It’s true: Donald Trump might become the next U.S. president on Election Day.
As the tycoon’s campaign has traveled the nation in recent months, famous entertainers from Bryan Cranston to Barbra Streisand have threatened to relocate to Canada.
This is the predictable outcry of American voters, and it resurfaces with every major shift our country endures.
Thinking of Moving to Canada, Eh?
Canadians hear you, and they claim they’re prepared for you.
They say that every four years.
Yet you almost never actually relocate. (Seriously: Either do it — or stop threatening to.)
Many Americans picture our northern neighbor as a refuge offering universal health care, progressive politics, an attractive Prime Minister and vast open landscapes ready for newcomers.
And it is … for Canadians.
(Except the Prime Minister — his looks are for everyone to admire.)
It turns out moving to another nation and enjoying its perks is more complicated than it sounds.
(Someone should probably mention that to Trump — but I digress.)
Beyond the logistics of relocating and coping with distance from friends and family, you’ll face a bunch of practical and financial challenges if you head north.
I’m not Canadian, but I have done my homework, I know someone from Canada and I grew up in Wisconsin, so I get the nuances.
Below are some of the monetary considerations you might be overlooking when you bluster about crossing the border to soothe your Election Day nerves.
Free Health Care? Not Exactly
I’ll start with the big myth: Canada’s “free” health care.
Americans have either lauded or criticized our neighbors for decades because of their publicly funded approach to medicine.
Many people seem to assume that all you need to do to enjoy unlimited medical services is step into Canadian territory.
That’s incorrect.
A Canadian resident must enroll in and may need to pay premiums forpublic health coveragein their province or territory.
After enrolling, there’s typically a waiting period before coverage begins — generally about three months.
But hold on! To be eligible to enroll, you first must be a citizen orpermanent residentof Canada.
Becoming a Resident Can Cost Up to CA$800
Permanent Resident Application: CA$428–CA$817
The application charge for a Canadian permanent resident permit is CA$550 (about $428). That applies if you apply as a skilled worker, which depends on factors like:
- skills
- work experience
- language ability (English and/or French)
- education
If you apply as aninvestor, entrepreneur, or self-employed applicant, the fee rises to CA$1,050 (about $817).
Your application can take up to six months to process — during which time you’ll remain in the U.S., watching the political fallout.
After four years as a permanent resident, you can consider applying for full Canadian citizenship.
You’ll Likely Want to Work There
Visa and Work Permit: CA$197
If you’re not ready to pursue residency, you could instead request a visa to temporarily live and work in Canada.
A Temporary Resident Visa costs CA$100 (about $77).
After that’s approved, you’ll probably need a work permit, which carries its own fee of CA$155 (about $120).
When you secure employment, expect payroll deductions for taxes, pension and insurance similar to U.S. withholdings — roughly 25%–35% of your gross pay.
Your visa can last up to four years, after which you’ll have to depart or find another route to remain — until Election Day rolls around again.
And You’ll Need a Place to Live …
Home: CA$393,000 to buy, or about CA$4,470 a year to rent
The average sale price of ahome in Canadais CA$508,567 (roughly $392,822).
You might sell your U.S. property for an average of $297,000 (based on 2010 U.S. Census Bureau data, adjusted for inflation).
Your U.S. house will likely sit on the market for weeks or months before selling. If you list it the moment polls close, you might escape before Inauguration Day — if luck is on your side.
If you want to economize, consider renting. Rent can be about 25% lower on average in Canada compared with the U.S.
A three-bedroom unit outside a city center averages roughly CA$1,450 ($1,120) per month — split among three roommates, that’s about CA$483 ($373) each month.
… and Food …
Groceries: about CA$411 per month
The overall cost of living in Canada is roughly 5% lower than in the U.S.
Worth noting for your grocery line item: while overall expenses appear lower, you may face higher sales taxes per item depending on the province you choose.
Canada’s federal Goods and Services Tax tacks on 5% to most purchases. Many provinces add an extra 7%–10% in Provincial Sales Tax.
Compare a combined total of 12%–15% with typical U.S. combined tax rates (local plus state), which usually range from 5.5% to about 9.43%.
… And a Car
Vehicle Registration and Gas: approximately CA$50–CA$500
If you plan to bring a car — and in a country with a small population density you probably will — it must be inspected by the Registrar of Imported Vehicles and registered in your chosen province or territory.
Registration fees can run between CA$42 and CA$258 ($32–$199), depending on your location and the vehicle.
Assuming you drive your car across the border, you’ll also pay for fuel. The total will vary by distance and post-election gas prices.
To estimate on the high side: if I drove from my Tampa Bay-area home in Florida to Vancouver, B.C. — about 3,228 miles — I’d spend roughly $300 on gas.
Crossing from Seattle would likely cost under $50.
Don’t Forget: You Must Prove You Can Afford to Stay
One last point: if you rush to Canada without a job or work authorization, you’ll need to demonstrate enough funds to support yourself.
A single applicant should have at least CA$12,164 (about $9,400). A family of four needs at least CA$22,603 (about $17,465).
When you run the numbers… is the U.S. really that unbearable?
Your Turn: Do you know anyone threatening to move to Canada because of the election results?
Alex Morgan is a freelance writer. He’s contributed to Savinly, Entrepreneur.com and other outlets, trying to find humor wherever it fits.
Also consider reading about the hidden costs of moving before you pack your bags.
