Alberta vs. Ontario: Key Things to Consider BEFORE You Move
Would you rather call Ontario or Alberta home? In this provincial face-off, we break down the key factors that matter—cost of living, taxes, job prospects, and overall lifestyle. Ontario boasts the nation's capital and largest city, while Alberta stands out for its affordability and booming economy. Keep reading to see which province comes out on top!
Alberta vs. Ontario: Key Differences to Consider Before Moving
Comparing the Two Provinces
Alberta is known for its lower cost of living compared to Ontario, with more affordable housing, utilities, and transportation. It also offers tax benefits, including no provincial sales tax and lower income tax rates.
With higher average incomes and a strong job market, Alberta’s economy is growing faster than Ontario’s. The province's diverse industries and increasing employment opportunities make it an attractive place for professionals.
Both provinces offer great cultural and recreational experiences, but Alberta’s real estate market provides better investment opportunities, with fewer restrictions on rent increases and additional tax advantages not found in Ontario.
Cost of Living: Alberta vs. Ontario
If you're thinking about leaving Ontario’s busy cities for Alberta’s open landscapes, cost of living is an important factor. Alberta is more affordable in key areas like housing, taxes, and utilities.
Housing Costs
In early 2024, home prices in Ontario’s Greater Toronto Area averaged over $1 million. While prices have dipped due to increased inventory, they remain much higher than pre-pandemic levels.
In contrast, Alberta’s real estate market is on the rise, with steady price increases in Calgary and Edmonton. Despite this growth, home prices in Alberta remain more affordable than in Ontario. With lower taxes and overall living costs, Alberta offers better financial flexibility, especially for first-time buyers.
Utilities & Essentials
Albertans pay an average of $266.41 per month for utilities (excluding electricity), covering water, gas, and internet. Meanwhile, Ontarians face a higher average of $339.49. Alberta’s sunny climate also makes solar energy a cost-saving option.
Transportation Costs
Public transit is more expensive in Ontario, with a monthly pass averaging $150, compared to just over $100 in Alberta. In addition, longer commute times in cities like Toronto make Alberta's lower transportation costs even more appealing.
Taxes: Alberta vs. Ontario
Alberta is widely known for having the lowest taxes in Canada. With no provincial sales tax and lower income tax rates, residents get to keep more of their income.
Income Tax Rates
Alberta's personal income tax rates range from 10% to 15%, while Ontario’s top rate reaches 20.53% (including the surtax). Alberta also has a higher basic personal amount, meaning residents can earn more before being taxed.
For businesses, Alberta offers a competitive corporate tax rate of 8%, compared to Ontario’s 11.5%. This makes Alberta an attractive place for businesses and entrepreneurs looking to grow.
Sales Tax
Another major difference is sales tax. Alberta only has the 5% federal GST, while Ontario applies a 13% Harmonized Sales Tax (HST). This makes daily expenses lower in Alberta.
Job Market & Economy
Job Opportunities in Alberta vs. Ontario
Alberta has the highest average income in Canada, with strong employment growth. Industries such as healthcare, technology, and infrastructure are booming, creating opportunities for job seekers.
Ontario has a diverse economy with industries like manufacturing, finance, and petroleum. However, Alberta’s economy is heavily driven by oil and gas, banking, and professional services, offering high-paying job prospects.
Employment Rates
Alberta’s unemployment rate sits at 6.3%, while Ontario’s is slightly higher at 7.5%. More importantly, Alberta’s job market is growing at a rate of 3.4% annually, outpacing Ontario’s 2.4% growth.
Education & Quality of Life
Schools & Universities
Both provinces offer a mix of public, Catholic, and French immersion schools, but Alberta is unique in having charter schools. Post-secondary options in both regions are strong, with Ontario hosting top-ranked institutions like the University of Toronto and McMaster University.
Alberta’s universities include:
University of Alberta
University of Calgary
University of Lethbridge
MacEwan University
Mount Royal University
Climate & Outdoor Activities
Weather Differences
Ontario has four distinct seasons, featuring:
Rainy springs
Cool autumns
Cold winters
Hot and humid summers (especially in the south)
Alberta’s climate is colder, but Chinook winds bring temporary warm spells in winter. Both provinces have extreme weather, but Alberta's dry climate contrasts Ontario’s humidity.
Outdoor Recreation
Outdoor lovers will enjoy what both provinces offer. Alberta’s Rocky Mountains provide top-tier skiing, snowboarding, and hiking, while Ontario’s lakes and trails are perfect for water sports and cycling.
Arts & Culture
Events & Festivals
Ontario has world-class cultural attractions, such as the Royal Ontario Museum and the Stratford Festival. Meanwhile, Alberta is home to vibrant arts and music scenes, with events like the Calgary Stampede and Edmonton’s Heritage Festival.
Both provinces offer a rich mix of history, art, and entertainment, making them exciting places to live.
Alberta vs. Ontario: Which Is Better?
Both provinces have their advantages, but Alberta stands out with its lower cost of living, growing economy, and real estate opportunities. Whether you're looking for affordability, a strong job market, or outdoor adventure, Alberta has plenty to offer.
FAQs
Why do people move from Ontario to Alberta?
Lower taxes, more affordable housing, and better job opportunities are major reasons.
Is Alberta colder than Ontario?
Yes, Alberta generally has colder winters, but Chinook winds can bring sudden warmth.
Are taxes lower in Alberta than Ontario?
Yes, Alberta has no provincial sales tax and lower income tax rates.
How do housing costs compare?
Alberta's housing market is growing but remains significantly more affordable than Ontario’s.
