Why moving to Canada won’t save you from Trump

[smilesammich 10,727]

On the bright side, they have very few alcoholics in Canada.

yeah, cause they all flee to america (and hopefully to non-control states or their won't be too much difference)

[Teddy B 17,251]

yeah, cause they all flee to america (and hopefully to non-control states or their won't be too much difference)

I'll be in Canada for X-mas, gonna have to break open the piggy bank so I can afford a six pack.

[Dakine10 5,452]

I'll be in Canada for X-mas, gonna have to break open the piggy bank so I can afford a six pack.

The price of gasoline always get's me. I just look at the $1.25 and try to ignore that it's per litre. I've heard the sticker shock for tobacco is worse than it is for alcohol.

[Teddy B 17,251]

The price of gasoline always get's me. I just look at the $1.25 and try to ignore that it's per litre. I've heard the sticker shock for tobacco is worse than it is for alcohol.

You too?

Yes tobacco is just as bad. I couldn't imagine being a heavy smoker & drinker in Canada and still keeping a roof over my head. But I'm sure in the long run the higher alcohol and tobacco prices save money on healthcare costs.

[Voice of Reason 10,298]

Well, I haven't compared salaries in probably 10 years, but back then, I knew a nurse in Canada. She grossed just over $150K. After all was said and done, and net pays considered, it was about equivalent to a US salary of $63K gross. IMHO, losing $87K of my salary is not a good thing.

Disclaimer: This may have changed with today's taxes and the more favorable exchange rate.

That whole taxation shtick about Canada is way overblown. When you figure into the taxes paid their healthcare costs and other services they receive like paid maternity leave for both mother and father, not to mention the upkeep of their infrastructure which is head and shoulders above anything in the US, it pretty much comes out even with what we end up paying overall in the US for the same services. Canada is not really the liberal taxation Utopia everyone makes it out to be. They do get a pretty good return for moneys paid.

[Teddy B 17,251]

Well, I haven't compared salaries in probably 10 years, but back then, I knew a nurse in Canada. She grossed just over $150K. After all was said and done, and net pays considered, it was about equivalent to a US salary of $63K gross. IMHO, losing $87K of my salary is not a good thing.

Disclaimer: This may have changed with today's taxes and the more favorable exchange rate.

I'd like to know the specifics of how that was figured cause it does sound way out of whack compared to everything I've ever read. That's a 58% tax rate and I've never heard of anyone in Canada paying those kind of taxes.

[Voice of Reason 10,298]

Sorry, no can do. As I said, it was years ago, I don't talk to that lady anymore. I know I was really taken aback when we were discussing it at the time, I had no idea it would be that big of a difference. I am not familiar enough with a CA paycheck to know how their taxes and other deductions go, but several on here have CA spouses, perhaps someone with more recent working experience and a pay stub can chime in?

Also, I'd like to amend it to be "around $63K USD". I only know because that was how much she and I made at the time, and our take homes were not all that much different. Say within $3-5K net. But I cannot say with certainty now. Many a memory cell has come and gone since then.

ETA: I know this isn't indicative of a 10-yr old convo, but here's a price comparison between our two cities today. https://www.numbeo.com/cost-of-living/compare_cities.jsp?country1=Canada&country2=United+States&city1=Edmonton&city2=Dothan%2C+AL

ETA2: Used this: https://www.paymentevolution.com/payrollcalculator And on $150K gross, employee takes $103.8K, Gubmint gets $50.1K. $103.8K is about $77.8K USD.

I'd like to know the specifics of how that was figured cause it does sound way out of whack compared to everything I've ever read. That's a 58% tax rate and I've never heard of anyone in Canada paying those kind of taxes.

Edited November 16, 2016 by LFEHFN

[Rob L 3,811]

 

I'd like to know the specifics of how that was figured cause it does sound way out of whack compared to everything I've ever read. That's a 58% tax rate and I've never heard of anyone in Canada paying those kind of taxes.

 

 

Yeah this does not square with my wife's last Canadian return which was above 100k

[Voice of Reason 10,298]

Can you please share? Even if you have to fudge the numbers to protect her. The main goal being WHAT is taken out, and the percentages. Not trying to get into y'alls business, just not familiar with a CA pay stub.

Does the money that pays for insurance so it's "free" come out before taxes? As a payroll deduction? Or is it taken at tax time, once a year?

The link I provided above show a sample salary and amounts taken out, but not sure what they are.

Yeah this does not square with my wife's last Canadian return which was above 100k

[Rob L 3,811]

on a negative note, my dear canadian consumers, your alcohol is sorely overpriced due to the government control/taxing..markup is stupid ridiculous. it varies depending on provence, but always bloated.

We lost our Government monopoly of hard alcohol in Washington state a few years ago ( weed booze, we have good priorities)

Prices have gone up about 10% but you can at least pick it up at the grocery store. Oddly enough it seems like most of the time I have fewer choices in brands and sizes but I think competition is kicking in. The small family wineries dont like the alignment of big wine companies who also are in the booze business as they get shunted by the distributors. They appear to be doing fine with direct distribution though.

