Cost of living in Toronto vs Chicago

Toronto has a reputation for sticker shock, but once you convert Canadian dollars into US dollars, a lot of it looks like Chicago with better transit and more expensive groceries.

The short version

The exchange rate does a lot of work. In early November 2026, one US dollar bought about CAD 1.40 [1], so CAD 1,000 is roughly USD 715.
An unfurnished one-bedroom in Toronto averaged about CAD 1,969 (about USD 1,400) in asking rent in October 2026, according to private listings data [2]. Chicago's median gross rent was USD 1,440 and the US median USD 1,413 in Census data for 2020–2024 [3].
Transit is cheaper. A TTC ride costs CAD 3.30 (about USD 2.36) on PRESTO, and rides are free after 47 fares in a calendar month [4].
Health care is mostly paid through taxes once you're on OHIP. That's a big change from the USD 6,470 the average US household spent on health care in 2025 [5].
Taxes are higher, including 13% HST on most purchases and higher income tax on middle incomes. See our Canadian taxes guide.

The comparison at a glance

USD conversions use the Bank of Canada rate of 1.3989 CAD per USD (November 5, 2026) [1]. Figures are ranges and averages, not a quote for your life.

Item	Toronto (CAD)	Toronto (about USD)	Chicago (USD)	US average (USD)
One-bedroom asking rent, Oct. 2026	1,969 [2]	1,400	Median gross rent, all units: 1,440 [3]	Median gross rent: 1,413 [3]
Two-bedroom, purpose-built, 2025 average	2,034 [6]	1,450	n/a	n/a
Transit ride (adult)	3.30 PRESTO, 3.35 cash [4]	2.36	2.50 'L', 2.25 bus [7]	Varies
Monthly transit	Free after 47 fares (CAD 155.10 at the PRESTO fare) [4]	111	30-day pass 75 [7]	Varies
Household health care spending	Mostly covered by OHIP once eligible	n/a	8.3% of household budgets, 2023–24 [8]	6,470 a year, 2025 [5]
Sales tax	13% HST	n/a	Over 10% in the city	Varies by state

A note on the rent row: the Toronto number is the average asking rent for new listings, while the Census medians include everyone, even tenants who've had the same lease for a decade. That makes Toronto look a little pricier than a strict apples-to-apples comparison would. Chicago's newly listed one-bedrooms downtown also run above the citywide median.

Housing: closer to Chicago than you'd think

Toronto rents climbed hard for years, then eased. Private listings data show the average asking rent for an unfurnished one-bedroom in the City of Toronto down 3.7% year over year in October 2026 [2]. CMHC, Canada's national housing agency, found the purpose-built vacancy rate in the Greater Toronto Area rose to about 3% in 2025, with an average two-bedroom rent of CAD 2,034 (about USD 1,450) in those buildings [6]. Rented condos cost more: CMHC put the average two-bedroom at CAD 2,904 (about USD 2,075) [6].

Where Toronto really hurts is buying. Home prices are high compared with incomes, and many Americans rent for years before buying. Our renting guide covers deposits and Ontario's rent increase rules, which protect many tenants from big jumps.

Utilities: some apartment rents include heat and water, and many condos bill electricity separately. Check the standard lease, which lists what's included.

Getting around: the TTC vs the CTA

The TTC (subway, streetcars and buses) costs CAD 3.30 per adult ride on a PRESTO card or CAD 3.35 cash [4]. Monthly passes were discontinued on August 31, 2026, when monthly fare capping started: after 47 eligible fares in a calendar month, the rest of your TTC rides that month are free [4]. At the PRESTO fare, that caps you at about CAD 155 (about USD 111) a month.

In Chicago, a CTA 'L' ride is USD 2.50 and a bus ride USD 2.25 with Ventra, and a 30-day CTA/Pace pass is USD 75, according to the CTA fare chart, which is dated February 2023 [7]. So a daily commuter pays somewhat more in Toronto, even after converting.

Owning a car in Toronto costs about what it does in a big US city, with two twists: gas is sold by the liter (there are about 3.8 liters in a US gallon), and auto insurance in the Toronto area is known for being expensive. Get a quote before you ship your car. Our guide to driving and getting around Toronto has the details.

Health care: the biggest swing

Back home, health care is a household budget line. The BLS found the average US household spent USD 6,470 on it in 2025 [5], and Chicago-area households spent 8.3% of their budgets on health care in 2023–24, slightly above the US share [8].

In Ontario, once you qualify for OHIP, doctor visits and hospital care are covered with no copay and no waiting period [9]. To qualify, you generally need permanent residence or an eligible work permit and to be physically present in Ontario for at least 153 days in any 12-month period [9]. What OHIP doesn't usually cover for working-age adults: prescription drugs, dental care and eyeglasses. Most employers offer a group benefits plan for those.

Don't forget the gap. Until you're on OHIP, you need private insurance, and visitors don't qualify at all. See getting OHIP.

Groceries and eating out

Groceries are where Americans most often feel the pinch. Dairy, chicken and eggs tend to cost more in Canada than in the US, partly because of supply management in those industries. Produce prices jump in winter, when more of it is imported. Statistics Canada publishes monthly average retail prices for staples like milk, eggs and ground beef, broken down by province, if you want to price out a shopping list [10].

For context, the average US household spent USD 6,491 on food at home and USD 4,142 on food away from home in 2025 [5]. Plan for a similar or somewhat higher grocery budget in Toronto after converting, and shop the discount chains and ethnic grocers. The Costco runs still work: there are several Costco warehouses across the Toronto area.

Eating out feels familiar. Menu prices don't include the 13% HST, and tipping runs about 15–20%, like at home. A casual dinner for two with drinks in a downtown neighborhood easily tops CAD 100 (about USD 71).

Taxes and paychecks

This is where Toronto is clearly more expensive for many middle earners. Ontario residents pay federal and provincial income tax, and sales tax is 13% HST on most goods and services. You also pay into the Canada Pension Plan and Employment Insurance from your paycheck.

On the other side of the ledger, part of that tax buys the health coverage you'd otherwise pay for, and the foreign tax credit usually keeps you from owing much, if any, US tax on the same income. Uncle Sam still wants a return, though. See our Canadian taxes guide.

Incomes to compare against: Chicago's median household income was USD 77,902 and the US median USD 80,734 in 2020–2024 Census data [3]. Overall, the BLS found Chicago-area households spent about USD 85,415 a year in 2023–24, versus a national average of USD 77,907 [8].

A sample monthly budget

A single professional renting a one-bedroom in a central neighborhood, as a rough ballpark for 2026:

Rent: CAD 1,900–2,600 (USD 1,350–1,850)
Utilities and internet: CAD 150–250 (USD 105–180)
Cell phone plan: CAD 40–80 (USD 30–55)
Transit: up to about CAD 155 (USD 111) with fare capping [4]
Groceries: CAD 450–650 (USD 320–465)
Eating out and fun: CAD 300–600 (USD 215–430)

That's about CAD 3,000–4,250 (USD 2,150–3,050) a month before taxes, savings and travel home. Items 2, 3, 5 and 6 are our own estimates, not official statistics, so treat them as a starting point. Want real-world numbers from people living it? Ask in our community group for Americans in Canada.

Cost of living in Toronto vs Chicago: where your dollar goes further