Reducing Financial Stress in Canada: Essential Insights for Entrepreneurs and High-Net-Worth Families

Financial Planning

Sep 23

If you're feeling financial stress these days, you're certainly not alone. FP Canada's 2025 Financial Stress Index shows that over 40 per cent of Canadians rank money as their number-one stressor, significantly outpacing health, relationships, and work. For business owners and high-net-worth individuals, money stress can be especially complex, impacting family well-being, business decisions, and future planning.

Here are the key insights entrepreneurs and families can learn from this year's research and practical steps to manage and reduce financial stress:

1. Acknowledge What's Holding You Back

Financial anxiety isn't just about dollars and cents; it's about what's keeping you stuck. According to FP Canada's research, the main barriers to financial progress are the high cost of living, fear of making mistakes, and feeling like there's not enough money left after everyday expenses.

As a business owner, you likely face unique hurdles, from fluctuating cash flow to complex tax decisions. Recognizing your specific barriers is the first step toward regaining control and reducing stress.

2. Different Generations Have Different Challenges

Not everyone experiences financial stress in the same way. The research highlights younger Canadians struggle more with housing affordability and financial literacy, while those aged 35-54 are most impacted by inflation and rising living costs. For those 55 and older, concerns often shift to retirement, legacy, and health-related expenses.

For entrepreneurs and affluent families, these generational differences mean you'll need tailored strategies addressing the needs of aging parents, adult children, and even grandchildren. Clear, thoughtful financial conversations among family members can create alignment and reduce collective stress.

3. Action Beats Anxiety Every Time

Most Canadians (88 per cent) agree on one thing: proactive steps like saving, debt repayment, and having emergency funds reduce financial anxiety. But knowing isn’t always doing, especially when you're running a business, supporting family, or both.

Prioritize simple, achievable steps like reviewing your budget, organizing financial records, or setting realistic monthly savings goals. Even small steps create momentum toward greater financial control.

4. Professional Advice Brings Peace of Mind

Perhaps the most important takeaway from FP Canada's study is the significant difference professional financial guidance can make. Those working regularly with a financial planner report notably lower stress levels and higher optimism about their financial future. They're also far less likely to feel their financial actions won't make a difference.

Given the complexities involved in managing personal finances, businesses, family dynamics, and cross-border considerations, professional financial guidance is often essential, not just beneficial. A qualified financial professional simplifies complex decisions, brings clarity, and offers personalized guidance to help you meet your goals.

5. Financial Confidence is Possible at Any Stage of Life

Ultimately, FP Canada's research points to a hopeful conclusion: financial stress is common, but it doesn't have to define your experience. With the right approach, understanding your unique barriers, having targeted plans for generational differences, and collaborating with trusted professionals, you can experience greater financial confidence, control, and peace of mind.

As an entrepreneur or high-net-worth individual, reducing financial stress is not only achievable, it’s essential. Your peace of mind impacts your family, your business, and your legacy.

If you're wondering how these insights can help simplify your financial life, reach out to your advisor today.

Disclaimer: The strategies outlined in this article are intended for informational purposes only and do not constitute legal, tax, or financial advice. The suitability and effectiveness of any wealth transfer strategy depend on individual circumstances and objectives. Be sure to consult with your advisor and qualified professionals before implementing any planning approach.