It’s smart to file an income tax return in Canada if you arrived in 2024. If you became a permanent resident and lived in Canada, even for a short period, filing your first income tax return with the Canada Revenue Agency (CRA) can provide financial benefits. If you didn’t earn income in Canada in 2024, filing a return allows you to apply for important benefits like the Goods and Services Tax (GST) Credit, and Harmonized Sales Tax (HST) Credit, or Canada Child Benefit (CCB) you may be eligible for without you filing a tax return. In other words, you will have to file an income tax return if you:

• Want to get benefits and credit payments

• Want to claim a refund

• Have to pay taxes in Canada. 

While filing taxes in Canada for the first time may seem overwhelming, there are resources to help you (see the section below: Government of Canada Income Tax Resources). Many settlement agencies can help you complete your taxes for the first time. This is just one of many important services that settlement agencies provide.

As we approach the “tax season” in Canada and the deadline to file your income tax return, this information will help you get started.

Understanding Canada’s Tax System  

Navigating the Canadian tax system will make your life here much easier. If you’re already employed, you know that a good portion of your earnings goes to taxes, maybe more than what you were used to in your native country. 

The taxes you pay come back to you through helpful public services and many gratuities making Canada one of the most sought-after destinations for immigrants. In addition, you can recover part of your taxes and access tax credits when you file an income tax return each year.

What are Tax Credits?

Tax credits are sums that are deducted from the total taxes you owe. You may be eligible for one or more tax credits. When you claim deductions, you may receive a larger refund or reduce the taxes that you owe. Here are some tax credits and deductions that you may be eligible for:

• Child care expenses deduction

• Canada caregiver credit

• Education and textbook tax credits

• Disability tax credit

• Canada Carbon Rebate is available to residents of Alberta, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, and Saskatchewan to offset the cost of federal pollution pricing. Currently, this credit is unavailable in British Columbia, Northwest Territories, Nunavut, Quebec, or Yukon.

When you claim certain tax credits, you must support your claim with receipts.

What Benefits Can I Receive?

When you file your income tax return, you can apply for benefits. These benefits are payments for specific expenses that can help make living in Canada more affordable. Some examples of benefits include:

• Goods and Service Tax (GST) and Harmonized Sales Tax (HST) credit: helps individuals and families with low or modest incomes to offset sales tax.

• Canada child tax benefit: a tax-free payment that helps families with the cost of raising children under 18.

• Provincial & territorial benefits & credits.

Here are some benefits you may be eligible for:

When is the Deadline to File an Income Tax Return for 2025?

The deadline to file your 2024 income tax return in Canada is on or before Wednesday, April 30, 2025. If you owe taxes, you must pay the full amount on or before April 30, 2025. If you are self-employed, the deadline to file your income tax return is June 15, 2025. But if you owe taxes, you still have to pay by April 30, 2025.

If you owe money and do not pay by April 30, you will have to pay daily interest on the amount you owe. Penalties and interest can add up so it’s best to pay the full amount to avoid paying late fees.

Important Tax Changes for 2025

Income tax and benefit amounts will change to offset some of the rising living costs. These changes put additional money in your pocket. Some of the important tax changes for 2025 include:

• The dollar limit for the Registered Retirement Savings Plan (RRSP) will increase from $31,560 to 32,490 (with a limit of 18% of your 2023 earned income).

• The dollar limit for the Tax-free Savings Account (TFSA) will remain at $7,000 after two consecutive years of increases. It’s important to use a TFSA as an investment and not as a savings account.

• An increase to the Basic Personal Amount (BPA) you can earn without paying federal tax will range from $14,539 to $16,129 depending on your income.

• Tax bracket changes: all five federal income tax brackets have been adjusted by 2.7% to help Canadians maintain buying power as the cost of goods increases:

How to File Your Income Tax Return

You can file your income tax return for 2024 online in two ways: 

You can also complete your income tax and benefit return by paper. Click here to get a 2024 T1 (personal) income tax package. Be sure to order the package for the province that you reside because the tax system can vary by province.

Use Free Certified Online Tax Software to Simplify the Process:

Here are some free tax software products that you can use. These are great if you have a simple tax return to file:  

Find Free Tax Clinics:

You may be eligible to use the Community Volunteer Income Tax Program if you have a modest income and a simple tax situation.

Avoid Fraud and Income Tax Scams

Unfortunately, scammers try to get Canadians to pay debts they do not owe. And tax season is a prime time for scammers. Newcomers can be vulnerable to these scams, especially when it comes to receiving a call or letter from a government agency demanding money for payment. However, you can protect yourself if you know when and how the CRA may contact you.

Click here to learn about scam protection and the CRA to protect yourself from fraud. This information will help you to respond if you get an email, phone call, letter, or text from the CRA that seems suspicious. 

Government of Canada Income Tax Resources

Learn How to File Your Income Tax Return

Canada Revenue Agency provides online learning resources to help you learn about personal income taxes in Canada. The Learn about your taxes course consists of seven online learning modules:

• One: Purpose of taxes
• Two: Starting to work (why you need a social insurance number, what’s on your pay stub and T4 slip)

• Three: Preparing to do your taxes (what to know before you do your taxes, different ways to do them)

• Four: Completing a basic tax return (an introduction to a basic income tax and benefit return)

• Five: After completing a tax return (understanding a notice of assessment, paying off a balance, working with the CRA)

• Six: Using My Account (how to use CRAs online portal)

• Seven: Accessing your benefits and credits.

In summary, if you arrived in 2024 and lived in Canada even for a short period, it’s smart to file your first income tax return. And with the deadline approaching on April 30, 2025, there is still time to file your income tax return. This will allow you to claim deductions and apply for future tax benefits that will put money in your pocket!

For newcomers and international students arriving in Canada, the current rate of inflation affects how much you pay for housing, groceries, transportation, and other expenses. Staying informed about inflation changes can help you budget and manage your finances. Stay up-to-date with recent changes so you can manage the cost of living in Canada.

The most recent Statistics Canada data (June 2024) shows the annual inflation rate fell from 2.9 percent in May to 2.7 percent in June. This rate drop is welcome news for immigrants who have recently arrived or will soon arrive.

Lower gasoline prices were the driving force behind the rate drop.

What is contributing to the current rate of inflation?

Durable goods (cars, home appliances, consumer electronics, furniture, sports gear, toys, etc.) fell by 1.8 percent, which also helped lower the rate.

More good news for newcomers is that cell phone services were down 12.8 percent in June compared with 19.4 percent in May. Canada has some of the highest mobile phone rates in the world.

