Data Sources
Cost of Living Index
Our composite cost-of-living index is derived from:
- Census American Community Survey (ACS) — median household income, rent, and housing cost data
- OECD Regional Statistics — purchasing power parity adjustments for Canadian metros
- CMHC Rental Market Reports (Canada) — average rents by bedroom count
- Regional economic indicators — state/provincial price level indices
The US national average is set to 100. Canadian cities are indexed on the same scale using PPP adjustments.
Component Weights
| Category | Weight | Source |
|---|---|---|
| Housing | 30% | Census ACS / CMHC |
| Groceries | 15% | BLS / StatCan regional price indices |
| Utilities | 10% | EIA / utility commission data |
| Transportation | 15% | AAA / CAA cost estimates |
| Healthcare | 10% | CMS / provincial health data |
| Miscellaneous | 20% | Regional consumer price indices |
Calculation Methods
Salary Equivalence
Equivalent Salary = Current Salary × (New City COL Index / Current City COL Index)
This gives the nominal salary required in the new city to purchase the same basket of goods and services.
Housing-Adjusted Salary
Housing-Adjusted Salary = Current Salary × (New City Housing Index / Current City Housing Index)
This isolates housing costs only, useful for comparing rent/mortgage burdens.
Tax Rates
Displayed tax rates are approximate state (US) or provincial (Canada) income tax rates for median earners. They do not include:
- Federal income tax
- Social Security / Medicare (US)
- CPP / EI (Canada)
- Sales tax, property tax, or local taxes
Limitations
- Not a substitute for professional advice. Always consult a financial planner and tax professional before relocating.
- Neighborhood variation. City-wide averages mask significant neighborhood differences. Downtown vs. suburban costs can vary 50%+.
- Lifestyle differences. Our index assumes an "average" consumption basket. Your actual costs depend on housing preferences, commute, family size, and spending habits.
- Currency. Canadian figures are shown in USD equivalent for comparison. Actual CAD costs fluctuate with exchange rates.
- Tax complexity. State and provincial tax systems have brackets, deductions, and credits not captured by a single rate.
Update Schedule
Cost-of-living indices: Quarterly (aligned with Census ACS releases). Rent figures: Monthly. Tax rates: Annually (following legislative sessions).