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  • PeeDee

Purchasing power parity – UK to Canada.

The net just gives me formulas which are either out of date or academical.

So, for those of you living in Canada, please could you give me a pointer on the cost of living (Family home, Ma/Pa 2 rugrats).
All the costs per year of the usual services and a grocery bill. Just “Living” please, no add-ons such as Gym/Sports club membership.
I’ll compare that to my bills as a multiplier, then wash it through the Xrate to see the sort of Salary I need to command in Canada.

Many thanks in advance.

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By: PeeDee - 4th April 2010 at 00:09

Heidi, many thanks.
I will be using some of that information and it is very useful.
I (We) shop at the cheapest possible shops and only go to expensive ones for stuff that is not available anywhere else. Eg, I only used Sainsbury’s (Posh end Supermarket) over here because they were the only outlet for Root Beer! McD used to sell it but I think I was the only buyer!
Does Canada have Aldi or Lidl shops (German very cheap supermarkets, some stuff is rubbish but most is good)
I have family in the “Sticks” of Toronto too, Hamilton.

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By: mike currill - 3rd April 2010 at 07:54

Heid, either you are living in the wrong area or going about it the wrong way. All the other ex-pats I’ve had dealings with have said they are better off. The prices out West are far different to what you quote, you are out by approx25%

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By: Heidi - 3rd April 2010 at 03:26

I don’t agree that it is any less expensive to live in Canada. I live in Ontario, been here over 10 years and still return to Berkshire once in a while so can compare. My experience is that the PPP is greater in the UK, but each to their own.

Here is a bit of background and an idea of my monthly outgoings. I live in a pretty country area close to the Greater Toronto Area in a small 2,000 sq ft farmhouse. Members of my household are myself, my teenage child, our dogs and 2 cats. I own a small business and I pay myself around $80k per annum. I own my house outright and own my vehicles also so I have no mortgage or vehicle payments and I certainly do not live well here. In the UK I also own a small business and when I lived there I paid myself around $50k per annum and I owned a comparable farmhouse there with a small mortgage. That business is still running however I do not bring my (shrunken) salary to Ontario, it just accummulates in my bank account in the UK.

All prices below are my normal monthly costs;
Electricity – $310
2 cell phones – $120 (on plan and never use more calls/texts than ones included)
Satellite TV (second cheapest package) – $70
Water and sewerage – free, I have a well and septic
Telephone bill – $100 (hardly ever used)
Oil (heating) – Nov-May $500, June-Oct $0
Internet Hi Speed – $70-$100 (depending on usage)

Per annum bills;
Property Taxes – $4,000
Vehicle Insurance for my vehicles which are all between 4-9 yrs old (4L SUV, 6L Truck and 4L Jeep) – just under $3,000 – used to be double that but I changed company last year.

Here’s some of the items that I buy with approx prices plus tax;
A loaf of sliced bread – $2.50
Tray of 5 chicken breasts – $15
1 doz eggs – $3-$5 (depending on type)
Regular size block of butter – $4-$5
Jar of Nescafe – $5-$10 (fluctuates wildly over here)
16kg bag Pedigree complete dog food – $28
I buy half a young cow each year for the freezer (400lbs) – $650
Loo roll 6 rolls – $8

I just priced return flights from YYZ to LHR for the middle of this month (April) with BA for a 10 day vacation and the cost for myself and my child is $2,200. That was using the cheapest prices I could find. Normally cost is far more at more attractive times of the year like the summer.

The HST tax is about to be implemented in Ontario in July this year which will initially run 13%.

Don’t forget about health insurance because the basic OHIP does not pay for everything. A great many medical drugs have to be paid for and these are very costly, like super costly! Dental expenses are far greater than in the UK, so do check all these things out before you come.

There are some things here which are cheaper than in the UK, but I feel far more things are more expensive when using PPP rather than x-rates. It isn’t the same when you come here on holiday as then you are earning in pounds and spending in dollars but once you start earning in dollars I wouldn’t say it is cheap here by any means.

Anyway, perhaps you will find some of these comparables of use to you and I wish you all the best if you decide to take the plunge. If I was to have my time over then I would definitely have checked out other less expensive Provinces, and pretty much any of the US States to reside in. Too late now though, my business is now established and to be frank I can’t be bothered starting over again, so l’il ole “dollar store” Province Ontario will have to do me. I do have Canadian Citizenship, mainly incase I decide to move to the States for a portion of each year at some point when I’m older.

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By: sat2 - 23rd March 2010 at 00:12

Here!!

We’ve been here nearly six years, our lil’ ‘un was born here, and we love it.

Our standard of living is better than the UK. Wages are lower but so is the cost of living so it all works out.

The enviroment for kids is better, more focus on outdoor living and sports, better schools and the balance between home and work is better.

Basically, if you’re being headhunted, don’t hesitate, get the wheels rolling now.

We were so impressed, we decided to stay and took Canadian citizenship.

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By: PeeDee - 22nd March 2010 at 22:57

No Canadians?

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By: mike currill - 22nd March 2010 at 05:46

Yes indeed. Go and enjoy a country where shop staff still understand the meaning of customer service instead of sitting at the checkouts chatting about their boyfriends and polishing their nails. A country that still has large expanses of comparatively wild untamed land. I’m not jealous – much. If I was in your position I’d go and worry about the figures when I got there. All the best for the future. Keep up your presence here and let us know how things are going.

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By: PeeDee - 21st March 2010 at 23:56

Luck you, I wish Iwas in the same boat. Go for it and good luck. A few years ago I worked it out that the Canadian cost of living was about 50% of ours but their wages were about 75% so although you earned less you could still afford a better standard of living.

My rough calcs indicate same, but I want “Real” figures. I have been as a tourist about 12 times. I have family there, but I don’t want to ask them in case it all fails. They are really wanting me to go and have pestered me since 1968. ha ha, ’bout time I went.

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By: mike currill - 21st March 2010 at 23:50

Luck you, I wish Iwas in the same boat. Go for it and good luck. A few years ago I worked it out that the Canadian cost of living was about 50% of ours but their wages were about 75% so although you earned less you could still afford a better standard of living.

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By: PeeDee - 21st March 2010 at 23:16

I am being persued to work there. Migration rules don’t apply if you are being pulled.

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By: mike currill - 21st March 2010 at 23:13

Assuming you are in the right age group and have a trade they want. If not forget it.

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