How much it costs to live in Toronto in 2020
It’s not abnormal for Toronto residents to being asked how they can afford to live in this city that keeps getting more expensive. Average costs of living here depend on a number of different factors:
Housing/Rent – Last year the average rent cost in Toronto was approximately $1600 and the average cost may even be rising to as much as $2,080 for 2020. Whether it be an apartment in Toronto, Brampton, Mississauga, or Oakville, you’re bound to see different prices depending on where you live.
Phone + Internet - $100 a month
Costs for phone and internet can total to approximately $100/month. To save some money, bundle up, shop around on phone companies, prepay your cell phone, evaluate what you use on cable and negotiate prices.
Transportation - $250-300 a month
Depending on how you get around, transportation costs can include costs of a car, the metro, bus, Uber and bike. See what makes sense for your lifestyle and what works best to commute to work.
Groceries - $250-300/month
The amount you’ll have to pay for groceries should be between roughly 10 and 20% of your gross income.
Entertainment - $400-500/month
Entertainment costs will include everything from going out to restaurants, bars, and pubs with friends to movies and travel. Aiming for a budget of $400-500 a month is a good amount to aim for, but will vary largely depending on your lifestyle.
Insurance - $60/month
Home, auto, and business insurance are necessary in order to ensure you’re protected in the event of any sort of accident.
Health and Fitness - $60/month
Gym memberships, sports, yoga, whatever your choice is there will often be at least a small fee. This should be accounted for when determining costs of living.
Grand Total - $3,300/month, or $40,000 annually minimum
How to beat the high cost of living
Here are some ideas to help you beat the cost of living in Toronto:
Create a fund: Create a fund that you put into each week for savings.
Look at your spending: Identity which areas of your expenses you are overspending or could cut back on.
Set goals: Create savings goals. Even starting with small amounts i.e. saving XX for a vacation, for retirement, or for something you’d like to spend on will help you stay motivated to keep other expenses under control.
Prep meals each week: Buying your groceries and cooking at home to prepare lunches, breakfast, and dinner can help save time and money. It’s also fun to learn new recipes and get creative. Grab a friend or family member and start prepping meals!
Use credit cards that collect points: Whether it be travel, gas, or groceries, use credit card points to earn and save on your expenses.