Wealthy individuals from the US and all the rest of the world often consider Canada an ideal option to move temporarily or permanently. They wish to change the place of their residence for various reasons.
Some are dissatisfied with local government politics, more and more restrictions, and higher taxes, while others just want to explore a new culture and find more freedom outside the US.
Canada is the closest and most understandable option for relocation for Americans. The life and local mentality, services, infrastructure, and time zone are very similar to that in the United States. But why moving to Canada is a bad idea?
People often romanticize this country, imagining it as a libertarian state with vast lands, a wide range of opportunities, excellent free healthcare, amiable locals, pristine lakes, and forests. All of it sounds like the best place on this planet to live in.
While one part is certainly true, the other will make you think twice before you make the final decision to move there.
The perception of any place often depends on where you come from. Some people got used to drastic conditions in their home country, so other destinations like Canada seem to be heaven on earth.
At the same time, most individuals from the Western world and economically developed countries are inclined to be more demanding and discerning. And without a doubt, the United States is considered one of the most prominent examples of such countries.
This leads us to the fact that a common American will not be amazed by the level of Canada’s development, quality of life there, services, real estate, paved streets, restaurants, educational institutions, banking, abundance of goods, or quality roads.
What US citizens are usually looking for is a change of scenery, getting more freedom in every sense without compromising comfort or wealth while maintaining the lifestyle they are used to.
In Canada, you get the basics of a well-developed Western country that you already have in the United States. However, apart from that, you will also find extremely high taxes, a worsened healthcare system, massive ice and snow storms, more and more totalitarian government control, extreme liberalism, and much more.
Canada has changed dramatically over the past few years.
Canada remains an amazing country to explore on vacation and definitely worth visiting as a tourist. There are certain features, though, you need to keep in mind when planning to move there.
While the pros will outweigh the cons for expats from other countries, Americans accustomed to a high quality of life and all the benefits of the civilized world will take the pros for granted. So what is left in the end?
Taxes in Canada are among the highest in the world. According to the Fraser Institute research, an average Canadian family's total tax bill has increased by 2,778% since 1961. This number significantly outweighs the growth of all the other necessary expenditures like housing, food, and clothing.
Nowadays, Canadians pay about 45% of their income on taxes. At the same time, they have to spend less on basic necessities like nutrition, shelter, and clothes – around 35% altogether.
In Canada, you are obliged to get rid of a huge chunk of your earnings as there are numerous taxes that include income, sales, property, payroll and health, profit, excise, fuel, motor vehicle license, carbon, natural resources, import duties, and other taxes.
Income tax in Canada is based on your earnings, meaning the more profit you get, the more you have to give away to the government. The term for this is the progressive tax system.
Wealthy individuals end up paying about 33% on their income, not to mention other taxes. Where do those taxes go? The government will decide for you.
In the end, what you get is writing off almost 50% of your hard-earned money.
Another reason why moving to Canada is a bad idea is the increasing government control there.
If you are planning to leave the United States, there is a high chance you are dissatisfied with the government, its laws, and politics. Unfortunately, Canada is not going to be a miraculous escape destination.
Government control in Canada is a thing, and it has been getting more totalitarian during the last couple of years. It is hard to negate the fact that some of the strict rules work and help to keep everything in order.
However, the local authorities now control almost every aspect of Canadian life: schools and universities, jobs, media, food production, streets, healthcare, bank accounts, and even your freedom of movement.
People who are dissatisfied with the current policy go out to protests. But the freedom of speech and the right to express their opinion is severely suppressed in a once liberal country.
Now, banks are allowed to freeze personal and business bank accounts of those who disagree with what their government does or makes them do. Moreover, even those who only supported those peaceful protesters with a donation were also punished, their accounts seized.
Some people, even minors, get arrested at airports, unable to leave the country, and their passports confiscated because the government gets suspicious of their plans abroad. This means the constitutional right to leave the country was violated simply based on what those people might have been thinking.
The Canadian state is also trying to take over the media. Hundreds of millions of dollars are spent to support information sources that tend to support government policy. On top of that, those in power want to put more restrictions on online content that they see as “harmful” and determine what “trusted news” must be like.
Many see Canada's healthcare as the main advantage of the country: public medical care is free for citizens and permanent residents. Its quality is high and on par with that of the U.S. Even its name will sound familiar to Americans as it is called Medicare.
What is the other side of Canadian healthcare? It is good under certain conditions. If you need emergency help or get ill all of a sudden, you will be properly cared for. But if you need long-term treatment, you might have to prepare to wait for ages, especially if your condition does not require urgent therapy.
