Here's the Average Canadian TFSA and RRSP at Age 45

Here’s the Average Canadian TFSA and RRSP at Age 45

This TFSA is a great place to invest, so how do you stack up against other 45 year olds?

Amy Legate-Wolfe

Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Before joining Motley Fool Canada, she wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote: “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published April 7, 2025 4:10 pm EDT

| More on: CSU

Planning for retirement is a significant journey that many Canadians undertake. Often marked by a blend of hopeful anticipation for the future and a degree of uncertainty about the path ahead. When individuals reach 45, it’s common practice to take a careful look at their overall financial health, with a particular focus on key savings vehicles designed for retirement, such as the Tax-Free Savings Account (TFSA) and the Registered Retirement Savings Plan (RRSP). Understanding the average balances held in these accounts by individuals in a similar age range can provide valuable context and a useful benchmark for personal financial planning as one approaches their retirement years.

Silver coins fall into a piggy bank. — Source: Getty Images

How do you stack up?

Recent data shows that Canadians between the ages of 45 and 49 have an average TFSA balance of $21,177. This underscores the importance of making consistent contributions to this savings vehicle over time to build a substantial nest egg. However, it is crucial to recognize that individual TFSA balances can vary quite significantly. Based on a multitude of personal factors. These include income levels, spending habits, and the specific investment choices made within the account.

When it comes to RRSPs, the average balance for individuals in the slightly broader age range of 45 to 54 years old is reported to be around $150,300 Canadian. That’s with a median balance for this same age group being approximately $70,000 Canadian. The median value is often considered to offer a more accurate reflection of the typical retirement savings for many individuals as it is less likely to be skewed by the presence of a relatively small number of extremely high or extremely low account balances.

How to make more

Individuals might be actively seeking to bolster their retirement savings and enhance their potential for long-term financial security. Therefore, strategically investing in reputable and well-performing companies can be a prudent move. One such company that merits consideration is Constellation Software (TSX:CSU), a prominent and influential player within the dynamic software industry. Constellation Software specializes in the acquisition, strategic management, and ongoing development of vertical market software businesses. Its diverse and extensive portfolio spans a wide array of sectors. These include public transit systems, the hospitality industry, and the healthcare sector, demonstrating its broad market reach and adaptability.

In its most recent earnings report, Constellation Software showcased impressive and robust financial performance. For the fourth quarter alone, the company reported a significant 16% increase in its revenue, reaching $2.703 billion Canadian. When looking at the full year, the revenue increase was even more substantial, at 20%, totalling $10.1 billion. The net income attributable to the company’s common shareholders also saw a remarkable rise, with a staggering 102% increase in the fourth quarter. This amounted to $285 million and a healthy 29% increase for the entire year, totalling $731 million.

Investing in a company like Constellation Software can offer potential benefits for individuals who are aiming to enhance their retirement savings over the long term. The company’s consistent pattern of growth, its strategic approach to acquisitions, and its strong and well-established position within its diverse markets make it an attractive option for investors who are seeking long-term value creation and capital appreciation. However, as with any investment in the stock market, it is absolutely crucial for individuals to conduct their own thorough and independent research and carefully consider their personal risk tolerance before making any investment decisions.

Bottom line

Understanding the average TFSA and RRSP balances for individuals around the age of 45 provides a valuable benchmark for Canadians — especially as they assess their current retirement savings and overall readiness for their retirement years. These average figures can offer helpful insight and context. Yet it is essential to remember that individual financial planning should always be tailored to one’s unique personal circumstances, financial situation, and specific retirement goals. Incorporating strategic investments in well-performing and growth-oriented companies like Constellation Software may serve to further strengthen one’s retirement portfolio — potentially paving the way for a more secure and financially comfortable future in retirement.