Why Are Americans Moving to Canada? Reasons & Benefits

Ever wonder why are Americans moving to Canada? If you’ve found yourself looking at a health insurance bill and thinking there has to be a better way, you’re not alone.

Making the move north is a huge decision, and the internet can feel like a tangled mess of opinions and complicated jargon. We get it because we’ve been there—feeling that familiar mix of overwhelming excitement and pure anxiety.

That’s why we created this guide. It’s an honest, neighbour-to-neighbour breakdown of the real benefits and practical reasons drawing so many Americans to Canada.

Based on extensive research of official government sources and real expat experiences, we’ll cover the key differences in healthcare, cost of living, and quality of life so you can decide if it’s the right move for you.

Reasons Americans Are Moving To Canada

The Healthcare Reality: Security Over Premiums

For many Americans, the most significant and often life-changing difference is Canada’s approach to healthcare. It’s a system built on a different philosophy—community access over market competition, and understanding it is key to see the appeal.

How Canada’s Universal Healthcare Actually Works

Canada has a universal healthcare system, publicly funded and guided by the Canada Health Act. A better way to think of it is less like an insurance plan you have to shop for and more like a public utility, such as a fire department or a library.

Every resident contributes through their taxes, and in return, everyone has access to medically necessary services, regardless of their employment status or income.

I’ll never forget the first time I took my son to a walk-in clinic in 2022 for an ear infection. I showed our Ontario health card, we saw a doctor, and we left. The habit of reaching for my wallet was gone, and the relief was immense.

A Practical Comparison: U.S. Premiums vs. Canadian Taxes

This is where the financial reality truly hits home. In the U.S., a family might face high premiums, deductibles, and co-pays. In Canada, you trade those for a higher, but stable and predictable, tax rate. Here’s a simplified breakdown:

Feature	United States (Typical Private Plan)	Canada (Public System)
Monthly Cost	High monthly premiums (hundreds to thousands).	No premiums for necessary services.
At Point of Service	Co-pays for doctor visits; high deductibles.	No charges for doctor visits or hospital stays.
Financial Risk	Risk of surprise bills & catastrophic costs.	Predictable costs integrated into taxes.
Coverage Tied To	Typically tied to your employer.	Based on residency in a province.

What to Expect: Wait Times, Coverage, and Private Insurance Options

No system is perfect. One of the most common questions from Americans is about wait times. It’s true that for non-emergency, specialist procedures, wait times can be longer in Canada. However, for urgent and emergency care, the system responds quickly.

It’s also important to know that dental care, vision care, and prescription drugs are not typically covered by public healthcare and require supplemental private insurance.

Cost of Living & Family Benefits

Beyond healthcare, the day-to-day financial landscape offers a different set of challenges and powerful advantages.

The Housing Market: Rent and Home Prices in Major Cities vs. U.S. Hubs

Housing in Canada’s largest cities like Toronto and Vancouver is expensive, with prices and rental rates that are on par with U.S. hubs like New York City, according to data from the Canada Mortgage and Housing Corporation (CMHC).

However, cities like Calgary, Edmonton, and Montréal offer a much more affordable cost of living with home prices and rental rates that are often significantly lower than comparable mid-sized U.S. cities like Denver, Austin, or Seattle.

For the growing number of Americans with remote work flexibility, these cities provide a realistic path to homeownership. Deciding where to land is a huge step, and our guide to the best Canadian provinces for Americans to move to can help you compare your options.

Daily Expenses Breakdown: Groceries, Utilities, and Phone Bills

Here’s where you’ll notice some direct cost increases. Some daily expenses in Canada can be higher. You’ll almost certainly pay more for your cell phone plan. Let’s be honest: the sticker shock on your first Canadian cell phone bill is a rite of passage for almost every newcomer, irrespective of the country you’re coming from.

