The two biggest countries in North America — US and Canada — are similar in many ways. But how do they compare when looking at the average salary?
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Looking at the median income may give you some insight into how much you can make. According to Statistics Canada, the Canadian median income was $68,400 CAD in 2021, whereas in the same year, the US median income was $70,784 USD, according to the US Census. It doesn’t look like a massive difference but keep conversion rates in mind — $68,400 CAD is equal to $50,348 in USD.
What can this mean for you? For one, you’ll need to look beyond income and consider other factors if you’re looking at where you want to live, such as taxes and the average cost of items.
When thinking about costs, consider comparing common ones like:
- Housing (rent or mortgage if you’re buying a home)
- Taxes (think property, income and sales tax)
- Groceries and daily necessities
- Transportation
- Healthcare
With taxes, the amount you pay will depend on factors like your tax bracket and the type of income you earn. Transportation costs could also vary. For example, if you plan on taking public transportation, the difference in prices may not be that drastic depending on your commute. However, purchasing a car could result in more variables because you must consider insurance, maintenance, and gas.
No matter your priorities, it’s a good idea to look beyond the salary when deciding where to live.
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This article originally appeared on GOBankingRates.com: The Average Salary in the US vs. Canada
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