Clothing and footwear prices also edged lower in June. Service prices rose 4.8 percent annually in June, compared with a 4.6 increase in May.

Some costs and services that led to the June inflation drop:

Newcomers can monitor inflation in Canada to help budget for costs.

Housing inflation is a concern for immigrants

While rent growth has slowed in recent months in Canada’s largest cities, Toronto and Vancouver, some popular rental markets, such as Alberta, continue to have rental price growth. Rent prices in Canada rose 9 percent in June compared to June 2023.

So, will the drop be enough to convince the Bank of Canada (BOC) to cut its key overnight lending rate gain?

Will an interest rate cut follow the inflation report?

The BOC lowered interest rates from 5 percent to 4.75 percent in June 2024. That cut was the first in four years, and the first time the rate fell below five percent since July 2023.

The Bank will meet on July 24 to discuss whether current economic conditions warrant further cuts.

Derek Holt, Vice President and Head of Capital Markets Economics for Scotiabank believes that “the BOC is still likely to cut” in July, which would be good news for immigrants.

Canada’s inflation rate target remains 2%

The BOC has set a target of two percent inflation. Inflation hit a high of 8.1 percent in June 2022, just as the Canadian economy was recovering from the pandemic. The BOC hiked interest rates 10 times between March 2022 and the summer of 2023 to control inflation.

The BOC believes that making it more expensive for Canadians to borrow money forces consumers and businesses to spend less, thus lowering prices and slowing the economy.

The most recent employment report for June revealed that the Canadian economy lost 1,400 jobs. The unemployment rate increased to 6.4 percent, meaning 1.4 million people were unemployed in June, an increase of 42,000 from May.

According to the latest report from the IRCC, monthly immigration to Canada rose by 22 percent in April. It increased again by 9.3 percent in May, with 46,550 newcomers that month,

That puts the total number of new permanent residents arriving in the first five months of 2024 at 210,865.

The details of the report are consistent with the backdrop of consumers becoming increasingly cautious with discretionary spending.

Benjamin Reitzes, BMO economist

Inflation is a major concern for immigrants and international students who have arrived in Canada or are arriving soon. The cost of living in Canada affects many basic items and services essential to newcomers’ daily lives.

A June 2024 Abacus Data poll showed that the cost of living is the number one issue for Canadians.

When you move to Canada, there are many things to consider, and the process can be quite long. One of the biggest things to consider is how to transfer your money and belongings to Canada quickly and cost-effectively. Fortunately, you have many options to transfer money and belongings to your new home in Canada.

Transferring your money before you move to Canada

Before you move to Canada, you must find a safe and easy way to transfer your money. Fortunately, there are many ways you can transfer money from your home country before you move to Canada. 

Should you open a bank account in Canada before you move?

When moving to Canada, you will have to make an important decision; should I open a Canadian bank account before I move or after I move to Canada? This decision will determine how effectively you can handle your finances once you move to Canada.

Opening a bank account with a Canadian bank before you move is possible, though you need to know how to do it. However, it is usually better to open an account with a Canadian bank before you arrive than waiting until after you land. Opening a Canadian bank account before you move to Canada will make it easier to:

• Transfer your money to Canada before you move
• Show proof of funds when you arrive in Canada, and
• Focus your attention on other important activities, such as getting a job.

Some people prefer to open a Canadian bank account after they arrive. However, opening a Canadian bank account from outside Canada requires more documents and can be a little stressful. Some people prefer to open an account when they can talk to a professional face to face rather than completing the process online. If this sounds like you, then you can wait until after you arrive to open your Canadian bank account. Just remember that it’s possible to open a Canadian bank account before you move and many newcomers have done it.

Now let’s look at some common ways to transfer your money to Canada.

1. Wire transfer

Wire transfer is one of the easiest and simplest ways to transfer your money to Canada. However, you can only do this if you have already opened a bank account in Canada before you move to Canada. And with a Canadian bank account, you can send a wire transfer from your current bank account to your Canadian bank account.

Opening a bank account with one of Canada’s larger banks is a good idea because they have branches across Canada and are easily accessible. The larger banks also usually offer better customer service.

Some of Canada’s larger banks are:

• Bank of Nova Scotia (ScotiaBank)
• Toronto-Dominion Bank (TD)
• Canadian Imperial Bank of Commerce (CIBC)
• Royal Bank of Canada (RBC
• Bank of Montreal (BMO)

After you open a Canadian bank account, you can send a wire transfer to your Canadian account. Once you arrive in Canada, you can easily access your funds from your Canadian bank account.

2. International money order

An international money order is one of the most common ways to transfer your money from your country of origin to Canada. It is a good option if you decide to open a Canadian bank account after you move to Canada. You will need to get an international money order from your current bank in your country of origin before you move to Canada. 

When you arrive in Canada, you will need to open a bank account and deposit the money order to your Canadian bank. Most international money orders have a maximum limit of $1,000 per order. This means that you will have to buy multiple orders to deposit all your money in a Canadian bank.

This method of transferring your money is usually safer than carrying cash. This is because money orders are paper documents and only a few can be worth a lot of money.

It is important to note that you will not be able to use your money right away. Once you have deposited the money order into your Canadian bank, you will have to wait for some time before you can access your money. The wait time will vary depending on the bank, so ask your bank when you can access your money.

3. Cash

Cash is another option, though it may not be the safest way to transfer money to Canada. It might be a little hard to travel with all of your life savings. However, if you feel comfortable with carrying all your money as you move, Canada will allow you to do this.

You must declare the amount of money you carry to the Canadian Border Services Agency (CBSA). You will only need to declare it if that money is valued at more than $10,000 in Canadian dollars. This money could already be in CAD or it could be foreign currency. This step ensures that you do not transfer illegal money into Canada. 

If you carry more than CAD $10,000 and do not declare it, the CBSA can seize your money. You may have to pay a penalty of anywhere from CAD $250 to $5,000 to retrieve your money from the CBSA.

If you’re bringing a large amount of money, cash is not the best way to bring money into Canada. Cash can be hard to handle when there is a lot of it and there is always a chance of the money getting stolen.

Bringing your jewelry and valuables when moving to Canada

Most of the jewelry and valuables you bring to Canada when you are moving are duty-free. This means you will not have to pay any taxes on those items. There are some items that you might have to pay duty on. For example, you will have to pay duty on new items or items that still have tags on them.

Generally, you do not have to pay duty on any goods you bring when you move to Canada. However, once you have moved to Canada and are bringing back any valuables from abroad, those goods may be subject to duty. You will also need jewelry appraisal reports from a recognized Canadian jeweller. 

