Getting aid with debt

News that Atlantic Canadians — compared to other Canadians — remain light on savings and heavy on debt will likely surprise no one.

Still, results from the latest Canadian Payroll Association’s annual national survey on debt, savings and retirement underscore the ongoing value of strengthening financial literacy in this region.

The CPA’s ninth annual survey (though just the sixth with regional breakdowns) was released Wednesday.

The data showed an alarming 44 per cent of Atlantic Canadians felt overwhelmed by debt, the highest percentage in the country.

On a related note, 55 per cent of people in the region reported having to live paycheque to paycheque. The same percentage say they spend all, or more, of their net pay.

More than half of Atlantic Canadians (56 per cent) save just five per cent or less of their earnings, the lowest savings rate nationally. That’s half (or less) of the 10 per cent financial experts usually recommend.

There’s no question many people in Atlantic Canada, relying on inadequate incomes, find they are hard-pressed to simply make ends meet, never mind reducing debt or putting aside savings.

At the same time, many people fall on tough times but not everyone manages their personal finances as wisely as they could, either.

Though financial literacy is embedded in school curriculums mathematics, social studies and other subjects, including select high school courses - at least some Nova Scotians still struggle with concepts like monthly budgeting, different types of debt and paying yourself first.

What’s important for anyone drowning in debt to realize is that there’s help out there.

The province, through Service Nova Scotia, offers a Debtor Assistance program for people failing to keep up with debt payments.

The program offers to set up a meeting with a licensed expert who, at no charge, can review people’s situations and discuss possible options to help them deal with their debt problems.

Meanwhile, one of the survey’s other most sobering findings is that 21 per cent of Atlantic Canadians — the highest rate nationally — have saved nothing for retirement. Given our population is generally older than the rest of the country, that suggests a substantial number of seniors here face a bleak future.