Cost of living is an important factor to consider when immigrating to Canada.
Where you live in Canada can affect the cost of housing and other living expenses, which can influence how much money you have available each month to save, invest or spend on non-essentials such as entertainment, dining out, vacations, etc.
Whether you have to spend everything you earn to pay for living expenses or you have plenty of money left over each month can impact overall quality of life.
This article will discuss the highest cost of living in Canada by province, so keep reading to learn more!
Table of Contents
Understanding the Cost of Living
The “cost of living” is the amount a person must pay each month to cover basic living expenses in a particular location.
Factors that affect the cost of living:
- Housing;
- Utilities;
- Food;
- Transportation;
- Healthcare;
- Taxes;
- Education/Childcare; and
- Other Personal Expenses.
Highest Cost of Living in Canada by Province:
Impact of High Cost of Living on Quality of Life
British Columbia is the most expensive province in Canada to live in.
For example, the Numbeo.com website reports that the cost of living in Vancouver excluding housing is about $1,449 CAD per month for a single person or around $5,283 CAD per month for a family of four.
Numbeo.com also reports that the monthly rent in Vancouver’s city center for a one bedroom apartment is about $2,599 CAD and for a three bedroom apartment it is around $4,660 CAD, while the monthly rent outside of Vancouver’s city center is about $2,197 CAD for a one bedroom apartment and is around $3,625 CAD for a three bedroom apartment.
Thus, a single person living outside of Vancouver’s city center in a one bedroom apartment would need a net income (after taxes) of about $3,646 CAD per month for housing and basic living expenses, whereas a family of four living outside of Vancouver’s city center in a three bedroom apartment would require a net income of around $8,908 CAD per month for housing and basic living expenses.
Individuals who work in Vancouver generally earn good salaries and can afford the higher cost of living there.
Some people living in Vancouver, however, need to get a roommate, while in other situations both spouses/partners have to work in order to pay for basic living expenses.
It is worth noting that Vancouver was ranked as the #5 Most Livable City in the World for 2023 by the London-based Economist Intelligence Unit (EIU) out of 173 major cities evaluated worldwide.
Furthermore, the 2.6 million people who live in the Vancouver metro area generally enjoy a high quality of life, but they have to pay a lot for it.
Some people seek a lower cost of living in British Columbia by moving to small towns outside of the Vancouver metro area, but then they have to commute a long distance to work in Vancouver since job opportunities in their occupation may be limited in smaller communities.
Nevertheless, British Columbia is a beautiful province with a high standard of living, so people do what they have to in order to live there.
Alternatively, many Canadians as well as new immigrants are choosing to move to provinces with a lower cost of living such as:
- Nova Scotia
- Prince Edward Island
- New Brunswick
- Newfoundland and Labrador
- Quebec
Since housing is a major factor in the cost of living in Canada, many Canadians live, and sometimes work, in the suburbs of larger cities, so that they pay less for housing, but still have access to all that is available in the nearby big city.
There are also smaller cities in Canada with populations of around 50,000 to about 300,000 residents that offer a low cost of living, high quality of life, abundant job opportunities and plenty of activities to enjoy.
Conclusion
You can experience a high quality of life whether you live in the most expensive province in Canada, the least expensive province or somewhere in-between.
For example, the results of a survey of 17,000 people around the world published by US News & World Report ranked Canada #3 for best quality of life in 2022.
In 2023, the Economist Intelligence Unit (EIU) rated Vancouver #5, Calgary #7 and Toronto #9 in its annual ranking of the Most Livable Cities in the World.
Depending on your occupation, salary, family size and lifestyle preferences, you can generally expect to enjoy a high standard of living in Canada wherever you choose to reside.
Some provinces and cities in Canada are more expensive than others, so a person can keep more of his or her money by living in a location with a low cost of living, while ideally working at a place with a high salary.
In order to immigrate to Canada, a skilled immigrant will need to be approved for a temporary work permit or become a Canadian permanent resident.
Since 2012, Canadian Visa Expert has been working with authorized immigration consultants who can evaluate your eligibility to apply for permanent residency in Canada as a skilled foreign worker and also guide you through each step of the application procedure if you qualify.
Discover Frequently Asked Questions from Our Support
What factors contribute to a province being expensive?
The major factors that contribute to a province being expensive include the cost of housing, utilities, childcare, and transportation, as well as the tax rate.
How does the cost of housing affect the cost of living in Canada's provinces?
The cost of housing is the key factor that determines whether or not a province is expensive and this is often related to supply and demand. Most people want to live in the largest cities, so the demand is higher than the supply, especially as thousands of new immigrants arrive in Canada each year. The supply of housing in Canadian cities is also affected by the shortage of construction workers, which is why Canada is seeking thousands of skilled foreign tradespeople and the government wants to double the number of new housing starts.
Why is British Columbia considered the most expensive province in Canada?
British Columbia is considered the most expensive province in Canada, because the cost of living is higher than in other provinces, especially housing costs in the Vancouver metro area.
Are there affordable living options in the most expensive provinces in Canada?
Yes, there are many affordable living options in the most expensive provinces in Canada. For example, Abbotsford, Nanaimo and Surrey have a lower cost of living in British Columbia than Vancouver. It is more affordable to live in the Ontario cities of Hamilton, Kitchener, London, Kingston, Thunder Bay and Windsor than in Toronto. The cities of Edmonton, Lethbridge and Red Deer are less expensive than Calgary.
