Strategies to weather the rising cost of living in Canada

Aug 3 2022, 6:02 pm
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The whole world is currently battling inflation. Put a call through to your folks in the U.S., U.K., or other parts of the world, and they will tell you how the prices of things have gone up a few percent.

Inflation in 2022 is real, and it’s hitting every corner of the world.

For those of us in the Great White North, I think it’s safe to say this is the worst we’ve experienced in the past few decades. Some sources claim the annual inflation rate is around 4%, while some are claiming it’s risen as high as 8.1%. Whatever the source you believe, the fact remains the prices of items have gone way up than usual, and we’re all feeling the heat.

What then is the solution? You wonder.

How does one weather this rising cost of living in Canada?

Run to the government for help? Turn to community organizations for help? To be honest, a lot of folks are out of options already. But you need not give up. Below are some tips to help you stay on top of the situation.

Rent out a room or a space in your house

The first step to beating the rising cost of living in the country is to bring in more money. And a smart way to do that is by renting out a room in your house or leasing out your garage.

Canada is one of the most popular study destinations for international students. As such, a lot of students are constantly looking for cheap accommodation options. As a homeowner, you can welcome a student into your property and cash in a minimum of $1,000 monthly.

You could use that money towards a bill payment, subsidize your other expenses, or save it up for later. In any case, you’ve created an extra income stream for yourself, which will go a long way in helping you stay afloat.

Save on groceries

Whenever inflation hits, the prices of groceries and food items are usually the first to go up. Even before real estate or financial products.

At the moment, if you visit a store to shop for groceries with your old budget, you’ll struggle to walk back home with half the quantity of stuff you normally get. That’s how bad the prices of groceries have gotten.

So, what can you do to weather this storm? Shop on discounts, shop with gift cards, shop with coupons, and shop strategically. Now is not the time to blow away cash at the mall or a grocery store. Every single dollar matters now.

Whenever you can, look for ways to save on groceries. Don’t sit on the Walmart train or remain adamant that you must shop at Loblaws. Always look for the best cost-friendly shops near me. If you can’t find one, use the Nicelocal site to check out stores and the prices of their items. If you’re patient enough, you’ll find stores selling the products you want at a much-reduced price.

Get a side hustle

Earlier, we spoke about renting out a room in your house as a way to generate extra income. Another way to bring in extra money is by starting a side hustle.

The internet has blessed us with a boatload of options when it comes to making money online. It’s up to you to pick a hustle that interests you and focus on it.

From freelancing to photography, art collection and sales to financial products trading, blogging to virtual assistant, there’s so much one can do on the internet to bring in extra cash.

Get something doing today and watch your bank balance soar.

Move to a quieter town

I know everyone wants to live in Ontario, Alberta, and some of those provinces’ top cities. But, hey, why not check out the quieter cities, too?

Moving to a less crowded, less-busy town can save a lot of money.

By staying in a not-so-busy town, you’ll save a lot of money on transportation, insurance, health, rental/mortgage rate, and so much more.

Ask anyone who’s stayed in Canada’s top cities and who’s now living in a smaller town what they think about the transition. I’m sure they’ll tell you how much difference a change of location makes.

The only stumbling block to this transition may be job placement. If you are in a job at your current location, it may be hard to move. But even then, you can speak with your boss about a transfer.

Ditch driving and join the public transport

Along with food prices, another commodity that has jumped in price is gas products. Gas prices are now so high that it costs nearly a fortune to drive one’s car every day.

If you’re one of those people that love to drive to work, now may be the time to ditch your vehicle and join the rest of us in taking public transport. Trust me, that will save you a lot of money.

Alternatively, you can get a small bike. That works, too.

Get a roommate

I know you think you’ve outgrown the concept of having a roommate. But come to think of it, is there really a big deal in having a roommate? Many of us grew up staying with our siblings in the same room, so why not do it again?

On the bright side, having a roommate means you get to split the bills with someone. And that would imply having a lower financial burden on your shoulders.

To be honest, there’s no better way to lower your overall living cost than by getting a roommate. You guys can share the house rent, utility bills, and even everyday cooking bills.

Leverage tax breaks and all other benefits you’re entitled to

A lot of people don’t know about all the tax breaks and benefits they’re entitled to. You should consider hiring a tax specialist so that they can explain to you all that you’re entitled to.

You might be able to save a few bucks or even bring in a few extra by understanding your tax structures and other financial obligations

Daily Hive

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