Getting an initial appointment with a general practitioner is not difficult, but proceeding to a specialist takes around 21 weeks. In some provinces, the waiting period is longer and can take up to 41 weeks, which is more than 9 months.
During those several months, your non-emergency condition can become pretty much an emergency. Apart from that, you can develop some extra illnesses while waiting for an appointment.
Getting an MRI in Canada also requires patients to be patient. You might have to be on the waiting list for months before you finally get access to an MRI. Even in case you get injured, but it does not threaten your life, you will have to live with pain for weeks or even months before you obtain your scan.
The medical care you get also depends on the province you live in. It is important to notice that in some places, there will be fewer free healthcare services you can access. Lots of people who live in rural areas need to go to urban ones to receive better health coverage.
Liberty is what Canada has always been famous and praised for. Still, more and more Canadians believe that their country is heading in the wrong direction, becoming way too libertarian.
What it might mean? It can be demonstrated by real-life examples.
Some transgender teachers at school who were originally male-born can wear short shirts and enormous prosthetic breasts to teach children. The freedom of a person to express themselves in a form they like is not under discussion.
What is important to remember is that kids are very susceptible to everything around them and absorb information like a sponge. An immature child's mentality can be permanently affected by this teacher’s example.
Parents who are against such self-expression are often labeled as “bigots” or “homophobes.” Ultra-liberalism in Canada implies that everything and everyone is accepted. You will have to put up with whatever the government promotes.
The language is also undergoing changes as attitudes to certain matters change. It is now unacceptable to use the words “father” and “mother” in birth certificates as they imply discrimination. The “parent #1” and “parent #2” is a new way to indicate child’s parents. It is nothing new for those from the US, though.
Education is what is affected by extreme liberalism the most. Another example comes from Trinity Western University, which tried to introduce a new law program. The local societies made it clear that the graduates of this program will not be recognized as legit lawyers only because of the university’s perception of homosexuality and interpersonal relationships.
Certain progressive students in Canada also see words such as “man” or “woman” as transphobic. Many people do not see any issue here. But if gender distinctions in law are abolished, the government can also cancel the recognition of family ties, which leads to much easier control of personal relationships and total power over your personal life.
So, under the pretext of ultra-liberty and total acceptance, the government is actually trying to achieve goals that are favorable to itself while violating the rights of those who do not accept the new values.
You should not underestimate the power of nature that comes in the form of ice and snow storms in Canada.
The romantic picture of slowly and gently falling snow that you watch from your warm house is not always accurate. In April 2023, more than a million citizens of Ontario and Quebec experienced a severe natural disaster. Houses were left without electricity, properties and infrastructure were seriously damaged, roads were blocked by fallen trees, and two people were found dead.
The freezing rain is not the only issue. Snow storms happen much more frequently. Your whole yard can turn into one colossal snow hill just overnight. Your car will be buried under the snow, which will potentially take you half of the day, if not the whole day, to dig it out. If you think you can hire someone to do this for you, this might not be an option. Finding workers is usually challenging, especially when all your neighbors have exactly the same issue.
In case of heavy snowfall, even getting out of the private house could be a problem. You will have to shovel your way out right from the doorstep. Plus, some driveways will also be blocked by snow while you wait for a snowplow to clear them out.
All in all, if you are not a fan of a cold climate, ice and snow storms, you better consider other countries for relocation.
If you want to stay close to the US and remain in the same time zone, one of the possible options would be Mexico. This country is often perceived as an unsafe and underdeveloped place, but the truth is you should visit it to find out if it is true for yourself.
Tourists from the US can enter Mexico and stay there for up to 180 days visa-free. This time will be enough to explore the vibrant culture of this underestimated country.
It is likely that you will find more freedom there, along with a high quality of life that requires much fewer expenses, a warm climate, extraordinary nature, breathtakingly beautiful beaches, luxury resorts and restaurants, private international schools for your kids, friendly locals, and so much more.
Another option might be the UAE, Dubai in particular. In this place, you will definitely not have to compromise on your life quality and needs.
Emirates can provide you with a wide range of services, especially luxury ones, numerous elite real estate options, an opportunity to travel almost everywhere in the world thanks to local airports, excellent education for your kids, very well-developed infrastructure, and innovation everywhere around.
The UAE is also suitable for those seeking traditional values who are not ready for the ultra-liberalism common in Western cultures.
Individual help in obtaining residency and citizenship
If you are planning on getting a residence or a second passport abroad, book a call with our expert team to discuss the possible routes.
We will evaluate your chances of receiving the desired citizenship or suggest alternative ways.
At Wealthy Expat, we make tax reduction and asset protection easy and fast.