How does your RRSP compare to other Canadians? This guide breaks down average and median RRSP balances by age group to help you benchmark your retirement savings.
Average RRSP balance by age
The table below shows the average and median RRSP balances for Canadians with RRSPs by age group. The gap between average and median shows how high-balance accounts skew the data.
| Age Group | Average RRSP | Median RRSP | Participation Rate |
|---|---|---|---|
| Under 25 | $5,200 | $2,100 | 15% |
| 25 to 34 | $27,400 | $11,500 | 45% |
| 35 to 44 | $78,000 | $35,000 | 58% |
| 45 to 54 | $153,000 | $67,000 | 65% |
| 55 to 64 | $224,000 | $112,000 | 68% |
| 65 and over | $189,000 | $96,000 | 52% |
Note: These figures are for Canadians who have an RRSP. Participation rates show what percentage of each age group has any RRSP savings.
Key insight: The median is a better benchmark than the average. If your RRSP balance is at or above the median for your age group, you’re doing better than at least half of Canadians with RRSPs.
RRSP balance benchmarks by age
While RRSP balances vary widely based on income, career stage, and other factors, here are common benchmarks financial planners recommend:
| Age | Target RRSP Balance | Target as Multiple of Salary |
|---|---|---|
| 25 | $10,000 - $20,000 | 0.25× |
| 30 | $30,000 - $60,000 | 0.5× - 1× |
| 35 | $60,000 - $120,000 | 1× - 1.5× |
| 40 | $120,000 - $200,000 | 2× - 2.5× |
| 45 | $180,000 - $300,000 | 3× - 4× |
| 50 | $300,000 - $450,000 | 4× - 5× |
| 55 | $400,000 - $600,000 | 5× - 7× |
| 60 | $500,000 - $800,000 | 7× - 9× |
| 65 | $600,000 - $1,000,000 | 8× - 12× |
Important: These benchmarks assume RRSP is your primary retirement vehicle. If you have a defined benefit pension, significant TFSA savings, or other assets, your RRSP target may be lower.
How much Canadians contribute to RRSPs
| Age Group | Avg Annual RRSP Contribution | % of Contribution Limit Used |
|---|---|---|
| Under 25 | $1,800 | 12% |
| 25 to 34 | $4,200 | 18% |
| 35 to 44 | $7,500 | 25% |
| 45 to 54 | $9,800 | 28% |
| 55 to 64 | $11,200 | 32% |
Most Canadians contribute well below their RRSP contribution limit. The average unused contribution room is approximately $95,000 — representing significant tax-deferred growth opportunity.
RRSP vs total retirement savings
Your RRSP is just one piece of your retirement picture. Here’s how average RRSPs compare to total retirement savings:
| Age Group | Avg RRSP | Avg TFSA | Avg Pension Value | Avg Total Retirement Savings |
|---|---|---|---|---|
| 25 to 34 | $27,400 | $18,000 | $25,000 | $70,400 |
| 35 to 44 | $78,000 | $35,000 | $95,000 | $208,000 |
| 45 to 54 | $153,000 | $55,000 | $220,000 | $428,000 |
| 55 to 64 | $224,000 | $75,000 | $380,000 | $679,000 |
Pension value represents the estimated present value of defined benefit and defined contribution plans.
Why RRSP balances vary so much
Several factors explain the wide range in RRSP balances:
Income level: Higher earners contribute more and benefit more from the tax deduction. Someone earning $150,000 saves approximately $6,750 in taxes on an $18,000 RRSP contribution (at 37.5% marginal rate), while someone earning $50,000 saves approximately $4,500 (at 25% marginal rate).
Employer matching: Nearly 40% of full-time employees have access to employer RRSP matching. Those with matching programs have RRSP balances 60% higher on average than those without.
Self-employed vs employed: Self-employed Canadians tend to have higher RRSP balances as they don’t have employer pensions and RRSP is often their primary retirement vehicle.
Homeownership: Many Canadians withdraw early from RRSPs via the Home Buyers’ Plan (HBP), reducing their balances.
How to catch up on RRSP savings
If you’re behind on these benchmarks, here are strategies to accelerate your RRSP growth:
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Maximize employer matching — This is free money. If your employer matches 50% up to 6% of salary, contribute at least 6%.
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Use your unused contribution room — The average Canadian has $95,000 in unused room. Even catching up gradually helps.
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Contribute refunds back — When you get an RRSP tax refund, contribute it back to your RRSP or TFSA.
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Automate contributions — Set up automatic bi-weekly transfers that align with paydays.
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Spousal RRSP — If one spouse has a higher income, contribute to a spousal RRSP to income-split in retirement.