Cost of living in Canada

Canada has a good quality of life and highly developed services, but they come at a price.

Here’s all you need to know about daily expenses, from groceries and clothing to housing and healthcare, explaining how much you’ll need in the monthly budget.

Understanding the general cost of living in Canada 🇨🇦

Canada is a relatively expensive country, although not among the top tier globally. It ranks 31st on the 2026 Numbeo Cost of Living Index although only has one entry (Surrey) among the top 150 most expensive cities worldwide.

The average annual net household expenditure in Canada was CAD 76,750 in 2023 (CAD 6,396/month). This was slightly above the 2023 median household income of CAD 74,200 ($6,183/month). According to Numbeo, a single person needs to budget CAD 1,435 to cover monthly costs (excluding rent).

Living standards are relatively high. Canada ranks 16th on the 2025 UN Human Development Index and 26th on the 2026 Numbeo Quality of Life Index. There are five Canadian cities in the top 30 on the 2024 Mercer Quality of Living Index – Vancouver (7th), Toronto (13th), Ottawa (=20th), Montreal (=20th), and Calgary (25th). According to the OECD Better Life Index, Canada scores highly for education, environment, and household net wealth, but poorly for housing affordability, work-life balance, and gender pay gap.

Despite high living standards, poverty still exists in Canada. According to government data, 10.9% of the population was in poverty in 2023. However, only 0.25% have less than $3 a day, which is the World Bank definition of severe poverty for high-income countries (2021).

Canada has relatively moderate income inequality. Its Gini Coefficient (1=total equality, 100=total inequality) is 31.11 (data from 2021), which is close to the OECD average. However, overall wealth inequality is still high, with the richest 1% having nearly as much wealth as the bottom 80% in 2025.

Government data shows that there are income inequalities between ethnic groups in Canada, with non-white and indigenous groups earning less on average than white residents.

Is the Canadian economy good?

Canada currently has the 10th largest economy in the world, with a GDP of $2.42 trillion (2025). Its biggest industries include (2024):

• Business sector
• Services
• Public sector
• Real estate
• Manufacturing

GDP per capita (PPP) in Canada works out at $67,711 in 2026. The overall economy is stable but with modest growth. Unemployment remains fairly low but cost of living constraints continue to restrict consumer spending.

Inflation and disposable income in Canada

The current inflation rate in Canada is 2.3% (Feb 2026). This is down from a high of 8.1% in June 2022. The Bank of Canada predicts that inflation will remain slightly above 2% in 2027.

The PPP-adjusted disposable income per capita was CAD 33,300 in 2024. This works out at around CAD 2,775 per month per person. This is the average amount that people have to spend and save after paying taxes.

Cost of living in Canada in 2026

Using the 2023 household expenditure data and accounting for inflation in 2024 (2.4%), 2025 (2.1%) and 2026 (2.3%), we can estimate the average household costs in the US for 2026.

Breakdown of costs:

	🗓️ Annually (CAD)	🗓️ Monthly (CAD)
Food	12,884	1,074
Housing and utilities	26,387	2,199
Telecommunications and other household operations	6,432	536
Household furnishings	3,626	302
Clothing and accessories	2,929	244
Transportation	12,931	1,078
Healthcare	3,302	275
Personal care	1,989	166
Recreation	5,595	466
Education	1,812	151
Alcohol and tobacco	1,935	161
Other	2,266	189
Total	82,088	6,841

Keep reading for an overview of the cost of living expenses you might come across in your daily life.

Food and drink costs in Canada in 2026

Households in Canada will spend around CAD 1,074 each month on food and a further CAD 161 on alcohol and tobacco.

When shopping for food, drink, and other essentials in Canada, the payment method you use can affect your overall costs. If you’re using a card from your home country, your bank may charge foreign transaction fees (typically 2–3%) plus an exchange rate markup on every purchase.

The Wise Card uses the mid-market exchange rate for currency conversion.

