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Your federal and provincial income taxes are way too low. If you click on the link below, you'll see BC has an average tax rate of 25.8% on 100K. https://neuv

Your federal and provincial income taxes are way too low. If you click on the link below, you'll see BC has an average tax rate of 25.8% on 100K. https://neuvoo.ca/tax-calculator/Ontario-100000#:~:text=%2451.25%20an%20hour%20is%20how,marginal%20tax%20rate%20is%2043.41%25 https://neuvoo.ca/tax-calculator/Ontario-100000#:~:text=%245.... Taxes are killer in the Great White North.

mmastrac 6y ago
> Taxes are killer in the Great White North. Fortunately this pays for an extensive social security network including health care (though sadly not dental!)
- nerdponx 6y ago
  I'd be interested in total take-home pay when comparing Canadian taxes to US taxes + employer-sponsored healthcare coverage.
  - senecaso 6y ago
    Ya, I hear you there. That's actually why I built this, was to help calculate that, but there are so many variables in that calculation, I decided to start with I would just figure out what would be left of your paycheque each month and then users can compare against their US bank statements. Its rough, but hopefully its enough to give people considering making a move enough information to decide.
  - jbay808 6y ago
    I think the difference in taxes are a very minor factor compared to the difference in pre-tax compensation in the US vs Canada.
    - senecaso 6y ago
      they sure are! From the digging around I have done, you can expect a 40% cut from a Bay area salary to Vancouver. The question then becomes, what sort of standard of living could I expect to maintain after taking such a large cut, and that's what I was trying to surface with this calculator.
    - glitchc 6y ago
      It's a triple whammy. Compensation is lower, taxes are higher, food is more expensive. Only healthcare is cheaper. It's mostly paid for, prescriptions included, if you work for a company with a decent health plan. Cars are also more expensive overall (ownership + insurance).
  - 52-6F-62 6y ago
    I think that’s an unfair comparison. I wouldn’t recommend looking for an American lifestyle in Canada.
- ebg13 6y ago
  > though sadly not dental! or prescriptions
- glitchc 6y ago
  It is a nice place to raise a family. The motto of Canada is “Peace, order and good government,” which is in stark contrast to America’s “Life, liberty and the pursuit of happiness.”
senecaso 6y ago
I just compared those numbers with the tax calculator from https://simpletax.ca/calculator https://simpletax.ca/calculator and they are roughly the same. However, my numbers line up with that when you factor in tax deductible expenses on things like RRSP. If you remove the RRSP line from the expenses table, you should see that 100k in base salary lines up to the articles claimed $27.7k. The numbers arent exact, but they are pretty close. I will look further into the discrepancy.
- deleted 6y ago
  [deleted]
senecaso 6y ago
Yep, I think you are right. I'm subtracting taxes from "total income" right now, instead of "taxable income", so I'm not excluding the contributions! Thanks for pointing that out. I'll address that shortly.
- senecaso 6y ago
  push a change to address this bug. thanks for pointing it out!
- glitchc 6y ago
  Deleted my comment as I wasn't sure if I'm exactly right either. The reference for calculating payroll deductions is as follows: https://www.canada.ca/content/dam/cra-arc/formspubs/pub/t4127-jul/t4127-jul-20e.pdf https://www.canada.ca/content/dam/cra-arc/formspubs/pub/t412... Formula is a bit complicated
  - senecaso 6y ago
    I noticed. Thanks for posting your initial response. It lead me to check how I was calculating, and I think you were right. I have addressed it now, but I'm sure this wont 100% reflect the Canadian tax calculation, but based on comparisons with other tax calculators, it seems to be coming pretty close. Where I know it will be way off is in the "additional annual income" table, as I made no effort to classify those. Everything is just considered "income" and taxed at the same federal/provincial rates.
deleted 6y ago
[deleted]
rhombocombus 6y ago
I am pretty sure I pay more in Oregon when you include healthcare expenditures. State income tax plus federal plus fica plus monthly premiums for spouse and kiddo ads up to a huge chunk of my take home (over 35% of my gross earnings).
- senecaso 6y ago
  Ya, I was pretty surprised as well. I expected Canadian taxes to be much higher, but they seem to be fairly competitive actually, especially when you factor in other costs as you pointed out. Overall, the biggest detriment appears to be the massive salary cut you would have to take, and less so the taxes.