Bringing personal items when moving to Canada

Canada will allow you to bring almost all your personal belongings and items duty-free. Things such as silverware, pots and pans, and any other household items are duty-free. However, any new items that still have a tag on them are subject to duty so keep that in mind. Alcohol and tobacco are also subject to duty if you bring them in large amounts.

There are some goods that you are restricted to bring into Canada. These goods include weapons and firearms, fireworks, ammunition, and explosives. You are not allowed to bring any of these goods into Canada.

You can check out this comprehensive article by the Government of Canada to learn more about what you can bring to Canada and if it is subject to duty.

Deciding what to move to Canada

Ideally, you don’t want to ship more than you have to since shipping costs are based on volume. You may decide that it’s less expensive to buy what you need when you arrive in Canada. You can always check out the cost of furniture and other items you may need in Canada online and compare it to the cost of shipping. If replacement costs are higher, then shipping makes sense. You’ll also avoid the stress of shopping when you arrive. Another benefit of shipping your goods is having your familiar belongings from home.

Shipping your belongings to Canada

If you have more goods than you can carry with you while travelling, you can ship your goods before you move to Canada. There are many options to ship your goods to Canada, some are considerably more expensive than others.

Shipping by air or by sea

Two ways you can ship your goods to Canada are by sea and air. Shipping by sea is cheaper than air but it is less convenient. Firstly, shipping by sea can take a lot of time. You will have to ship all your goods a good while before your move to Canada so you can access them when you arrive. You may not want to do that if you need those goods until you move. Once your goods arrive in Canada, you pick them up from a warehouse. The goods will not be delivered to your house.

Your other option is to ship by air. Shipping by air is more expensive, but it’s fast. You will have the comfort of waiting until your move and then shipping the goods to Canada. But just like shipping your goods by sea, you have to pick up your goods at a warehouse or further pay a moving company to deliver the goods to your home in Canada.

So to summarize, shipping by sea is a good choice if you want to save money or ship a large amount of belongings. However, you’ll have to wait longer for your goods to arrive. Shipping by air might be a better option if you’re shipping a few items to Canada. In the end, make sure to carry any essential items with you when you travel so you can access them when you arrive. Ensure you do not exceed the weight and size restrictions your airline will allow.

10 questions to ask every moving company

Hiring a professional moving company for your move to Canada can help you understand what to ship, its costs, and most importantly the shipping and customs regulations. However, it’s vital to carefully evaluate the company that you select to move your valuable belongings. To assess potential movers, be sure to ask these important questions:

1. 1. How long has your company been in the relocation industry?

2. Can you provide references?

3. What licensing and insurance can you provide?

4. What type of estimates do you require?

5. How do you charge for moves?

6. How will you protect my home?

7. How will you protect my belongings?

8. Do you have workers’ compensation insurance?

9. What is your claim process?

10. When will my shipment arrive?

Storing your goods

There is a cheaper alternative to storing your goods in a warehouse for pickup. If you have a friend or relative in the Canadian city you are moving to, they might be able to help you. If you do not have too many goods you are shipping, you can ship the goods to their home in Canada. Once you arrive in Canada, you can pick up your goods from their home. This will help you save money you would have had to pay to store your goods in Canada.

Insuring your belongings

When shipping your household belongings to Canada, you want them to arrive safely and without damage. Unfortunately, contents can be damaged during shipping. But if your goods are not insured, you cannot claim damages. It is understood that if you’re paying to ship bulky items to Canada, then their value must be high. Therefore it’s crucial to pay for insurance to ensure the safety of your belongings and give you peace of mind.

Usually, it is better to consider the cost of insurance as part of the shipping costs. This leaves you with no option but to pay for the insurance as well, which is a good choice by all means.  To determine and prioritize your budget for the insurance, always make a comprehensive list of what you are shipping and how much it would cost if you have to replace it all in Canada.

Protecting yourself and your family against unexpected danger and risk is what insurance in Canada is all about for newcomers to Canada. Knowing what types of insurance are available before you arrive is smart financial planning that can save you money and build security.  For example, the first type of insurance newcomers need to understand is renters insurance (or tenant insurance). Most landlords require it. And then there are health insurance plans. This guide can help you find the right insurance for your new life in Canada.

Why do newcomers need insurance?

Insurance is one way that newcomers to Canada can manage risks. Things can go wrong. Accidents happen. Floods happen. And you don’t want to start over financially from scratch. So, when you purchase insurance, you transfer the cost of a potential loss to the insurance company in exchange for a fee (known as the premium). Insurance companies invest the funds securely, grow, and pay out when there’s a claim.

How are insurance brokers and agents different?

An insurance broker is not the same thing as an insurance agent. Brokers know how insurance policies work and can access more options than an agent. This lets them pick the best rates for the coverage you need from many insurance companies.

What are insurance premiums?

An insurance premium is the amount you or your business pays for an insurance policy. Insurance premiums pay for policies that cover things like healthcare, auto, rental, home, and life insurance.

Why do I need risk insurance?

Risk insurance protects your home and property from “risks and perils.” It covers property damage or loss from accidents or unforeseeable incidents (flood, sewer backup, frozen pipes, etc.)

Travel medical health insurance

Canada is renowned for its healthcare system, and quality healthcare is one of the reasons newcomers seek to build a life here. Government health insurance programs like the Ontario Health Insurance Plan (OHIP) and Alberta Health Care Insurance Plan (AHCIP) let you apply for coverage once you arrive in Canada and establish your permanent residency.

Buying travel medical health insurance to cover unexpected medical expenses before you and your family can join a government health insurance program is smart. Without it, you could end up paying significant out-of-pocket costs. 

What’s the difference between provincial health plans and medical insurance?

Once you arrive in Canada and establish your permanent residency government health insurance programs allow you to apply for coverage. But, in some provinces, there is a wait period before you are eligible for government health insurance. That’s where private insurance coverage is a good idea for both temporary visitors to Canada and people on the path to becoming permanent residents and Canadian citizens.

When purchasing visitor travel insurance, there’s no one-size-fits-all solution. As a newcomer to Canada, you must understand your options and select the right coverage based on key factors like age, dependants, health status, and deductible preference.

Buying travel medical health insurance can be challenging for newcomers and international students. It requires navigating the process especially if you have age-related risk factors and pre-existing health conditions. Finding the right coverage is important. It’s vital to know the basic requirements you or a loved one need before you buy a travel medical health policy.

Who is eligible for visitor to Canada insurance?

