How Canadians are adapting to rising prices (hint: some are losing sleep)

Rise in the cost of living

Given that the cost of food is the top concern among Canadians surveyed — even more than housing costs — it's no surprise that many are trying to find ways to save a dollar or to cut costs.

Some of the most common strategies used to save a dollar, include:

• Dining out less (56%)
• Shopping at multiple grocery stores (45%)
• Opting for more budget-friendly food options (37%)
• Delaying large purchases (28%)
• Delaying moves (25%)

Nearly two thirds of respondents (63%) said the Bank of Canada rate cut in June wasn't helpful in advancing their personal financial situation and 64% said the cut in interest rates didn't improve their overall happiness.

Looking ahead to the future

The poll also found that 43% of Canadians expect economic conditions to get worse when it comes to the impact of inflation, while 34% of Canadians anticipate the national economy will fare worse in the short term.

But, in spite of ongoing pressures, more than half of Canadians (52%) expect the economic storm to pass and they remain optimistic about their financial future, indicating a resilient, longer-term outlook and fewer sleepless nights ahead.

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Tips for getting ahead

To help, experts at Simplii Financial offered a few tips for cutting costs and setting a budget:

• Shrink recurring expenses: Recurring costs, like insurance, loan interest, mobile bills or even bank fees, can be easy to forget, but renegotiating them or going no-fee could save hundreds of dollars each year.
• Park your car: The average annual cost of car ownership in Canada is in the tens of thousands of dollars so, whether you can get by with the occasional rental or other forms of transportation is worth some serious consideration.
• Focus on income: At the end of the day, cutting costs will only get you so far. Career development, higher education, a side hustle or even renting out a room in your home could increase earning potential and relieve the pressure on your wallet.

Survey methodology

The Simplii Financial poll was conducted by Ipsos where 1,150 Canadians aged 18 and over were asked a series of financial questions between June 21 and June 25, 2024.