BlackRock's first Canadian report finds employer plans deliver half of what participants expect
Canadian workplace plan participants expect the Canada Pension Plan or Quebec Pension Plan plus Old Age Security to supply 21.5 percent of their retirement income.
Surveyed retirees report 40.7 percent, a gap of 19.2 percentage points.
The comparison appears in BlackRock's 2026 Canada's Read on Retirement report, the first Canadian edition of the series, with October given as the source date for all data in it.
Retirees surveyed had a capital accumulation plan as their primary workplace plan at retirement, though some also held a defined benefit pension.
Employer-sponsored accounts run the other way.
Participants expect those accounts to supply 22.5 percent of retirement income; retirees report 11.4 percent.
Defined benefit pension income accounted for 17.7 percent of reported retiree income against an 11.1 percent expectation.
Part-time employment and real estate both came in far below expectations, while personal or non-workplace accounts were the only source where expectation roughly matched reality, at 24.9 percent expected and 23.1 percent reported.
Government benefits and pension income together made up 58 percent of the retirement income reported by surveyed retirees.
Of participants surveyed, 74 percent struggle to understand how today's retirement savings will support them in the future, 65 percent are unsure how to calculate how much they will need to spend in retirement, and 54 percent said they have not given much thought to how their savings will support them.
The report asks plan sponsors to consider whether participants can easily understand what current savings could translate into in retirement, how workplace savings fit alongside other potential sources of retirement income, and how changes in contributions or retirement timing could affect the outcome.
Retirement spending and withdrawal-planning tools would be helpful, according to 83 percent of participants, while 81 percent would like greater access to a financial professional for retirement-plan guidance.
Among participants, 78 percent would find it helpful to have their assets automatically reallocated to investments appropriate for their age.
The survey found 92 percent would feel more at ease if their retirement investment approach evolved over time, and 90 percent would feel more confident if their plan were designed to smooth financial ups and downs over their lifetime.
Preference for professional management of workplace plan investments rose with age, from 43 percent of Gen Z and 42 percent of millennials to 54 percent of Gen X and 60 percent of boomers.
The report lists asset allocation, investment risk, rebalancing and responses to changing market conditions as decisions that could instead be simplified through plan and investment design.
Of all participants, 78 percent said they would save more if they were more confident their investment strategy could help them reach their retirement goals.
Among participants, 74 percent expect they may need to contribute less to their retirement plan over the next 12 months, with 62 percent citing rising living expenses, 45 percent supporting family members and 43 percent paying off existing loans.
Only 26 percent said they do not expect to reduce contributions.
Higher inflation and market volatility have made it harder to stay on track, according to 77 percent.
Overall, 61 percent of participants said they are on track to retire with the lifestyle they want and 68 percent said they worry about outliving their savings.
"Confidence, it turns out, is not the same thing as feeling secure," Katherine Tweedie, Canada country head at BlackRock, and Nick Nefouse, global head of retirement solutions and head of LifePath at BlackRock, write in the report's foreword.