Visitors to Canada Travel insurance isn’t just for visitors! It’s also beneficial to the following individuals:

• New immigrants waiting for provincial healthcare plan to kick in
• Canadian citizens who have recently returned to Canada after living abroad (you may need emergency travel medical insurance for a few months until your provincial healthcare plan coverage takes effect)
• Visitors to Canada on a working visa.

Recently, Dave Frattini, Managing Partner of Prepare for Canada and Rentals for Newcomers, sat down with Robin Ingle, CEO of Ingle International Insurance, to discuss the importance of Travel Medical Health insurance for immigrants arriving in Canada. 

In their discussion, Ingle, whose mother was an immigrant, explained the Canadian healthcare system, how Travel Medical Health insurance for immigrants works, and why it’s important for newcomers. He emphasized the social-based nature of Canada’s healthcare system and the need for newcomers to buy medical insurance to avoid unexpected expenses. Ingle is an acclaimed specialist in special risk insurance.

Myths About Healthcare in Canada

Ingle provided valuable insights for immigrants on Travel Medical Health insurance and why it’s important to understand coverage levels and policy information. This can help newcomers who do not have provincial health insurance when they first arrive avoid unexpected and high medical costs.

Their discussion explains why newcomers to Canada (and international students) should prepare for healthcare and insurance costs before arriving in Canada. Ingle also dispelled myths about Travel Medical Health insurance.

You’ve been helping newcomers with insurance for over 50 years. Can you share your company’s history?

Robin Ingle (RI): I come from an immigrant family. Two hundred years ago, my father’s family moved from Pennsylvania to Canada, and my mother moved from Finland to Canada for a better life with her family. That’s how they met.

After World War II, when Canada started receiving an influx of immigrants, my parents focused on health insurance for newcomers. That was before there was a social health care system in Canada. They concentrated on helping people in the way that Prepare for Canada helps newcomers acclimate to Canada, find housing, and the biggest part, health insurance.

Today, we work worldwide. Providing services and coverage to new newcomers is in our DNA.

Can you give an overview of how Canadian healthcare works?

RI: There are misunderstandings about the Canadian healthcare system. It is a social system, but it only applies to permanent residents in Canada who are part of a provincial government health insurance plan. If you do not have PR status, you’re considered a non-resident. If you are getting your permanent residency but haven’t applied for your provincial health plan, you’re considered a non-resident until you join the provincial plan.

In Canada, the costs of healthcare services for non-residents are high. Visiting a clinic can cost anywhere between $100 and $200. Going to a hospital and emergency room can cost anywhere from $2,000 to $5,000. If you have to stay in the hospital on an inpatient basis, it can be $3,000 or more per day.

Major hospitals charge $17,000 or more for a day’s stay in an intensive care unit. This is very expensive for people outside the provincial government health system.

An important thing people need to understand is that healthcare providers in Canada are private. The provincial government is the biggest payer and manager of the government health system. A private doctor bills the government, and the government pays the largest portion of their bills (only a small amount of patients are non-residents). The government pays the physicians and the hospitals. So it’s a slightly different system than in the UK or Europe.

Why should newcomers buy Travel Medical Health insurance?

RI: The cost is not high. For example, for a family, you will pay insurance for three months. You might pay upwards of $500 for three months to cover the waiting period before you get onto a provincial health plan. That would cover inpatient hospitalization, outpatient care, and emergency visits to a clinic.

Most newcomers who have come through the immigration process are healthy, so the cost is reasonable and in line with the type of risk.

You need to be prepared. You pay a small amount for the coverage and know you and your family will be covered if something happens, like an accident. It’s important to stress that any medical incident can be costly without provincial or private healthcare.

A while ago, my sister fell and broke her hip and had to go to the hospital. That was an accident. You could get the flu, or a bee sting and need to go to the hospital because of an anaphylactic shock. Insurance covers hospital visits under these plans. 

When should newcomers purchase Travel Medical Insurance?

RI: People can purchase insurance before or after they arrive. However, depending on the coverage, there is a 48-hour waiting period when you arrive. This means you can’t claim for a sickness within 48 hours of buying it. 

Who should purchase Travel Medical Health insurance? 

RI: Newcomers do not want to begin their lives here with extra bills. Health insurance coverage is worth a small amount of money for anybody not covered under a provincial government health plan.

Also, Canadians returning from working, studying, or living outside Canada for more than 183 days must reapply for their provincial government health plan, depending on the province. And they have to wait up to three months to get that coverage. So insurance is not just for newcomers. It’s also for those who have been out of the system for some time.  

Who is eligible for Travel Medical Health insurance?

RI: Anybody coming into Canada who is a non-resident, a newcomer, or anybody applying for permanent residency. Or anyone going through the immigration process as a refugee. Anybody in these categories considered a newcomer can apply.

First and second-generation Canadians who are already citizens often buy coverage when their families visit. They often don’t think about this because they’re now Canadian citizens. They don’t realize how much medical costs can be for visitors or grandparents visiting.

You also have new rules, like the Super Visa, where you can bring an older relative over for a period of time if you’re a new Canadian. So, you need Super Visa visitor insurance. You need a minimum coverage of $100,000 for 12 months. There are different categories, but anybody visiting who’s not covered should get coverage. 

Are there groups that are not eligible for Travel Medical Health? 

RI: There are no ineligible groups. If you do not have coverage under a provincial government plan, you should get it. And, if you have a pre-existing medical condition, you need to ask questions because the plans may not cover that medical condition.

If you’re (a visitor) taking medication for a pre-existing heart condition, for example, and go to the hospital and try to buy the coverage, you will not be eligible for most plans. 

What should newcomers look for in a Travel Medical Health Insurance policy?

RI: Often, newcomers or Canadians bring relatives over and must buy visitor insurance or provide coverage before they enter a provincial health plan. They’ll buy the cheapest product, which means less coverage. I advise that they buy the mid-level coverage. With low coverage, you can get $100,000 or $50,000 worth, but that can disappear quickly. If you’re in the hospital for even a few days, it can cost $50,000, and the low-coverage insurance won’t cover anything else.

Choose between $350,000 and $500,000 worth of coverage. Make sure you’re covered for the full period you need. Ask for additional coverage if you need it.  

Travel medical health insurance often which goes by different names. What should newcomers look for to ensure their travel medical health needs are covered? 

RI: Here, it’s called Visitor to Canada insurance. Be sure you read the information provided and understand what is covered. Financial literacy is important, especially with insurance and financial products.

Ensure the insurance covers you and your family for doctor visits and hospitalization if needed. If you need medication for an emergency, ensure it is covered. For newcomers, that would be Super Visa insurance.

