The concept flared up once more round 2017, making private finance headlines and going viral on social media. Minimalism gained traction, and younger Canadians sought out work-life stability and monetary freedom. Past its true adherents, FIRE stays a extremely clickable matter. Who isn’t interested by the opportunity of retiring many years forward of schedule?
Era Z and millennials are all about discovering monetary independence—not only for early retirement however for flexibility and monetary safety. However whereas the aspirations could also be there, actuality has its personal plans. A brand new examine by advisory agency Edward Jones reveals Canadians are feeling the strain of the excessive value of residing and mounting debt. Fewer Canadians plan to contribute to their retirement financial savings this 12 months (39%, down from 49%). Younger Canadians 18 to 34 present the most important drop, with simply 41% planning to contribute, down 19% from final 12 months.
Calgary-based licensed monetary planner Russ Dyck says that, in his expertise, his Gen Z shoppers benefit from the work they do. They’re much less targeted on retiring early however as an alternative on constructing a stable monetary basis for any worst-case eventualities, akin to a job loss. They search some mixture of safety and suppleness.
So, the query in 2025 is: Is a few model of FIRE attainable for younger Canadians, or has the rising value of residing turned it into yet one more monetary pipe dream? Let’s discover out.
Get free MoneySense monetary suggestions, information & recommendation in your inbox.
The associated fee-of-living squeeze
In 2025, Gen Z and Millennials in Canada are feeling the price of residing climb, making saving and investing a wrestle. The dream of residence possession stays a far-fetched objective for a lot of with the common residence priced at $670,065—a 1.1% enhance from 2024. And lease isn’t low cost both, at a median $2,152 a month (count on greater figures in main cities).
This retains residence possession out of attain for a lot of, forcing extra younger Canadians to lease or keep at residence longer. Not solely may grocery costs go up one other 5% this 12 months however residents of jap Ontario and Quebec may wind up paying $15,000 extra for requirements, like meals, housing and utilities than final 12 months as inflation, housing shortages, a weaker greenback, and world tensions—together with the U.S.’s implementation of 25% tariffs—drive up prices.
Younger Canadians are feeling the monetary squeeze. A survey by the Healthcare of Ontario Pension Plan discovered that 69% of Canadians below 35 are most involved in regards to the prices of day-to-day bills, whereas 51% report residing past their means—and never by alternative. With pupil debt additionally holding them again, many wrestle to avoid wasting for the longer term, delaying milestones like residence possession and rising retirement financial savings.
A couple of technique to FIRE
Given these bleak statistics, Dyck says strict FIRE isn’t possible for many Canadians.
