The average Canadian family owes far more than it earns, according to a recent report.
The Vanier Institute of the Family’s Family Finances 2010 report finds that the average level of debt has reached $100,000 per family, and the debt-to-income ratio is a record 150%. This means that for every $1,000 in after-tax income that a Canadian family earns, it owes $1,500.
The figure includes mortgages, student loans, credit card debts and lines of credit.
Debt levels have been rising for the past 20 years, according to the institute. In 1990, the average family debt stood at $56,800, with a debt-to-income ration of 93%.