mmastrac 6y ago

> Taxes are killer in the Great White North. Fortunately this pays for an extensive social security network including health care (though sadly not dental!)

nerdponx 6y ago
I'd be interested in total take-home pay when comparing Canadian taxes to US taxes + employer-sponsored healthcare coverage.
- senecaso 6y ago
  Ya, I hear you there. That's actually why I built this, was to help calculate that, but there are so many variables in that calculation, I decided to start with I would just figure out what would be left of your paycheque each month and then users can compare against their US bank statements. Its rough, but hopefully its enough to give people considering making a move enough information to decide.
- jbay808 6y ago
  I think the difference in taxes are a very minor factor compared to the difference in pre-tax compensation in the US vs Canada.
  - senecaso 6y ago
    they sure are! From the digging around I have done, you can expect a 40% cut from a Bay area salary to Vancouver. The question then becomes, what sort of standard of living could I expect to maintain after taking such a large cut, and that's what I was trying to surface with this calculator.
  - glitchc 6y ago
    It's a triple whammy. Compensation is lower, taxes are higher, food is more expensive. Only healthcare is cheaper. It's mostly paid for, prescriptions included, if you work for a company with a decent health plan. Cars are also more expensive overall (ownership + insurance).
- 52-6F-62 6y ago
  I think that’s an unfair comparison. I wouldn’t recommend looking for an American lifestyle in Canada.
ebg13 6y ago
> though sadly not dental! or prescriptions
glitchc 6y ago
It is a nice place to raise a family. The motto of Canada is “Peace, order and good government,” which is in stark contrast to America’s “Life, liberty and the pursuit of happiness.”

senecaso 6y ago

I just compared those numbers with the tax calculator from https://simpletax.ca/calculator https://simpletax.ca/calculator and they are roughly the same. However, my numbers line up with that when you factor in tax deductible expenses on things like RRSP. If you remove the RRSP line from the expenses table, you should see that 100k in base salary lines up to the articles claimed $27.7k. The numbers arent exact, but they are pretty close. I will look further into the discrepancy.

deleted 6y ago
[deleted]

senecaso 6y ago

Yep, I think you are right. I'm subtracting taxes from "total income" right now, instead of "taxable income", so I'm not excluding the contributions! Thanks for pointing that out. I'll address that shortly.

senecaso 6y ago
push a change to address this bug. thanks for pointing it out!
glitchc 6y ago
Deleted my comment as I wasn't sure if I'm exactly right either. The reference for calculating payroll deductions is as follows: https://www.canada.ca/content/dam/cra-arc/formspubs/pub/t4127-jul/t4127-jul-20e.pdf https://www.canada.ca/content/dam/cra-arc/formspubs/pub/t412... Formula is a bit complicated
- senecaso 6y ago
  I noticed. Thanks for posting your initial response. It lead me to check how I was calculating, and I think you were right. I have addressed it now, but I'm sure this wont 100% reflect the Canadian tax calculation, but based on comparisons with other tax calculators, it seems to be coming pretty close. Where I know it will be way off is in the "additional annual income" table, as I made no effort to classify those. Everything is just considered "income" and taxed at the same federal/provincial rates.

deleted 6y ago

[deleted]

rhombocombus 6y ago

I am pretty sure I pay more in Oregon when you include healthcare expenditures. State income tax plus federal plus fica plus monthly premiums for spouse and kiddo ads up to a huge chunk of my take home (over 35% of my gross earnings).

senecaso 6y ago
Ya, I was pretty surprised as well. I expected Canadian taxes to be much higher, but they seem to be fairly competitive actually, especially when you factor in other costs as you pointed out. Overall, the biggest detriment appears to be the massive salary cut you would have to take, and less so the taxes.