B.C. is looking to loosen up, they are seeing what Washington and Oregon have done with Wine ,Microbrews and botique distillieries and are seeing dollar signs for tourism. I heard wine and beer is coming to supermarkets.

And Quebec is the only place I have seen beer in a vending machine

[Rob L 3,811]

Can you please share? Even if you have to fudge the numbers to protect her. The main goal being WHAT is taken out, and the percentages. Not trying to get into y'alls business, just not familiar with a CA pay stub.

Does the money that pays for insurance so it's "free" come out before taxes? As a payroll deduction? Or is it taken at tax time, once a year?

The link I provided above show a sample salary and amounts taken out, but not sure what they are.

Hmm that was two years ago. I would need to look at the returns but i remember looking at them and thinking, not so bad and it seem to be about what I was paying. I think unemployment is a burden not taken up by the employer, but their are more benefits ( maternity)

The insurance she had when employed was covered through her employer just like here. When she was downsized and didn't look for work because she was half way to emigrating, the Province sent her a bill for mandatory insurance. As far as i could tell it was not as good as her employers plan and didn't include any frills, but if you broke a leg you were covered. I think I remember her complaining about the bill being $60.00 a month and I said to my self " I hope she never sees my premiums". But everyone is covered and if you dont pay the bill the government will find you.

All in all things appear different but when you boil it down the tax systems are quite similar. There is even a system that allows her contributions to their old age plan to be calculated into our SSA plan and vice versa ( its a bit more complicated but she is not at day one with SSA if something happened )

This is pretty good break down

http://www.investopedia.com/financial-edge/0411/do-canadians-really-pay-more-taxes-than-americans.aspx

[Teddy B 17,251]

Hmm that was two years ago. I would need to look at the returns but i remember looking at them and thinking, not so bad and it seem to be about what I was paying. I think unemployment is a burden not taken up by the employer, but their are more benefits ( maternity)

The insurance she had when employed was covered through her employer just like here. When she was downsized and didn't look for work because she was half way to emigrating, the Province sent her a bill for mandatory insurance. As far as i could tell it was not as good as her employers plan and didn't include any frills, but if you broke a leg you were covered. I think I remember her complaining about the bill being $60.00 a month and I said to my self " I hope she never sees my premiums". But everyone is covered and if you dont pay the bill the government will find you.

All in all things appear different but when you boil it down the tax systems are quite similar. There is even a system that allows her contributions to their old age plan to be calculated into our SSA plan and vice versa ( its a bit more complicated but she is not at day one with SSA if something happened )

This is pretty good break down

http://www.investopedia.com/financial-edge/0411/do-canadians-really-pay-more-taxes-than-americans.aspx

Good post and good link as well Rob. That article breaks things down nicely and is pretty much what I've experienced. I'm going to quote part of it here because I think it needs to be read by anyone who thinks that Canadians are taxed to death compared to the US.

Do Canadians Really Pay More Taxes Than Americans?

By Angie Mohr | April 8, 2011 — 2:00 AM EDT

A common belief among many Canadians is that they pay more in income tax than their American counterparts. Even politicians in Parliament have used this statement to press for lowering taxes. But, is it really true?

TUTORIAL: Personal Income Tax Guide

The answer is more complex than you might think. Statistical gathering agencies in both countries publish averages of income taxes paid, but comparing the two numbers is like comparing the stats of a hockey player with those of a basketball player. The numbers are based on different premises and include different pieces.

Using an average is also problematic as the very poor and the very rich skew it on both ends. In general, lower income Canadians pay less in tax for the services they receive and rich Americans are better off than rich Canadians. Here's a breakdown of the relevant tax components and their contribution to the overall tax picture. (Mastering these fundamentals now will take the stress out of tax season. Check out Next Season, File Taxes On Your Own.)

Federal Income Taxes

U.S. federal income tax brackets range from 10% to 35% for individuals. On the Canadian side, the range is 15% to 29%. In the U.S., the lowest tax bracket bumps to 15% at $8,500 and to 25% at $34,501. The bottom Canadian bracket stays at 15% until $41,544. This is the bulk of the reason that lower-income Canadians are often better off than Americans in an identical tax situation. On the other hand, the IRS taxes the richest Americans at 35% whereas the top federal tax rate in Canada is 29%. Rich Americans, however, have access to many tax deductions that Canada's Alternative Minimum Tax does not allow.

The mortgage interest deduction is touted as being a huge benefit to home-owning Americans, and it is. However, if you make less than $82,000 and do not own a home, you will most likely pay less tax north of the border.

Read more: Do Canadians Really Pay More Taxes Than Americans? | Investopedia http://www.investopedia.com/financial-edge/0411/do-canadians-really-pay-more-taxes-than-americans.aspx#ixzz4QGnPZUfn

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[millefleur 5,038]

Good post and good link as well Rob. That article breaks things down nicely and is pretty much what I've experienced. I'm going to quote part of it here because I think it needs to be read by anyone who thinks that Canadians are taxed to death compared to the US.

Hm, not really surprising considering Canadians don't have to foot the bill for the world's largest military like Americans do. Anyway, I personally never had the impression that Canada was a high tax country, still interesting to see the actual figures.