What’s the difference between travel medical health insurance and travel insurance? 

RI: Travel insurance in Canada draws a good distinction between the two.

Travel insurance in the Canadian market is traditionally for a Canadian citizen travelling outside of their home province in Canada. Travel insurance within Canada covers the difference between what the province and the insurance will cover. So, it’s a different level of coverage.

Also, when people leave their country of origin or their original country of residence, they often buy local coverage, which may not have the same level of coverage they will need in the Canadian market. So make sure you compare the products. We’ll provide background information if anybody has questions.

Can you explain the relationship between Ingle Insurance and Aha, your broker of choice for Prepare for Canada?

RI: Aha is a great property and casualty organization providing automobile, home, and business insurance access. We like how they do business, and we use their platform to compare products. We fit well because we have access to our products, and all major companies to get the right product to fit the individual’s needs. That makes a big difference. Plus, Aha provides information to help individuals understand what kind of coverage they need and how to get it. We do exactly the same thing. 

How much money will I need to move to Canada? The answer depends on the size of your family. Applying to become a permanent resident (PR) in Canada can be a long process, including showing proof of funds to the Canadian visa office in your home country. Proof of funds shows that you have the minimum amount of settlement funds to move to Canada and support your family when you arrive. It’s also helpful to research the cost of living in the city where you plan to settle to understand living costs. Discover how you can meet proof of funds requirements for Express Entry, minimum amounts, and documents (i.e. proof of funds letter) you’ll need.

Researching the cost of living in the city where you plan to settle will help you understand the average costs of renting or buying housing, transportation, food, childcare, etc. This will help you budget for expenses after your arrival.

Steps to show proof of funds in express entry

1. Determine the minimum amount you acquire to show proof of funds for PR in Canada

You must show that you have enough money to settle in Canada and to cover living expenses such as housing, food, transit, and other costs. Living in Canada can be expensive depending on which city you settle in. For example, Vancouver is Canada’s most expensive city and Toronto is the fifth most expensive.

When calculating how much money you will need to move to Canada, remember to include Canada Permanent Resident Immigration Fees. To reduce financial pressure, ideally, you should have enough money to cover expenses until you land a job in Canada.

2. Assess your financial situation

Once you know the minimum settlement funds required, assess your financial situation. Consider how much money you have in savings, investments, cash, etc. You may discover that you need to improve your financial situation to show that you meet the minimum requirements. Or, you may find that you have a suitable amount of settlement funds for your new start in Canada!

3. Contact your financial institution to obtain a proof of funds letter

If you are invited to apply for permanent residence, you must show you have the minimum funds available. These funds must be money that you can readily access. Your bank will provide a proof of funds letter that is written on the bank’s letterhead and includes the following:

• The bank’s contact information
• Your name
• Outstanding debts such as credit card debts and loans
• Account number, the date the account was opened, current balance, and average balance for the last six months for each bank and current investment account.

How much money will I need for proof of funds?

Before you move to Canada, you need to show that you have the minimum amount of settlement funds set by IRCC. Known as proof of funds, this shows the Canadian government that you have enough money to settle in Canada and cover living expenses. If you have more than the minimum amount, list the amount in your Express Entry profile.

Immigration, Refugees and Citizenship Canada (IRCC) updates how much you require each year based on family size. These figures are current as of May 2024.

The amount of settlement funds you require depends on the size of your family. Source: IRCC May, 2024

Who needs to show proof of funds?

You must show proof of funds if you are applying using the:

• Federal Skilled Worker Program
• Federal Skilled Trades Program

You do NOT have to show proof of funds if you:

• Have a valid job offer in Canada
• Are currently working or authorized to work in Canada, OR
• Have been invited to apply for the Canadian Experience Class.

Tips to obtain and maintain proof of funds for Canada PR

• Update your Express Entry Profile if there is a change in your settlement funds. You need to update your profile to maintain your eligibility.

• Avoid unnecessary spending to ensure you have the minimum amount of settlement funds available and can access the funds.

• Maintain a financial buffer to meet any unexpected expenses or fluctuations in the exchange rate.

How much money can I bring when I move to Canada

While you must meet the minimum amount of proof of funds, you can bring as much money as you wish to make it easier to move to Canada and find a home.

When you cross the border and enter Canada, Canadian customs regulations require you to declare if you bring more than C$10,000 into Canada. You may be fined or imprisoned if you do not tell them. To avoid this, declare how much money you are bringing and expect to pay duty (a fee) on the amount greater than $10,000 Canadian. These funds could be in the form of:

• Cash
• Stocks, bonds, debentures, treasury bills, etc., or
• Bankers’ drafts, cheques, travellers’ cheques, or money orders.

How much money can I bring when I move to Canada?

Beyond the minimum funds you require, exceeding the minimum is helpful. Additional money will help you to settle in Canada easily and reduce financial pressure. It’s smart to research the cost of living in the city where you plan to settle. The additional amount of funds that you require will vary based on:

• Location and city where choose to live, and
• Family size.

Consider any additional financial needs that you and your family may have. Each family will have different financial needs. Also, it’s a good idea to research how much things cost in the city where you plan to live. Here are some guidelines to help you assess how much you may need (costs do not include airfare or moving expenses):

• One adult moving alone: $25,000 CDN
• One couple moving together: $30,000 CDN
• A couple with one child under 10 years: $33,000
• A couple with a child over 10: $35,000
• For each additional child under 10: add $1,000
• For each child additional child over 10: add $2,000

• These guidelines will provide you with breathing room to settle in Canada with financial ease. Depending on your budget, this should cover basic living expenses for four to six months while searching for a job.

Researching the cost of living in Canada

Living costs vary across Canada so it’s important to research average housing, utility, transportation, childcare, food, and other essential costs. According to Numbeo, among Canada’s most expensive cities are Toronto, Vancouver, Markham, Calgary, and Brampton.

Housing costs will be your largest expense whether you rent or buy a home so research average housing costs and salaries for your profession in Canada. Choosing cities that offer affordable housing and lucrative jobs is your best option. Toronto and Vancouver, Canada’s largest and most sought-after cities, are major job hubs, however, housing costs are the highest. If you dream of homeownership, you’ll likely be able to buy a larger home in a suburb or smaller city.

Getting a credit card when you arrive in Canada is a great way to build a credit history, but you must avoid making common mistakes. From spending more than your credit limit, to only paying the minimum monthly payment, these mistakes can damage your credit score and make it difficult to achieve your financial goals. Learn how to avoid these financial mistakes and what you can do to stay in good standing.

