In spring 2024, 45% of Canadians reported that increasing prices were greatly affecting their ability to afford daily living expenses. This reflects a 12% increase from two years earlier, which was 33%.
This data came from a Canadian Social Survey, which focused on indicators established by the Quality of Life Framework for Canada — and the literal cost of rising prices.
Specifically, this demonstrated how higher prices impede Canadians ability to cover everyday purchases, concern arpound housing affordability, the likelihood of relying on community organizations to access food.
It also details financial stress and how heavily it can decrease quality of life.
While most things available on Canada markets appear to be more pricey, here are 5 of the most expensive every day living expenses:
1. Housing
Rent and mortgages consistently lead Canadians’ monthly expenses. In 2021, the average household income after taxes in Canada was approximately C$88,000.
In that same year the average home price in Canada reached $713,500 — more than eight times greater (BBC). The gap is the most pronounced in large Canadian cities, such as Toronto and Vancouver.
In Toronto, a 1-bedroom downtown averages $2,400/month, while Vancouver renters face $2,800–2,900.
Calgary and Montreal are relatively cheaper at $1,850 and $1,500 respectively for 1‑beds
Homeownership also remains steep: The average home in Ontario costs nearly $862,000, with Canada‑wide prices averaging around $700,000
RE/MAX Canada’s previous president, Christopher Alexander, told Newswire that “Affordability remains, by far, the greatest barrier to home ownership from coast to coast. With the average price of a home in most Canadian markets more than doubling between 2006 and 2021, first-time buyers are falling through the cracks.”
2. Food & Groceries
You’ve surely seen the memes and TikTok videos comparing identical grocery bills from 6-7 years ago to the present — and have been shocked by the glaring cost difference.
Monthly grocery bills are the second-largest recurring cost in Canada with more families and individuals struggling to keep up.
For a typical family of four, food expenses in 2025 are estimated at $16,833.67 annually, marking an $801.56 increase compared to 2024. An RBC report revealed that a $1,000 grocery basket in 2019 increased to $1296 in 2024, showing a 29.6% jump.
As of May 2025, food purchased from stores has experienced a 3.8% year-over-year price increase, exceeding the overall inflation rate.
Projections show food costs rising due to inflation, carbon tax, and broader economic pressures.
3. Transportation
Canada’s vast geography and vehicle dependence make transport a major expense.
Ineffective zoning regulations across Canada have significantly impacted the walkability and the development of pedestrian-friendly communities.
In addition, restrictive zoning, particularly single-family zoning, can limit housing diversity and density, contributing to an endless urban sprawl, reinforcing the need and desire to travel by car.
To begin with, owning a car has become more expensive in Canada. Currently, the average cost of owning a car in Canada is $1,387 per month or $16,644 annually. This accounts for gas, parking, insurance and maintenance.
While public transit can cut costs, fares have also steadily increased. As of July 1st, fares have bumped up in 4% and 3% in Vancouver and Montreal, respectively.
At $201.35 the Metro Vancouver monthly pass is the most costly in Canada. This is followed by the Toronto TTC at $156/month and the Ottawa OC Transpo at $135/month.
4. Utilities
Living in a digitalized society, it is nearly impossible to get by, access important opportunities and organize our lived without internet access of some shape or form.
Utilities are unsung heroes of our daily lives, allowing us to live comfortably and securely — that is, when we can securely pay for each services.
Basic utilities (electricity, heating, water, garbage) can add significant monthly costs to our bills. On average, they can run between $ 214–300/month, depending on the province and season.
Data plans and home internet add another $50–100. In Ontario, comprehensive utility/internet bills for a 2-person household can reach $ 300–450.
Sadly, 15% of Canadians (or 2.5 million households) reduced or didn’t purchase necessities, like food or medicine for at least one month afford an energy bill in 2023.
In addition, 14% of Canadian households kept their home at an unsafe or uncomfortable temperature because of unaffordable heating costs.
10% of Canadian households were also late or unable to pay their energy bills between 2023 into 2024.
Click here for a comprehensive guide of household costs across Canada in 2025.
5. Childcare
Childcare is one of the most expensive recurring costs for families in Canada—especially in urban centres. It was a focal point in the recent Canadian Federal election, with multiple parties promising more affordable access to day cares and support.
While federal programs like the $10-a-day childcare plan are being rolled out across provinces, waitlists are long and access varies greatly by location.
Full-time daycare costs an arm and a leg. In Toronto, it averages at $1,200–1,800/month, $1,300–1,700/month in Vancouver, Calgary & Edmonton: $ 950–1,300/month and $180–700/month in Montreal at a subsidized rate.
Nannies and private childcare often cost significantly more, averaging $ 20–30/hour.
For two-parent households with young children, childcare can represent 20–35% of monthly income in some parts of the country.
What to expect
In mid‑2025, Canada’s cost of living remains heavily skewed toward housing, food, transport, and utilities. While inflation is moderate (~1.7% in May) with temporary relief from lower gasoline prices, underlying shelter, food, and energy trends continue to climb.
Planning a monthly budget of $ 2,500–4,000 (for single adults in major cities) or $7,000–9,000+ (for families) is realistic, depending on the city and lifestyle.
Remember, you don’t have to navigate the complexities of the economy on your own. With the support of a trusted financial advisor, you can learn where to invest wisely and even grow your finances — even in the thick of financial uncertainty.
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