What do you want to do when you retire? I'd be willing to bet that right now you're thinking that you'd like to enjoy life, travel, spend time with friends and family, and just relax knowing you don't have to report to anyone anymore, well except maybe your spouse :-) If you're lucky, you'll have your home paid off, hopefully have no car payment, and if all goes well, you'll have enough of a pension to live well.
What if you end up with only enough pension income to maintain life as-is with little possibility of saving for a vacation? Unfortunately, this is reality for most of us. The Government will pay you CPP of less than $1,000 per month, and when you reach 65, you'll get another pittance in the form of OAS and you might reach a total income of $1,500 per month. Even if you have managed to pay off your mortgage, you'll still have to pay utilities and of course taxes that the local Government will be only too happy to take from you. You'll have a good life of course, and it is great that we can enjoy a pension or two, but your income will be no where near it was when you were working. Being able to save some money to enjoy a vacation or get away to a cottage will be a difficult prospect, to say the least.
Think of this...if you are under 55 now, you could easily afford to purchase a share in Frontenac Shores and have it paid off by the time you retire. You could be living on a fixed income, but able to go to Frontenac Shores for 5 weeks per year! No work, no worries, just relax.