1. Only making the minimum monthly payment on your credit card bill

Credit card issuers make it easy for you to repay your balance by allowing you to make minimum monthly payments. Sometimes you can only afford to make the minimum monthly payment, but avoid making this a habit.

When you only pay the minimum payment each month it increases the amount of time it takes to pay off your balance and you’ll pay much more interest. It also means that you will likely never pay off the full amount of your card. A better approach is to pay the full balance. If that’s not possible, pay more than the minimum monthly payment to accrue less credit card interest and pay your debt faster.

2. Missing credit card payments

Missing payments means you will have to pay a late payment fee and it can add up quickly. To avoid late payment fees, you can set up an automatic payment to your debit card. Remember, you should pay off the full balance each month. Falling behind in your payments can lead to higher credit card interest charges and your credit score will suffer. Meeting your monthly payments shows creditors that you manage your money well.

3. Not reading your monthly statement

If you don’t open your credit card billing statement, you risk missing your payment due date or paying less than you should be. Ignoring your statement could cause you to miss important announcements about changes to your credit card terms.

Review the monthly transactions to ensure that there are no purchases that you did not make or approve. If there are any errors, contact the credit card company immediately to discuss the transaction.

Missing payments will also lower your credit score. Missed payments can remain on your credit report for up to six years.

4. Not reporting a lost or stolen credit card

If you lose your card, the first thing that you should do is report it to your financial institution. The longer it takes you to report a lost or stolen card, the greater the chance of fraudulent activities. Reporting a lost credit card quickly shows the bank that you are responsible.

5. Maxing out your credit card limit

This credit card mistake is important to avoid. As a newcomer, you may have unexpected expenses you didn’t budget for. A credit card can be a short-term solution but you should never max out a card to its limit.

When you max out your credit limit, it indicates to creditors that you are living beyond your means.

It’s better to spend less than 30% of your credit limit. This is known as the credit utilization ratio which assesses how much credit you have versus how much you use. This ratio is also about 30% of your credit score calculation. Getting close to your credit limit puts you at risk for over-the-limit fees and penalty interest rates you’ll have to pay when you exceed your credit limit. Maintain a low balance on your card for a healthy credit score and manageable payment amount.

Avoiding these credit card mistakes will help you reduce financial stress, increase your credit score, and build credit history.

Buying tenant insurance is essential for international students renting, studying, and working in Canada.

Having tenant Insurance can save you from unforeseen costs and protect your possessions, and your school may even require it (college or university if you’re living on-campus).

Landlords may demand tenant insurance

Likewise, if you’re renting off-campus, your landlord may demand it as part of the rental agreement. 

So, what is student tenant insurance, what does it do, and how do you get it?

Tenant Insurance covers your personal property, liability, and additional living expenses if, for example, you must move temporarily due to an event such as a flood or fire in your apartment or building.

Tenant insurance protects students

While your landlord will have insurance, this will only cover the building itself; for example, it does not insure your belongings or cover your liability in case of damage or injury. 

So tenant insurance, also known as renters insurance, gives you security and protection – in other words, peace of mind. 

7 things international students must know about tenant insurance

• 1. YOUR STUFF
• Tenant insurance covers your personal belongings within your apartment. The insurance helps pay for any loss or damage to your personal property (and includes items damaged or stolen).  Your stuff – such as electronics, phones, laptops, gaming systems, and jewelry is expensive and valuable. They are also prime targets for thieves.
• 2. LANDLORDS LIKE IT
• Landlords expect you to have tenant insurance. They will ask for a copy of your policy before you move in.

• 3. SO DO SCHOOLS
• If you live on campus in student housing, your school (university or college) will likely insist you have renters’ insurance. The school is your landlord. Most schools will detail in the residency agreement that they are not liable for theft or damage to student property.

• 4. EMERGENCIES HAPPEN
• Tenant insurance ensures that if you can’t live in your apartment due to a covered emergency such as a fire, you will get financial assistance for temporary accommodation (like a hotel or Airbnb) and food.

• 5. ACCIDENTS HAPPEN, TOO  
• Count on it, and some are costly. Personal Liability coverage in your tenant insurance policy protects you if your landlord holds you responsible for property damage or personal injury to someone at your apartment. Also, parties and sharing student accommodations with others bring visitors, including some who may cause damage or steal your stuff.  You could be held responsible if they damage your home or injure someone.

• 6. IT IS NOT THE LAW
• Legally, you do not require tenant insurance in Canada. No law makes renters purchase tenant insurance coverage, but remember that it protects you and provides security and peace of mind. And, of course, your landlord may obligate you to buy it according to the terms of your lease agreement with your landlord.

• 7. IT IS AFFORDABLE
• Given how affordable contents insurance is for renters in Canada, it makes sense for students to insure their valuables, particularly those living so far from home.

How do international students get insurance?

Contact an insurance company and talk to the broker about renters’ insurance for university and college students. They have the knowledge and expertise to guide you through this process. Here’s a handy link where you can get a quote online.

Remember, when you decide to get tenant insurance, read the agreement carefully to know what is covered (and what is not!). Be sure to share the agreement with your landlord.

Also, it’s always a good idea when looking to rent a home in Canada to inform a prospective landlord that you intend to get tenant insurance. This shows landlords you will be a responsible tenant.

A lesson many newcomers learn when they arrive in Canada is that you need credit to pay for large expenses, buy a car, or purchase a home. However, it’s difficult to borrow without a credit history in Canada. Canadian lenders typically check each applicant’s credit files at one of the main credit reporting agencies (Equifax Canada and TransUnion). This file is like a financial report card that tracks how much you borrow and how quickly you pay it back, to calculate your credit rating and credit score.

Without a credit history, newcomers may need a loan co-signer with a Canadian credit rating, and considerable assets as collateral, or they must demonstrate a history of stable income in Canada to receive a loan. Fortunately, you can start to build your credit record and history shortly after you arrive in Canada.

Getting Started

The financial decisions you make when you arrive in Canada have a huge impact on your credit history and score. The concept of credit can sometimes lead to a debate about how it can help, or hurt you when you are building your credit rating. On one hand, credit can be a fantastic tool to help you:

• Get a loan or a mortgage

• Save on credit card and loan interest rates

• Get approval for lines of credit

• Obtain certain jobs (i.e. some finance-related roles will require a credit check as a condition of employment)

• Rent a home.

On the other hand, if poorly managed, credit can haunt you for many years, and make you miss out on financial opportunities. Creditors can run a credit check on you to assess if you are a low-risk or high-risk borrower. They will also decide to grant or deny you a loan or charge you a higher interest rate.