There are no hidden fees that increase costs for everyday purchases. You can hold money in 40 currencies in your Wise account, including Canadian dollars to add convenience to purchases in Canada.

Groceries in Canada 🍎🍞

Households in Canada are expected to spend an average of around CAD 772 per month in 2026 on food bought from stores.

Here are some of the price ranges for everyday products in Canada:

Product	Price range	Product	Price range
Milk (1ltr) 🥛	CAD 1.56–5.45	Beef (1kg)	CAD 10–33
Bread (500g loaf) 🍞	CAD 2.20–6.00	Apples (1kg)	CAD 2.14–8.82
Rice (1kg) 🍚	CAD 2.25–10.00	Tomatoes (1kg)	CAD 2.00–8.82
Eggs (12 large) 🥚	CAD 3.27–7.00	Potatoes (1kg)	CAD 1.00–7.00
Cheese (1kg) 🧀	CAD 8.00–35.27	Water (1.5ltr)	$1.00–4.01

Restaurants in Canada

Many Canadians enjoy eating out, with household spending in restaurants expected to average CAD 299 a month in 2026. Toronto, Vancouver, and Quebec each have a number of establishments offering fine dining. There are also plenty of mid-range restaurants and fast-food options across the country.

According to Numbeo, a three-course meal for two at a mid-range Canadian restaurant will cost around CAD 100, while a meal at a budget restaurant will be around CAD 25. Fast food combo meals cost around CAD 15 on average.

Beer, wine, and spirits in Canada 🍺🍷

Many Canadians drink alcoholic beverages, with a 2023 national health survey finding that 46% of the adult population had at least one alcoholic drink per week. If you visit a bar or restaurant, you can expect to pay around CAD 8 for a pint (0.5ltr) of domestic beer or a 33cl bottle of imported beer.

As in most countries, alcohol is less expensive in supermarkets in Canada. Expect bottled beer to cost around CAD 4–5 and a mid-range bottle of wine to be around the CAD 18 mark.

Coffee in Canada ☕

Like its American neighbor, Canada is a nation of coffee-drinkers. It is among the top ten coffee-consuming countries in the world, with around 15.6 million kilograms of coffee imported each month (2022). There are plenty of coffee shops all across the country. A regular size cappuccino will cost around CAD 5.27 on average . If you want to buy coffee from a supermarket or convenience store, expect to pay in the region of CAD 15–35 per kilo.

Housing costs in Canada in 2026 🏡

As in many countries, Canadian households spend the majority of their income on housing. The average housing costs (including bills and furnishings) in 2026 are expected to be CAD 3,037 per month. Finding affordable housing in Canada can be challenging, especially in major cities.

According to Finder (2025), Canada ranks 10th globally in terms of average property prices. Its rental costs as a percentage of total income are higher than the OECD average, at around 25% (2019).

Rent and property prices

Canadian housing costs vary based on location, size, and property type. Studios and residential apartments in areas such as central Toronto are comparatively more expensive than houses in more rural and less populated areas.

In 2025, the average overall monthly rent in Canada was around CAD 2,100. The average property price in January 2026 was CAD 652,941. According to Equifax Canada, average monthly mortgage payments were CAD 2,099 in early 2024.

Depending on location, you can expect to pay the following prices:

	Average monthly rent for 1 bed in city center	Average monthly rent for 3 bed in city center	Average apartment price per square meter in city center	Average apartment price per square meter outside city center
Calgary	CAD 1,901	CAD 2,842	CAD 5,202	CAD 4,953
Montreal	CAD 1,762	CAD 2,944	CAD 7,104	CAD 5,520
Ottawa	CAD 2,012	CAD 3,178	CAD 5,933	CAD 5,461
Toronto	CAD 2,315	CAD 3,705	CAD 12,194	CAD 9,404
Vancouver	CAD 2,658	CAD 4,978	CAD 12,542	CAD 9,721
Overall Canadian average	CAD 1,821	CAD 2,881	CAD 6,869	CAD 5,489

