Expensive Toronto

No matter how you slice it, Toronto is an expensive city to live in.  The information varies greatly depending on which index you look at, but often you'll find Toronto to be the second most expensive city in North America after New York (sometimes LA, San Fran, and Vancouver show up in there as well).  I found a comparison website that was easy to use:  http://www.expatistan.com/cost-of-living/comparison/toronto/new-york-city.  As I mentioned in the last post, rent is definitely cheaper in Toronto than NY.  And, since housing tends to make up a

large portion of your expenses, the total cost of living is less.  The City of Toronto has some interesting points on housing that I think are worth reading.  My takeaway is that most people reading this probably will be paying more for housing than averages would lead you to believe.

I wasn't expecting prices to be so high.  I guess we figured it had to be cheaper than New York (we didn't have a car then though).  Several things I've seen that are noticeably more expensive in Toronto are:  

• Gasoline: Current price is around $3.70 USD per gallon compared to prices in the US around $2.70.
• Car insurance: We're paying at least double the closest plan in NYC, and we did shop around.
• Wine:  I have yet to find a decent bottle of red wine under $17 (don't worry, I'm not giving up yet).  In the US and especially NYC, you can find a lot of good bottles in the $9-13 range.

I'll keep looking and will let you know as I find more examples.

Additionally, you have to take taxes into consideration. Sales tax in Toronto is 13% (certain things are exempt, check this website for more information).  This hurts a lot especially on large purchases.  Income taxes are also high when compared to most places in the US.  2010 rates are listed on:  http://www.cra-arc.gc.ca/tx/ndvdls/fq/txrts-eng.html.  But for us we actually will pay almost the same amount as we did in NY since there is also a large city income tax in NY.  And, remember your taxes in Canada will cover your health care.  One thing I learned the hard way as well is that unfortunately if you have student loans from another country, the interest will not be deductible from your Canadian taxes.

I'm off to my first Blue Jays game tonight.  They happen to be playing the Yankees:)  I've heard mixed reviews about the Rogers Centre, but I'll be sure to give an update afterwards!