Canadians reduced alcoholic consumption has financial implications, writes Peter Watson.
A simple summertime cheers for many may now include water, soda pop on ice, or a warm cup of coffee or tea. People are learning to work with their budgets and not living beyond their means. Staying healthy for many now is also a top priority.
There are many reasons for a decline in alcohol sales, including the cost. Alcohol is expensive, and particularly so when purchased by the glass at a bar or restaurant. With the cost of living increasing, an easy expense to trim is alcohol.
Alcohol can be desired, but for most there are other expenses that have priority including housing, food, and other daily expenses. Having less to drink is an easy way to manage your spending.
Drinking has been under the public spotlight, and rightfully so, because of well-publicized car crashes caused by drunk drivers. Also, shifting public attitude in part because of police spot checks to find drivers under the influence.
Not surprising is there are fewer bars and night clubs in Canada than 25 years ago, despite our growing population. What is surprising is the significant total number of those establishments that declined during the last quarter century; from 9,000 to under 4,000.
Other costs include employees missing work because of drinking too much. There can be ongoing medical costs, especially for those that allow drinking to take control of their life and become alcoholics.
And finally, congratulations to our younger generation, they are leading the trend away from alcohol consumption.
Peter Watson, of Watson Investments MBA, CFP®, R.F.P., CIM®, FCSI offers a weekly financial planning column, Dollars & Sense. He can be contacted through www.watsoninvestments.com.
