Guy makes $160,000 and barely making it month to month...

Ryan81 said:
That's not really accurate... if you add in the payroll taxes for social scrutiny (another 12.4% if you include both employee and employer portions, and almost another 3% for Medicare tax.)
And sales taxes in my locale are over 10% and my property tax is very high...

Throw in the fact that there isn't a single payer health care system as a backstop, and we must pay for our own health insurance... things aren't all as rosey as you might think on the surface...
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Our sales tax is from 10% - 15% in most of the provinces except Alberta and the three territories in Igloo land where the average year-round temperature is -30+ degree celcius. And we are now being charged healthcare on our taxes once your income is above certain threshold so it's not free for us anymore.
 
JSOP said:
La belle province!! Your published tax rate is Ontario and it's not as low as you think. Try to make > $100K there and you will see it's not 33.7%, it's about 40% as well once all the surplus tax is added.
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The taxtips table include all the surtaxes. I'm in AB, so my rates are slightly lower than ON/PQ. I haven't done the math, but even Quebec shouldn't be that high for $160k.

Another big difference between the US and Canada are property taxes. In my city, property taxes are ~0.3-0.4% of my property assessment. We explored moving to Sugar Land, TX and couldn't believe the property taxes down there.
 
atrp2biz said:
The taxtips table include all the surtaxes. I'm in AB, so my rates are slightly lower than ON/PQ. I haven't done the math, but even Quebec shouldn't be that high for $160k.

Another big difference between the US and Canada are property taxes. In my city, property taxes are ~0.3-0.4% of my property assessment. We explored moving to Sugar Land, TX and couldn't believe the property taxes down there.
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Alberta has one of the lowest personal tax rate at 36%, the same as the three Igloo land territories and BC. If you click on the link that I provided in my previous post, http://www.ey.com/ca/en/services/tax/tax-calculators-2016-personal-tax and type in 100,000 in the "taxable income" box and click on "Calculate", you will see the marginal tax rate for all of the provincial tax rates in Canada as well as how much in dollar amount you will be paying. Ontario and Quebec are not the only provinces that have 40+% fed + prov. combined tax rate.
 
^ There's a difference between marginal and average tax rates. I don't see how you're getting a 45% average tax rate on $160k in any province.
 
sle said:
Yes, but how much did he pay for it in real estate taxes and maintenance? If you look at the numbers I posted, per decade total return of an average home did beat the S&P, especially if including average rent savings. The real estate taxes and maintenance make a big difference though - for example, in the NYC it's common to pay 2% of value in taxes and similar amount in condo fees
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The 10% did not factor in equivalent rental income or leverage either.
 
jj90 said:
@Overnight And I plan to default on my credit cards and rob a bank! Better call the feds!
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You can rob a bank and have the Feds chasing you. That's no problem.

But defaulting on your credit cards and having them go to collection agencies?

That would be your new living hell. In that case, the Feds would be doing you a favor by throwing you in prison, because those collection agencies will tear out your soul. Feds don't tear out souls, they just do their job. :-O
 
Last night I saw an episode of "House Hunters International" where a professional Bay area couple got transferred to Sydney. They were shocked how high rental prices were. In the end they paid $2400/month for a small one bedroom apartment near Sydney Harbour Bridge.
Didn't say where they were living in the Bay area but not obviously in the city for $2400/month.
 
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