If you’re looking to live in Canada on a budget, some of the cheaper cities to move to are:

	Average monthly rent for 1 bed in city center	Average monthly rent for 3 bed in city center	Average apartment price per square meter in city center	Average apartment price per square meter outside city center
Burns Lake	CAD 700	CAD 1,200	–	–
Edmonton	CAD 1,587	CAD 2,663	CAD 3,226	CAD 3,110
Saint John	CAD 1,410	CAD 2,275	CAD 2,906	CAD 3,014
Thetford Mines	CAD 650	CAD 1,200	–	–
Thunder Bay	CAD 1,470	CAD 2,623	–	–

Utility bills in Canada 📄

Utility prices in Canada are generally similar to those in the US and less expensive than in many European countries. However, prices tend to vary by province and territory. On average, households can expect to pay around CAD 260 per month in 2026.

Water rates are set annually by the Public Utilities Commission (PUC). 2026 rates for a standard Class A meter start at CAD 41.29/month basic charge plus 94.7¢ for the first 15 cubic meters. Electricity prices were 17¢ per kWh and natural gas prices 4.9¢ per kWh in June 2025.

In total, you can expect to pay between CAD 110–400 per month on utility bills in Canada, depending on your consumption and property size.

Internet and telecom prices in Canada in 2026 💻📺

In contrast to utilities, telecommunications bills in Canada are generally higher than in Europe, being comparable to the US. This is because of factors such as fewer nationwide providers and higher infrastructure costs due to geographical size/low population density.

That said, costs can vary significantly depending on provider, type of service, and location. Many providers offer packages that include internet, TV, and home phone, with prices starting at around CAD 75.

Households can expect to spend around CAD 307/month on communications costs in total in 2026. Broadband internet alone (60Mbps+) costs between CAD 55–125 a month, while a typical mobile phone plan will cost you CAD 34–100 a month.

Healthcare costs in Canada 🏥

Canada has a good quality public healthcare system (Medicare) funded through taxation. Most essential services are available free of charge to citizens and permanent residents.

That said, nearly three-quarters (74%) of Canadians have private health insurance, either through employer-sponsored group plans or individually purchased policies.

If you buy private health insurance in Canada, you can expect to pay between CAD 75–150 a month on average. However, costs vary depending on factors including coverage level, age, medical history, and location.

The average monthly healthcare costs in Canada are expected to be CAD 275 per household in 2026.

Transportation costs in Canada 🚌🚕

In 2026, households will spend an average of CAD 1,078 a month on transportation, making it the second-biggest cost of living expense in Canada after housing.

Public transport in Canada

Public transport in Canada is highly developed in the major cities, consisting of buses, commuter trains, subway, and streetcars. There is also intercity rail connecting major cities across the country. However, smaller towns, cities, and rural areas are generally limited to bus services, and there is greater reliance on car travel.

Public transportation makes up only around 15% of overall transportation costs in Canada. The estimated monthly costs in 2026 are CAD 160 per household.

According to Numbeo (2026), a single fare on Canadian public transport will cost between CAD 270–425. Monthly passes cost between CAD75–156. Taxi tariffs start at around CAD 4.50 and then you can expect to pay around CAD2.10 per kilometer.

Driving and vehicle costs in Canada

Driving as a means of transport is very popular in Canada. 89% of households own a vehicle, and private transportation accounts for around 85% of overall household transport costs. The average spend in 2026 is expected to be CAD 917/month.

Beyond the price of lessons, a driving license, and vehicle purchase costs, you’ll have to consider:

• Auto insurance – costs average between CAD 100–200 a month.
• Fuel costs – as of February 2026, gasoline costs CAD 1.59 per liter, and diesel costs CAD 1.64 per liter
• Maintenance costs – these can cost between CAD 1,000–1,500 a year
• Registration costs – roughly between CAD 60–200 a year

If you are buying a new car, you can expect to pay around CAD 27,200 for a Toyota Corolla Sedan 1.6 and around CAD 39,500 for a Volkswagen Golf 1.5.

