Top 10 Ontario Living Expenses [2025-2026 Guide]

TL;DR: The average single person in Ontario needs approximately $3,500 to $4,500 per month to cover living expenses, with housing being the largest and most variable cost. Your total budget will depend heavily on your city, lifestyle, and family size, but proactive planning using tools like Evola AI's financial planning resources can help you build a realistic and stress-free budget before you arrive.

Understanding the true cost of living is the first step to a successful settlement in Ontario. This guide provides a transparent, detailed breakdown of all major expenses you'll encounter, from rent to groceries, so you can plan your finances with confidence.

What is the Average Cost of Living for a Single Person in Ontario?

A single person can expect to spend between $3,500 and $4,500 per month. This estimate covers a moderate lifestyle in a major city like Toronto or Ottawa, including a one-bedroom apartment, utilities, groceries, transportation, and personal spending.

Your final monthly cost is highly dependent on your location and lifestyle choices. Living in downtown Toronto will be significantly more expensive than a city like London or Sudbury. Creating a detailed budget before you move is crucial.

• Housing (Rent): $1,800 - $2,800 for a one-bedroom apartment.
• Groceries: $300 - $500 per month.
• Transportation: $150 - $250 for a monthly transit pass.
• Utilities (if not included): $150 - $200 for electricity and heating.
• Phone & Internet: $100 - $150.

Before you finalize your budget, use Evola AI's Immigration Success Predictor to get a holistic view of your financial readiness and settlement plan, ensuring no hidden costs catch you by surprise.

How Much Does Housing Cost in Ontario?

Housing is your largest monthly expense, with rent varying dramatically by city and neighbourhood. According to the Canada Mortgage and Housing Corporation (CMHC), the average rent for a two-bedroom apartment in Ontario's major urban centres continues to see annual increases.

For a one-bedroom apartment, average monthly rents in 2025 are projected to be:

• Toronto: $2,400 - $2,800+
• Ottawa: $1,900 - $2,200
• Mississauga: $2,100 - $2,400
• Hamilton: $1,800 - $2,100
• London: $1,700 - $1,900
• Kitchener-Waterloo: $1,800 - $2,100

If you are considering buying a home, be prepared for high real estate prices. The average home price in Ontario is significantly above the national average. You will need a substantial down payment and must qualify for a mortgage.

What is the Average Cost of Groceries and Food?

A single person typically spends $300-$500 monthly on groceries. A family of four can expect a grocery bill of $1,000 to $1,500, depending on dietary habits and where you shop.

Food costs can be managed by choosing grocery chains wisely and buying in-season produce. Eating out and ordering delivery will quickly increase your food budget.

• Milk (1L): $2.50 - $3.50
• Bread (Loaf): $3.00 - $4.50
• Eggs (Dozen): $4.00 - $6.00
• Chicken Breast (1kg): $13.00 - $18.00
• Apples (1kg): $4.00 - $6.00

How Much Should I Budget for Transportation?

Your transportation budget depends on whether you use public transit or own a car. In major cities like Toronto, a monthly transit pass is a cost-effective option.

• Monthly Transit Pass (e.g., TTC in Toronto): ~$156
• Single Cash Fare: ~$3.35

If you own a car, your monthly costs will be significantly higher. This includes car payments, insurance (which is notably high in Ontario, especially for new drivers), fuel, and maintenance.

• Car Insurance: $150 - $300+ per month.
• Gasoline: $150 - $250 per month (varies with commute).
• Car Payment: $300 - $600+ per month.

What are the Utility and Telecom Costs?

For a standard apartment, you can expect to pay for electricity, heating, and water if they are not included in your rent. A typical budget is $150 to $200 per month.

Telecom costs for a mobile phone plan and home internet are another fixed expense.

• Mobile Phone Plan (with data): $50 - $80 per month.
• Home Internet (60+ Mbps): $70 - $100 per month.

Many rental apartments include water and sometimes even heating in the rent, which can simplify your budgeting. Always confirm what is included before signing a lease.

How Much are Ontario's Taxes?

You will encounter several types of taxes that impact your cost of living. The Harmonized Sales Tax (HST) is a 13% consumption tax added to most goods and services.

According to the Government of Ontario's official page on taxes, you must also pay federal and provincial income tax, which is deducted directly from your paycheck. The amount depends on your income level.

• HST (Sales Tax): 13% on most purchases.
• Income Tax: Progressive rates based on your earnings.
• Property Tax: Applicable if you own a home, paid to your municipality.

What are the Healthcare Costs for Newcomers?

Ontario's public health insurance plan, OHIP, covers many essential medical services for eligible residents. However, there is typically a three-month waiting period after you establish residency before coverage begins.

During this waiting period, you must purchase private health insurance to avoid catastrophic costs in case of a medical emergency. You should budget for this temporary coverage.

• Temporary Private Health Insurance: $100 - $200 per month for a single person.
• OHIP Coverage: Starts after the 3-month waiting period for most eligible newcomers.
• Services Not Covered: Dental, vision, and prescription drugs for most adults.

How Much Does Childcare Cost in Ontario?

Childcare is a major expense for families. Full-time daycare for an infant or toddler can range from $1,000 to $2,000 per month per child, though costs are decreasing due to federal funding agreements.

The Government of Canada is working with provinces to reduce fees to an average of $10-a-day by 2026. You should check the Ontario government's child care website for the latest information on subsidies and licensed daycare centres in your area.

• Infant/Toddler Care (Monthly): $1,000 - $2,000 (pre-subsidy).
• Before/After-School Care: $400 - $800 per month.

What Other Miscellaneous Expenses Should I Consider?

Beyond the core categories, you should budget for other common costs that add up over the month.

• Entertainment (dining, movies): $200 - $400
• Fitness/Gym Membership: $50 - $100
• Personal Care & Clothing: $100 - $200
• Savings & Emergency Fund: A critical part of any budget.

How Can I Create a Realistic Budget for Ontario?

The most effective way to create a budget is to use a detailed online calculator or planner. Start by listing all your potential income sources and fixed expenses (rent, utilities, transit). Then, allocate funds for variable costs like groceries and entertainment.

Tools like Evola AI's financial planning resources are designed specifically for newcomers and can help you model different scenarios based on your city and family size. This proactive approach prevents financial stress and sets you up for long-term success.

Your New Life in Ontario Awaits

While the cost of living in Ontario can be high, it is matched by incredible opportunities, diverse communities, and a high quality of life. By researching costs, creating a detailed budget, and leveraging smart tools, you can manage your finances effectively from day one.

Ready to build your personalized Ontario settlement plan?

Start planning your move with confidence at Evola AI.