What is Credit History?

Your credit history shows lenders that you are responsible when repaying your financial obligations. Whether that is your monthly rent, utility bills, loans, etc. If you come from a country with credit bureaus, you know how important your credit history is. Maintaining a good credit history in Canada is also important. We’ll share tips to help you build and maintain a healthy credit report. With a strong credit history, you can save money and have more financial freedom.

So what is your credit score when you come to Canada? Nothing. Think of it as a blank slate. Your financial habits will dictate the direction of your credit rating up or down.

Your credit history or credit rating starts the first time you get a credit card or loan in your name from a Canadian bank. You can begin by applying for and using a credit card responsibly.

Even if you don’t have immediate plans to buy a house or vehicle, it’s good to establish a credit history, since banks may give special consideration to recent newcomers.

Newcomers may be eligible for a ‘secured’ credit card. A secured credit card is different than a regular credit card because it requires a security deposit equal to the amount of the credit limit. Think of it as a stepping stone to getting an unsecured credit card. Such special offers may be more difficult to obtain later, especially if your income does not grow as fast as you had hoped. A credit card is also useful for larger purchases and as a secondary piece of identification.

Why is Your Credit Score Important?

Your credit score is important for several reasons:

1. 1. Lenders will review your credit score when you want a mortgage to buy a home, or a loan to buy a car. They want to understand your payment history, and your ability to manage credit and pay off debt.

2. Landlords will conduct a credit check before renting their property to you.

3. Some employers will conduct a credit check before they make a job offer. This is common in some roles at banks and other financial institutions such as insurance companies.

What Credit Score is Good?

Your credit score can fall between the range of 300 – 900. Generally, and depending on the credit score model that your financial institute is using a good score is greater than 680. As a benchmark, to get a mortgage to buy a house in Canada, you need a credit score between 600 – 700. If your credit score is lower than 600, you will want to take steps to increase your credit score.

Once you receive a credit card, use it wisely to establish a credit score so that lenders will have confidence in your ability to repay loans.

Your credit score can fall between 300 – 900 points. You require a minimum of 650 points to qualify for a loan. It’s difficult to get a loan or receive new credit with a low score. However, if you have a low credit score, you can improve your score by carefully managing your credit use.

How Much Credit Limit Should I Use?

If possible, avoid using more than 30% of your credit limit (balance-to-limit ratio). For example, if you have a credit limit of $1,000, you should try not to spend more than $300 and pay the bill in full by the due date.

Your credit score may decline if your balance-to-limit ratio exceeds 30% because it indicates to creditors that you are a higher-risk borrower.

How Many Credit Cards Can I Have?

It’s best to start with only one until you are financially comfortable enough to afford more. Avoid opening many credit accounts. Many credit card accounts can signal financial distress to lenders, especially if they all carry a balance on them.

Why Credit History is Important to Rent a Home in Canada

Your credit history is one of the things landlords want to see before giving out their home to you. Your credit history will tell the landlord how reliably you pay debt. A good score and credit report in Canada will show the landlord you are reliable and will likely pay your rent on time. This is important to landlords as it guides their decision about who to rent their home or avoid.

While this arrangement is great for landlords, it can be problematic for newcomers looking to rent a home. If you are a newcomer to Canada, you likely will not have a credit history. It takes a minimum of six months to build a credit history. Because of this, it can often be hard to convince a landlord that you will be a reliable tenant. However, there are some tips that you can follow to rent a home without a credit history.

How Do I Rent a Home Without a Credit History?

The first thing you can do is show proof to your future landlord that you have a good amount of savings in your bank account. This will tell the landlord that you have enough money to pay the rent and will pay it on time.

If you don’t have large savings, your top priority is to secure a source of income. Once you have done that, you can show proof of income to your landlord. This will also satisfy landlords because it means that you have enough stable income to pay the rent each month.

In the meantime, pay any bills you have on time to show lenders that you are financially responsible. Over time, you will build a strong credit report in Canada that can open doors to your financial goals.

How Do I Maintain a Good Credit History? Five Tips to Follow

1. Take Advantage of Your Fresh Start in Canada to Build a Good Credit History

Get a credit card or two, and use them, but use them sensibly. Pay off your balance monthly and avoid exceeding your limit to show potential lenders you are reliable.

Paying in full each month will reduce the amount of interest you pay. And with the average credit card interest rate at approximately 20%, any balance on your credit card can be expensive. But, if you don’t pay the balance in full each month, pay attention to how much you pay in interest.

If you can’t pay the full balance on your credit card, at least pay the minimum balance and make regular payments, to pay debts as quickly as possible. But, avoid missing payments. Missing payments can damage your credit score and make it difficult to get a future loan such as a car loan, or mortgage.

Using your credit card for cash advances is even more expensive. Typically, the interest rate is higher and you pay interest from the date of the cash advance. There is no grace period like there is for a regular credit card purchase.

2. Read the Small Print on Cancellation Fees and Penalties

On top of paying your monthly bills and loan installments on time, be careful when you sign up for services such as cable, telephone, internet, gym memberships, and other monthly subscriptions. Check the cancellation fees and deadlines when you sign up for services. Otherwise, these fees can be high.

Ask questions about your contract if there is anything that you do not clearly understand.

3. Keep Track of Your Utility Changes

Remember to cancel or transfer your services and utilities when you move to a new address. Sometimes final bills end up in collections out of sheer neglect, and from collections, they land on your credit report for the next six years. This will negatively affect your credit report in Canada. Keep track of changes and record the date, the names of the agents you speak to, and your case number. Keep any receipts to prove that you cancelled the service.

4. Negotiate a Payment Schedule with Creditors if You Hit a Rough Patch

Don’t be complacent with your payments if you hit a rough patch such as a job loss. Call your creditors and negotiate monthly payments. They will likely be willing to help you because sending outstanding accounts to collections will cost them money. Cancel or suspend services you can do without, rather than have the bills rack up.

It’s wise to live within your financial means. As the saying goes, “It’s not how much you earn, it’s how much you spend.”

5. Use Services to Track Your Credit History and Maintain a Good Credit Report in Canada

Most banks including Scotiabank offer account holders this facility. Alternatively, use free services like Borrowell to monitor your credit. If you notice outstanding payments you have paid off on your report you should inform the reporting agency in writing so that this may be removed.  

What’s in Your Credit Report?

Credit reporting agencies such as Equifax and TransUnion record your credit history. Your credit report in Canada will contain information on your:

• Loans

• Credit accounts

• Bills (for example, outstanding cell phone bills can be listed on your credit report)

• Collections items (for example, if an outstanding debt is sent to a collections agency), and

• Legal items (for example, if a court order is issued against you for an outstanding debt).