The cost of clothing and footwear 👕👟

In 2026, households will spend around CAD 244 a month on clothing and accessories.

Exact costs will greatly depend on the type of garment as well as the brand. In general, Canada has lower prices than many European markets for basic and mid-range clothing. However, luxury brands can be more expensive in Canada, especially those manufactured in Europe.

On average, you can expect to pay CAD 35–115 for a pair of Levi’s jeans and CAD 30–100 for a summer dress in a chainstore such as Zara or H&M. A pair of mid-range Nike running shoes will cost you CAD 75–167.

How much does leisure and entertainment cost in Canada?

In 2026, households will spend an average of CAD 466 each month on recreational activities. Costs are fairly comparable with US, European, and Asian averages.

Monthly gym membership can cost between CAD 25–100, while a cinema ticket is likely to be between CAD 13–22. Concert tickets are typically between CAD 50–200, depending on artist and venue.

Costs of Canadian schooling and childcare 🏫

Canada has some of the most affordable childcare costs among OECD countries. This is largely down to the availability of publicly-funded childcare. Costs rise for couples where at least one partner earns average wages, where households can expect to spend around 11% of net income on childcare (2022).

Public daycare typically costs between CAD 10–20 per day, which works out as roughly CAD 200–400 a month. Full-time private preschool or kindergarten costs range between CAD 545–1,800 a month. If you prefer to hire a nanny, the average hourly rate is CAD 23. Au pairs are paid at least minimum wage minus costs for room and board.

State schools in Canada are free for citizens and permanent residents. However, internationals have to pay between CAD 9,000–17,000 per year (2025). Private day schools cost between CAD 15,000–30,000, while boarding schools can range from CAD 63,000–83,000.

The costs of studying in Canada

Canada has some of the most expensive college and university fees in the world. According to recent data, Canada ranks:

• Third most expensive for public university tuition, with average annual fees of $5,590 (2023)
• 8th most expensive for overall full-time college education costs (2021)
• Third most expensive for public university master’s tuition, behind Lithuania and the US, with annual fees of $9,564 (2023)

For independent or private universities, Canadian students pay annual tuition fees of between CAD 15,000–30,000.

International students looking to gain undergraduate or postgraduate qualifications in the US can expect to pay average annual fees of (2022):

• CAD 36,100 for undergraduate degrees
• CAD 21,100 for postgraduate qualifications

How does Canada compare to the rest of the world? 🌍

Canada ranks 31st on the 2026 Numbeo Cost of Living Index, with an overall score of 63 out of 100. This is below the US, Germany, Australia, and the UK, but higher than Italy, Spain, and Qatar.

It ranks 23rd on the Rent Index, 21st on the Groceries Index, and 30th on the Restaurant Price Index (Numbeo, 2026).

Cost of living in Toronto

With a population of around 3.2 million people, Toronto is Canada’s most populous city. It’s the capital of the Ontario province located at the western end of Lake Ontario. It’s one of Canada’s most vibrant and expensive cities, although it is more affordable than cities such as New York, London, and Paris. In fact, it ranks down in 161st place on the 2026 Numbeo Cost of Living Index.

Housing is relatively expensive, especially in the city center, where residents’ expenses are also high for leisure and entertainment, in part due to the vibrancy and cultural diversity of the area. However, professional job opportunities are strong, particularly in sectors such as finance, technology, education, and healthcare.

Cost of living in Vancouver

One of the major cities in the province of British Columbia, Vancouver is also one of the country’s most costly – the fourth most expensive in Canada (behind Surrey, Victoria, and Toronto) – placing at 165 on the 2026 Numbeo Cost of Living Index.

Housing, groceries, transportation, and utilities are all above national average costs. However, many residents believe the prices to be worth it. Vancouver ranks 7th best global city on the 2024 Mercer Quality of Living Index. Salaries are above average and the city’s location on the Pacific Coast makes it a popular choice for families and outdoor enthusiasts.