But the good news is, you learn quickly where to find savings in other areas to balance it all out. Certain grocery items, especially dairy and alcohol, are also more expensive, due to different agricultural and regulatory systems a trend tracked in Statistics Canada’s Consumer Price Index reports.

However, this is often balanced by other factors. Car insurance can be cheaper in many provinces. Public transit is often more robust, accessible, and widely used, reducing transportation costs for many families.

Perhaps most significantly, university tuition for your children is a fraction of what it costs for major U.S. universities, representing a massive long-term saving.

The Real Financial Perks: How Canada Invests in Families

This is where Canada’s social contract becomes a tangible financial benefit. The government actively invests in families through specific programs that are rare or nonexistent in the U.S.

• Parental Leave: New parents have access to up to 18 months of partially paid, job-protected parental leave that can be shared between parents, administered through the Employment Insurance system.
• Canada Child Benefit (CCB): This is a tax-free monthly payment made to eligible families to help with the cost of raising children under 18.
• Saving for College with Government Help (RESP & CESG): The government offers a powerful tool called the Registered Education Savings Plan (RESP). When you contribute, the government adds the Canada Education Savings Grant (CESG), matching 20% of your contributions up to $500 each year.
• Retirement Savings (RRSP & TFSA): Canada has systems similar to the 401(k) and IRA. The Registered Retirement Savings Plan (RRSP) allows for tax-deductible contributions. But the real game-changer for many is the Tax-Free Savings Account (TFSA), which allows your investments to grow and be withdrawn completely tax-free.

Transferring Your 401(k) to an RRSP

One of the most complex financial hurdles is figuring out what to do with your U.S. retirement savings. Transferring a 401(k) to a Canadian Registered Retirement Savings Plan (RRSP) is possible but involves navigating complex tax treaties and potential tax implications.

This is not a DIY task; it is highly recommended to seek advice from a cross-border financial advisor who specializes in these transfers to avoid costly mistakes.

A Quieter, Safer Pace: A Better Quality of Life

The decision to move is rarely just about money. It’s about the kind of life you want to build.

Public Safety and Lower Crime Rates

Statistically, Canada is a safer country. According to data from sources like Statistics Canada, rates of violent crime are significantly lower, creating a palpable sense of public safety in daily life.

The Canadian Approach to Work-Life Balance

There is a deep-seated cultural emphasis on a healthy work-life balance that can feel very different from American “hustle culture.”, a key distinction explored further in our article on Canadian society and daily life. Most employees are legally entitled to a minimum of two to three weeks of paid vacation, and unplugging after work hours is the norm.

Multiculturalism and Community

Canada’s identity is deeply rooted in its official federal policy of multiculturalism. Major cities like Toronto are among the most diverse in the world, with vibrant immigrant communities from every corner of the globe.

This isn’t just a talking point; it creates a welcoming environment where newcomers are seen as an integral part of the national fabric. There’s a strong sense of community and a collective belief in supporting one another through public services and social programs.

The Political and Social Climate

The political climate is another powerful motivator for Americans looking for a change. While the two countries are close allies, their societal priorities and legal frameworks have distinct differences.

Navigating a Different Political Discourse

The Canadian political spectrum is generally shifted further to the left than that of the United States. Topics that can be deeply polarizing in the U.S., from healthcare to climate change, often have a broader consensus in Canada.

The political discourse tends to be more moderate and focused on collective well-being, which can feel like a less stressful environment.

Social Safety Nets and Collective Well-Being

Beyond healthcare, Canada’s commitment to social safety nets is evident in programs like Employment Insurance (EI), which provides temporary income support to unemployed workers.

This reflects a societal value that prioritizes taking care of community members during difficult times, reducing the precarity that many can feel in a purely market-driven system.

Gun Laws in Canada: A Key Difference for American Families

For many American families, this is a non-negotiable factor. Gun control laws in Canada are significantly stricter than in the United States. Firearms are broadly categorized and regulated under a strict licensing system managed by the RCMP’s Canadian Firearms Program.

