The latest estimates from the distributions of household economic accounts reveal that net worth (wealth) decreased for a broad range of households in the second quarter, but especially for the most vulnerable, including the least wealthy (-12.0%) and households younger than 45 years (-8.2%). Reductions in wealth for the least wealthy were largely driven by higher-than-average increases in debt, while younger households (under 45 years) were affected more by declining real estate values, as these households tend to depend more on housing as a source of wealth than older households. Although a broad range of households are becoming increasingly indebted relative to the value of their assets, their ability to manage their debt payments, as measured by the debt-to-income ratio, remains stable.
The results presented in this release focus on the trends in wealth for an average household with different demographic and economic characteristics, including by age group and by wealth quintile, which is a measure of economic inequality that ranks all households by wealth, from lowest to highest, and then divides those households equally into five groups. It is important to recognize that not all households, even those with similar characteristics, necessarily experience the same economic situations. Unless otherwise stated in the text below, comparisons over time are based on the second quarter of 2022 relative to the first quarter of 2022. Households are grouped by age according to the age of the major income earner.
Contact information
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca) or Media Relations (statcan.mediahotline-ligneinfomedias.statcan@statcan.gc.ca).