CANADIAN BUYING POWER Ain't What It Used To Be

When a $ isn't a $

This isn't news to anyone who makes a purchase from a company in the US. The bill total looks like it is 'only' $29.99 but after the exchange rate kicks in it magically becomes $42.87.

You would have to go back to April 2010 if you wanted to see your CAD equal to the USD.

Perhaps now that Canada's financial future is in the hands of a skilled international banker and not a drama teacher, we can hope to see the CAD reach parity with USD soon??

For those who scoff at President Trumps claim of Canadians being better off as the 51st State here is a little comparison.

In Washington State the minimum wage in Seattle is $20.76 and across the state it is $16.66 both of these figures are in USD.

In British Columbia, just across the border, the minimum wage is now $17.85 CAD.

Let's Look A Little Deeper

As of 2025, grocery costs in Washington State and British Columbia (B.C.) are among the highest in their respective countries, though direct comparisons are nuanced due to differences in currencies, taxation, and reporting methods.

Grocery Costs in Washington State

• Average Weekly Household Spending: Approximately $287.67, placing Washington among the top five most expensive U.S. states for groceries. (HelpAdvisor)

• Annual Household Grocery Spending: Around $10,202, which is about 24.9% above the national average. (Bellingham Herald)

• Per Capita Monthly Spending: Approximately $379, based on data from the Bureau of Economic Analysis. (SoFi)

• Sales Tax on Groceries: Washington exempts most unprepared food items from sales tax, potentially reducing overall grocery expenses. (Wikipedia)

Grocery Costs in British Columbia

• Annual Household Grocery Spending: For a typical family of four, expenses are estimated at $16,833.67 in 2025, reflecting an increase of $801.56 from the previous year. (CityNews Vancouver)

• Per Capita Monthly Spending: Estimates range from $297 to $400, influenced by factors such as age, gender, and location. (Loan Express)

• Sales Tax on Groceries: British Columbia applies a 7% Provincial Sales Tax (PST) to certain grocery items, such as snack foods and soft drinks, which can increase overall costs.

Currency Conversion (as of May 21, 2025)

• Exchange Rate: 1 CAD ≈ 0.7158 USD.(DataHen)

• Converted Annual Spending:

  • B.C. Household: $16,833.67 CAD ≈ $12,055 USD

  • Washington Household: $10,202 USD(CityNews Vancouver, Bellingham Herald)

This suggests that, after adjusting for currency differences, households in British Columbia may spend more on groceries annually compared to those in Washington State.

Summary

Region	Annual Household Grocery Spending	Per Capita Monthly Spending	Sales Tax on Groceries
Washington	$10,202 USD	$379 USD	Mostly exempt
British Columbia	$16,833.67 CAD (~$12,055 USD)	$297–$400 CAD	7% PST on select items

While both regions experience high grocery costs, British Columbia's expenses are notably higher when adjusted for currency differences. Factors such as taxation policies and regional economic conditions contribute to these differences.