When you move to Canada, your expenses may be different from those you are used to. Canada is a very large country, and costs can vary significantly depending on where you live. When you move to Canada, it's helpful to know a little about the money that you'll be using when you get there.
Coins come in six denominations. Each is a distinct size, shape and color for easy identification.
penny = 1¢
nickel = 5¢
dime = 10¢
quarter = 25¢
dollar = $1.00 (known as the "loonie")
two dollar = $2.00 (known as the "toonie")
Paper money is all the same size, but each bill is different in color.
$5 - blue
$10 - purple
$20 - green
$50 - red
$100 - brown
It's a good idea to exchange some of your money into Canadian currency before you leave your home country, so that you have cash on hand for small purchases as soon as you arrive. Once you're here, there are several ways to exchange your money for Canadian currency.
Financial institutions - Scotiabank offers competitive exchange rates. By visiting a branch, you can exchange money from just about anywhere in the world.
Foreign exchange outlets - you can find foreign exchange outlets in select locations across Canada, including airports and tourist attractions.
Telephones - You can buy your own telephone, or rent one from the telephone company. Major home phone companies are: Rogers, Bell and Primus
Average Cost of Telephone (Monthly): $20 - $40 plus long distance charges.
Cellular phones - Many Canadians have a cellular (cell), or mobile, phone instead of or in addition to a land-line. You will need to purchase a phone and pay for the monthly phone service. Major cell phone retailers are: Rogers, Bell, Fido, Telus, Virgin Mobile, Solo and Koodo.
Average Cost of Cell Phone (Monthly): $40 + Cost Initial Cost of Phone
Cable or satellite television - you may need to purchase cable or satellite service. There is a monthly fee for such service, and it usually varies depending on the provider, the scope of the package and the options you choose.
Average Cost of Cable (Monthly): $25 - $50
Internet - Many Canadians subscribe to an Internet service, which allows them to surf the web or send emails from their home computer. You can purchase Internet service from most cable or telephone companies.
Average Cost of Internet (Monthly): $20 - $60
To keep in touch with your relatives abroad, get a free $5 calling card when you sign up for the Scotiabank StartRight Program
Disclaimer - The content is provided for the general guidance and benefit of our our customers. This website is for information purposes only and is not intended to lead you to any particular direction. Even as we strive to ensure the accuracy and completeness of the information on this website, errors and omissions may occur. Services and immigration policies are subject to change.
Education
Education is important to Canadians, and attendance is mandatory for children between the ages of six and 16. In Canada, children are eligible to receive free elementary and high school education through the government-funded public education system. Budget for additional expenses such as school supplies, some books, sports equipment and musical instruments.
A Scotia® RESP (Registered Education Savings Plan) will help you to provide for your child's post-secondary education, especially when you invest early and regularly. Find out more.
Average costs for Undergraduate or post-secondary education
Province
2008-2009 Undergraduate tuition fees (avg. per academic year)*
One of the most important things you need to do as soon as you arrive in Canada is to apply for a health insurance card. All members of your family, even newborn babies, must have their own card. You can get an application form from the provincial ministry of health office, any doctor's office, a hospital or a pharmacy.
To apply for a health card, you will need your birth certificate or Confirmation of immigration status in Canada (IMM 5292) and passport. Your Permanent Resident card may also be presented. In most provinces, you will receive coverage as soon as you apply.
Health-care services covered by medicare include:
examination and treatment by family doctors;
many types of surgery;
most treatment by specialists;
hospital care;
X-rays;
many laboratory tests; and
most immunizations.
Health-care services not covered by medicare, and for which you will have to pay, include:
ambulance services;
prescription drugs;
dental care; and
glasses and contact lenses.
ScotiaLife Financial™1 can help protect you and your family from life's unexpected events. Find out more.
Medical Expenses
Canadian residents enjoy a healthcare system that is publicly funded. Many health services are paid for from taxes and are free to all residents of Canada who hold a provincial health card.
However, not all medical expenses are covered. Depending on the province in which you live, you may have to pay for services such as:
Dental care
Eye examinations and prescription eye wear
Treatment provided by psychologists, chiropractors, physiotherapists, massage therapists, acupuncturists, dietitians and naturopaths
Cosmetic or elective surgery
Disclaimer
™ Trademark of the Bank of Nova Scotia, used under license.
1 ScotiaLife Financial is the brand name of the Canadian Insurance business of the Bank of Nova Scotia ams certain of its Canadian subsidiaries.
Taxes in Canada
Canadians enjoy many government-funded benefits, such as healthcare, education systems, interconnecting highways, clean drinking water and sanitation systems. Canadians pay a variety of taxes to the federal and provincial governments to support these benefits.
Each year, you determine your final tax obligation. On the return, you list your income and deductions, calculate federal and provincial or territorial tax, and determine if you have a balance of tax owing for the year, or whether you are entitled to a refund of some or all of the tax that was deducted from your income during the year.
Sales Taxes
When you purchase an item or a service one or more types of tax may be added:
Goods and Services Tax (GST) - A 5% federal tax applies to most goods and services sold in Canada.
Provincial Sales Tax (PST) - With the exception of Alberta, the provinces also tax many new and used items (but not services). The rate varies by province.
Harmonized Sales Tax (HST) - In Nova Scotia, New Brunswick, and Newfoundland and Labrador, the GST and PST are combined into a single tax - the HST. The HST is 13% (5% GST plus 8% PST) and is added to the cost of the goods or services for the final total price.
6.05% on the first $36,848 of taxable income, + 9.15% on the next $36,850, + 11.16% on the amount over $73,698
Manitoba
10.8% on the first $31,000 of taxable income, + 12.75% on the next $36,000, + 17.4% on the amount over $67,000
Saskatchewan
11% on the first $40,113 of taxable income, + 13% on the next $74,497, + 15% on the amount over $114,610
Alberta
10% of taxable income
British Columbia
5.06% on the first $35,716 of taxable income, + 7.7% on the next $35,717, + 10.5% on the next $10,581, + 12.29% on the next $17,574, + 14.7% on the amount over $99,588
Yukon
7.04% on the first $38,832 of taxable income, + 9.68% on the next $38,832, + 11.44% on the next $48,600, + 12.76% on the amount over $126,264
Northwest Territories
5.9% on the first $36,885 of taxable income, + 8.6% on the next $36,887, + 12.2% on the next $46,164, + 14.05% on the amount over $119,936
Nunavut
4% on the first $38,832 of taxable income, + 7% on the next $38,832, + 9% on the next $48,600, + 11.5% on the amount over $126,264
The following deductions are standard for all employees in Canada. The deductions are automatically taken out from your paycheck before you receive your pay.
Income taxes
Canada Pension Plan or Quebec Pension Plan
Employment Insurance
Union dues - if you belong to a union
Contributions to a retirement or pension plan
Any other necessary or agreed upon deductions between you and your employer
The above deduction could reduce your pay by as much as 25% to 35% of your total income.
If you plan to live in a city and will not have a car, budget for public transportation. Public transportation in Canada is reliable and safe, and is reasonably priced.
If you will be buying a motor vehicle, budget for gasoline, maintenance, and repairs and automobile insurance, along with the cost of the vehicle.
Insurance
Canadians purchase a number of different types of insurance. Some are required by law and some are purchased to provide financial security. Common types are:
Automobile insurance (required to drive a vehicle)
Property insurance (to protect your home and your belongings from theft or damage)
Medical insurance (addition provincial health coverage)
Life insurance (to protect your family if anything should happen to you)
Creditor's insurance (to cover outstanding debts if you are unable to work)