Collections items stay on your credit report for six years, and legal items stay for ten years. So it’s essential to practice good financial habits that don’t jeopardize your credit rating. Your credit history speaks volumes to lenders about what kind of risks they take when they agree to lend you money. It takes a long time to build a credit history. Yet, it’s easy to sabotage and takes even longer to rebuild.

So, can you live without credit? Yes. But, should you try to do without it? No. Because without credit, it will be difficult to improve your living standards, at the very least, not as quickly as you would like. And, when it comes to making major purchases such as buying your first home, a strong credit report in Canada is essential. When you manage how you use credit, you’ll remain in good financial standing and be able to secure credit to achieve your important dreams.

For newcomers, carefully managing your finances is vital especially if you have not yet landed your ideal job. Settlement agencies suggest it can take up to six months to land a job that matches your skills and experiences. In the meantime, carefully managing your budget can reduce stress and financial pressure. Managing your finances will also help you build your Canadian credit history and influence your credit score.

Here, we’ll explore how to create a budget for some of your main expenses in Canada.

So where to start, which is essential to achieving future loans! You need to establish your Canadian credit history because it will be important for many reasons including buying your first home.

An important guiding principle is not how much you earn, but how much you spend. Many Canadians carry too much debt, trying to “keep up with the neighbours”, in other words, buying everything from cars to electronics, even if they can’t afford it. Overspending can catch you in a trap that you want to avoid.

Create a Budget to Manage Your Personal Finances

To manage your personal finances, start by preparing a budget with basic expenses like rent and utilities in mind. The cost of living in Canadian cities can vary. Large cities like Toronto and Vancouver are sought-after because they offer the most job opportunities, however, they are also more expensive.

Here are some of the basic expenses to consider when creating your budget:

Rent Payments

Housing costs will be the largest monthly expense. Newcomers often rent an apartment when they first arrive in Canada and prices vary depending on the city. Typically, prices for a one-bedroom apartment can range from $700 to $2,500 per month depending on the city.

Before you rent an apartment, visit the building to ensure it’s the right place for you. Determine if it meets your needs and is close to shops, work, and public transit.

Rentals for Newcomers site is a practical and easy-to-navigate site that can help you find housing that meets your unique needs! You can even determine the average costs of rentals in cities across Canada. This is helpful since rental prices change often. You’ll also find helpful articles to help you with your housing search.

Utility Bills

You will need to budget for the cost of utilities such as electricity (hydro), heating, telephone, cable, and internet. Some apartments include heating and hydro costs in the rent. If you have to pay for electricity, you can ask the landlord what you expect to pay every month. But, your bill will also depend on usage and time of day.

For utilities like internet, cable, and telephone, the best option is to shop for bundles (combined service plans) from different telecom providers in your area. A bundle can cost anywhere between $100 – $150 per month. Or, check out streaming services that are less expensive than cable television.

Cell phone plans range from $15 per month to more than $150, depending on the number of free minutes and text messages and the data usage limits. Voicemail activation usually costs extra. You can start with a basic plan and upgrade according to your needs.

While not a bill per se, the cost of doing laundry will be similar from one month to the next. Apartment buildings come with laundry rooms with coin or card-operated washing machines. A washing cycle costs between $2.25 and $3.50 depending on the length, and a dryer cycle is similar.

Insurance

Even if you are renting, it’s a good idea to purchase renter’s insurance to protect you against damage and theft. The insurance can cost up to a few hundred dollars a year.

Depending on your province, you may also have to pay health insurance premiums, which vary by province and according to the size of your family. You will also need to factor in the premiums for any private health insurance you may buy.

Public Transit

Public transit is probably the most affordable means of travel. All cities offer affordable travel options such as buses, trains, subways, light-rail trains, and streetcars. A monthly transit pass can cost anywhere between $70 to more than $150 depending on the city and the number of travel routes. In large cities, such as Toronto, the public transit system covers the Greater Toronto Area, and you can easily transfer from one mode of transit to another.

To use public transit, you can purchase individual tickets starting at $3.50, but you can use a transfer at the start of your destination to transfer to different transit modes. In other words, you only have to pay once at the start of your destination. You can also buy transit passes that allow unlimited transit use for a period. Some cities offer an electric fare payment system that allows you to load money onto a card to make travelling easier and at a discounted fare.

You can find specific fare information about public transit in your city by visiting the website of your city government, or the public transit system.

Food and Groceries

The cost of your food bill will depend largely on your diet, personal standards, and where you live. The stores and supermarkets in popular posh areas are more expensive and will offer more high-quality gourmet and organic products, while cheaper areas will have more low-cost options. Food can set you back anywhere from $100 per week for a single person to several hundred. Cooking at home and planning your meals will balance cost and nutrition.

Personal care items and other supplies can start at $2 at dollar stores, but you may have to compromise on quality. Supermarkets have store brands that are usually cheaper than name brands and, in many cases, of comparable quality.

Clothing

Again, your personal preferences will determine your clothing budget. You should bring quality items that will last you because clothes shopping is best kept until you find employment. You can pay anywhere from a few dollars for clothing at a cheap retailer or a thrift (second-hand) store to hundreds and even thousands at high-end designer stores.

Entertainment

Movie tickets can cost $10 to $15 depending on the movie and the time of day. Most theatre tickets usually start at $20, and concerts of popular performers can cost well over $100. You can take advantage of local libraries to borrow DVDs and look for community theatres with free performances or performances by donation. It’s important to budget for entertainment, but this may be a personal finance area that you can cut back on if necessary.

Other Personal Finance Expenses

Big cities offer great variety and cultural cuisine, so you may want to treat yourself and your family to occasional restaurant outings. The costs can be anywhere from $10 per person at fast-food restaurants, to more than $50 per person at an average restaurant. People usually tip between 15 – 20% of the bill when eating at a restaurant.

Staying fit and healthy should always be a priority. Some rental buildings come with gyms and the price may be very low or included in the rent. If you plan to join a gym, always read the fine print. The monthly cost is usually $60 to $100, but most gyms charge introductory fees and substantial cancellation fees.

Personal care costs also cover the range from basic to luxury. Expect to pay at least $25 for a simple haircut (plus tip) and anywhere from $50 to $70 for a manicure.

If you’ve recently arrived in Canada, managing your personal finances carefully will help you reduce financial stress until you find your first job. And, the strong personal finance habits you follow during your first year in Canada will help you to achieve many of your long-term financial goals.