canada, 85% of Canadians now live paycheque to paycheque, citing rising costs as a barrier to saving.
This is a sharp increase from 60% who reported the same in 2024, highlighting just how rapidly financial pressures are intensifying across the country.
