Moving from Canada to the USA: the financial checklist
A US offer almost always looks bigger on paper. Between departure tax, registered accounts, health insurance and a currency change, the number that matters is what lands in your account after everything. Here is how to test the move before you commit to it.
Test the outcome before you commit
Most cross-border regret comes from comparing gross salaries. The FuturePath approach is to model the whole household on both sides of the border — after-tax income, housing, childcare, healthcare and savings rate — and only then decide. A CAD 120,000 role in Kelowna and a USD 150,000 role in Seattle can end up within a few thousand dollars of each other once premiums, deductibles and FX are included.
- • Convert both offers to one currency before comparing anything.
- • Subtract healthcare: it is a payroll deduction in Canada and a line item in the US.
- • Price housing in the specific metro, not the national average.
- • Add one-off move costs to year one, not to a footnote.
Kelowna
Seattle, WA
Kelowna, BC vs Seattle, WA — cost of living side by side
Kelowna figures shown in CAD and converted at ~C$1 = $0.73 for like-for-like comparison. FX moves — treat the USD column as directional.
| Metric | Kelowna (CAD) | Kelowna (USD) | Seattle, WA (USD) |
|---|---|---|---|
| Median rent (monthly) | CA$2,100 | $1,533 | $2,350 |
| Median home price | CA$780K | $569K | $780K |
| Median salary | CA$66,000 | $48,180 | $110,000 |
| Effective tax rate | 33.0% | — | 25.1% |
| Mortgage burden | 42.0% | — | 44.1% |
| Childcare (monthly) | CA$1,550 | $1,132 | $1,850 |
| Overall score (0–10) | 68 | — | 78 |
The headline pattern for a Kelowna → Seattle move: salaries rise far more than housing does, and Washington charges no state income tax. The offsets are health insurance, higher childcare, and losing the BC lifestyle discount on everything from groceries to commuting.
The eight financial moves that matter
Your departure date drives everything: the part-year Canadian return, the deemed disposition, and which US filing status you use. Pick it deliberately rather than letting the moving truck decide it, and keep evidence of when residential ties were severed.
CRA treats most non-registered investments as sold at fair market value on the day you leave. Unrealized gains become taxable in that final Canadian return. Realizing losses beforehand, or electing to defer with security, can materially change the bill.
RRSPs generally travel well under the treaty. TFSAs and RESPs usually do not — the IRS taxes the growth and can require foreign trust reporting. Most cross-border advisors recommend collapsing TFSA and RESP accounts before you become a US tax resident.
Provincial coverage ends after a residency window (often three months). On the US side, model premiums, the deductible, and the out-of-pocket maximum — that maximum is the number that matters in a bad year, and it commonly lands between USD 6,000 and 18,000 for a family plan.
Combined federal and provincial rates in BC or Ontario often exceed US federal plus state — and states like Washington, Texas and Florida charge no state income tax at all. But FICA, healthcare and 401(k) matching differ enough that only an after-tax comparison is meaningful.
Canadian credit history does not follow you. Landlords may demand extra deposits, mortgage lenders will want two years of US history or a much larger down payment, and card limits start low. Some banks offer cross-border programs that port your history — ask before you move.
Visa and immigration legal fees, cross-border movers, vehicle import and compliance, duplicate rent or mortgage during the overlap, and the first-year dual tax preparation. Together this routinely reaches USD 15,000–30,000 for a family.
If you keep a Canadian mortgage, savings or family obligations, you now carry FX risk on both sides. Decide up front which currency your emergency fund lives in and avoid converting large sums at retail bank spreads.
A 12-week cross-border timeline
- Weeks 12–10: Confirm visa category and sponsor. Model the offer after tax in both countries. Get a cross-border accountant on retainer.
- Weeks 9–7: Review non-registered holdings for departure tax. Decide on TFSA and RESP. Confirm what happens to your RRSP and pension.
- Weeks 6–4: Lock housing in the destination metro. Open a US-linked bank account. Compare employer health plans in detail.
- Weeks 3–2: Book movers and vehicle import. Notify CRA and provincial health. Set a target departure date and document it.
- Week 1 and after: Apply for an SSN, enroll in benefits, start US credit, and calendar both tax filings for the following spring.
Frequently asked questions
Do I still pay Canadian tax after moving to the USA?
Once you sever residential ties and become a non-resident, Canada generally taxes only Canadian-source income. Your departure year is a part-year return, and CRA applies a deemed disposition (departure tax) on most non-registered investments. The Canada–US tax treaty prevents most true double taxation, but you file in both countries in year one.
What happens to my RRSP and TFSA?
An RRSP can usually stay in Canada and keep its tax deferral in the US under the treaty, though some states do not follow it. A TFSA loses its shelter entirely — the IRS taxes the growth annually and may treat it as a foreign trust with extra reporting, so most cross-border advisors suggest collapsing a TFSA before departure.
How much more do I need to earn in the US to break even?
Compare after-tax income minus housing and healthcare, not gross salary. US federal plus state tax is often lower than Canadian combined rates, but employer premiums, deductibles and out-of-pocket maximums can add USD 6,000–20,000 a year for a family. Model both sides before you accept the offer.
What does a cross-border move actually cost up front?
Budget for visa and legal fees (USD 3,000–10,000 for TN, H-1B or L-1 support), cross-border shipping (USD 5,000–15,000), a vehicle import, a US security deposit without US credit history, and the first-year dual tax filing. Three to six months of expenses in cash is a realistic buffer.
This guide is general information, not tax or immigration advice. Cross-border rules change — confirm your situation with a licensed CPA and immigration lawyer.
Related guides
Test your Canada → USA move first
Enter your current household and the US offer. FuturePath runs the tax, currency and cost-of-living math so you can see the after-tax outcome years ahead — before you sign anything.