To own any firearm, a person must pass a safety course, undergo a thorough background check, and obtain a license. This strict regulation is a primary reason for the country’s lower rates of gun violence.

Career Opportunities and Pathways for Americans

Moving to Canada doesn’t mean sacrificing career ambitions. For many professionals, it opens up new doors in thriving industries with excellent job opportunities that are actively looking for the skills American workers bring.

High-Demand Industries Seeking American Talent

Canada’s economy is robust and has a high demand for skilled workers, particularly in sectors like technology, healthcare, and the skilled trades, as outlined by the Government of Canada’s Job Bank.

Workplace Culture: What to Expect in a Canadian Office

The Canadian workplace is often described as more collaborative and less hierarchical than its American counterpart. Politeness, consensus-building, and a respectful tone are highly valued.

While still results-oriented, the process often involves more teamwork and a slightly less aggressive, individualistic approach. Our article on the steps to build career in Canada as a newcomer has more insights on this.

Your Fast-Track: How to Move to Canada from the US

For skilled American professionals, figuring out how to move to Canada as an American is a very achievable goal. The process is managed by Immigration, Refugees and Citizenship Canada (IRCC) and while systems like Express Entry are common, Americans have unique advantages.

• The CUSMA Professional Visa: This is the most important pathway. The Canada-United States-Mexico Agreement (CUSMA) provides a streamlined work permit for Americans in over 60 specific professions, often bypassing more complex immigration systems that citizens of other countries might face when compared to rules from a body like the U.S. Citizenship and Immigration Services (USCIS).
• The Global Talent Stream: For Americans in the tech industry, this is a fast-track visa designed to get in-demand tech workers into Canada in as little as two weeks.
• Provincial Nominee Programs (PNPs): Beyond the federal system, provinces like Alberta and Ontario have specific PNP streams to nominate workers with skills they need, offering another targeted route to permanent residency.

Your First 30 Days: A Practical Start in Canada

That first month can feel like a whirlwind of essential errands. It’s easy to feel disoriented, but tackling these three key tasks first will help you feel grounded and officially ‘here’ in no time.

Step 1: Getting Your Social Insurance Number (SIN)

Your first and most important errand is to get your Social Insurance Number (SIN). You’ll need this nine-digit number to work, open bank accounts, and access government services.

You get it by visiting an office of the specific government agency called Service Canada. It’s a straightforward process, but it’s the critical first key to unlocking your new life.

Step 2: Opening a Bank Account

Major Canadian banks (like RBC, CIBC, Scotiabank, and BMO) are very welcoming to newcomers. They offer specific “Bank Newcomer Packages” designed for people just like you.

These packages often include no-fee banking for the first year and, crucially, a path to getting your first Canadian credit card without a prior credit history, which is essential.

To learn more about setting up your finances, our comprehensive guide on how to open a Canadian bank account for US citizens provides all the details you need to get started.

Step 3: Understanding Daily Finances

You’ll quickly learn about Interac e-Transfer, Canada’s universal and instant bank-to-bank money transfer system. You’ll also get used to the sales tax, which is either a combined Harmonized Sales Tax (HST) or separate federal (GST) and Provincial Sales Taxes (PST).

Conclusion

To sum up, the move northward for many Americans is driven by a search for stability, safety, and a different quality of life.

It’s about trading unpredictable healthcare premiums for a secure public system, taking advantage of unique financial programs that invest in families, and finding a community that values safety and work-life balance.

Making this move is a huge step, but it’s one that thousands of Americans successfully make every year. While Canada isn’t a perfect utopia, it offers a compelling and achievable alternative.

Ready to explore the logistics? Our planning to move to Canada guide is the perfect next step. You can also download our unique resource: The Ultimate US-to-Canada Terminology Cheat Sheet (401k vs. RRSP, PPO vs. Provincial Health, and more!) to start planning today!

Frequently Asked Questions