Cost of living in Calgary

Calgary is the largest city in the province of Alberta, with a population of just over 1.3 million. Its living costs are cheaper than in cities such as Toronto and Vancouver, helped by the fact that Alberta has no sales tax.

Although Calgary is not cheap, it’s a popular choice for those wanting to combine manageable living expenses with a fun urban environment and good quality amenities. Overall costs are just over 11% lower than in Toronto.

Assistance with living costs in Canada 🇨🇦

Canada has various social benefits programs to help those in need deal with living costs. These include:

• Guaranteed Income Supplement (GIS) – income support for those aged 65+ on low incomes
• Canada Pension Plan disability benefit – assistance for working-age residents unable to work because of a disability
• Employment Insurance – benefit for those who lose their job through no fault of their own
• Repayment Assistance Plan – for student loan borrowers struggling to make repayments
• Canada Child Benefit – financial support for families to help with the costs of raising children

Tips on how to save money in Canada

Here are a few useful budgeting tips for living in Canada:

• Shop smarter for groceries: Use budget stores like No Frills, FreshCo, and Walmart Canada, where you can find cheaper produce. Shop around for deals and batch cook meals to avoid food waste.
• Use public transport, cycling, and ride-sharing services: You can save money by buying weekly or monthly travel passes for regular travel. Car-sharing services such as Zipcar and Communauto can help save on petrol costs.
• Shop at thrift stores: Canada has many secondhand stores across the country, which are great places to find bargains and save money.
• Use energy wisely: You can save on heating and electricity by insulating your home, using energy-efficient appliances, and taking advantage of off-peak energy tariffs.
• Be smart about currency exchange: If you need to transfer money to or from the US, or manage living expenses in multiple currencies, getting a good exchange rate can help you save money. Services like Wise use the mid-market exchange rate that avoid unnecessary hidden costs, which can help you budget when it comes to salary payments and bills.

Wages and salary in Canada 🇨🇦

According to Statistics Canada, the average Canadian salary in August 2025 was CAD 1,312 per week, which works out at about CAD 68,200/year or $5,683/month for full-time work. Numbeo lists the average Canadian net salary (after tax) as CAD 4,148 per month for 2026. These averages can vary widely across provinces/territories.

The federal minimum wage in Canada is CAD 17.75/hour (as of April 2025). However, this only applies to federally-regulated job sectors. Each province and territory has its own separate minimum wage. These are generally reviewed annually.

Taxation and social security in Canada

Canada has a progressive tax system, with income tax rates ranging from 14% on income up to CAD 58,523, up to 33% on incomes above CAD 258,482. Residents can claim the Basic Personal Amount, which is a non-refundable tax credit. This is CAD 16,129 in 2026.

Social Security contributions fund Canadian pensions and employment insurance. In 2026, these are 11.9% of salary between CAD 3,500–74,600, and a further 8% of salary between CAD 74,600–85,000 for the Canada Pension Plan (CPP). Contributions are split between employer and employee.

Employees typically pay just over 1.6% of earnings employment insurance, with employers contributing just over 2.25%. Quebec has its own pensions and employment insurance scheme with separate rates.

The maximum monthly CPP payment in 2026 is CAD 1,507.65, with the average payment being CAD 803.76. Employment insurance is 55% of average insurable weekly earnings, up to a maximum of CAD 729 per week in 2026.

Useful resources

• Numbeo – information on living costs in Canada (accessed on 24 Feb 2026)
• Government of Canada – benefits finder where you can search for assistance with living costs in Canada (there is also a page on preparing financially when you move to Canada) (accessed 24 Feb 2026)
• Office of Consumer Affairs – consumer rights body promoting the interests and protection of Canadian consumers (accessed 24 Feb 2026)
• Statistics Canada – information and statistics on wages and expenditure in Canada (accessed 24 Feb 2026)