It is easy to forget just how costly the necessities of life have become. The following page will provide you with some basic information about the various costs households face. While not comprehensive, it may provide information that will help you as you fill out the survey on Living Wages.
Housing
Access to affordable rental accommodation, defined as being less than 30 percent of gross income, is a major concern for the working poor. Below are average rental rates in Alberta municipalities, according to October 2005 Canada Mortgage and Housing Corporation (CMHC) statistics:
| |
Bachelor |
2 Bedroom |
| Edmonton |
$513 |
$808 |
| Calgary |
$524 |
$732 |
| Red Deer |
$475 |
$666 |
| Lethbridge |
$439 |
$647 |
| Grande Prairie |
$554 |
$790 |
| Wood Buffalo |
$914 |
$1,478 |
Food
The Agriculture, Food and Rural Development department of the Alberta government publishes estimates of the cost of a nutritious food basket based on current nutrition recommendations. The latest estimated costs are:
| |
Average Monthly Cost |
| Individual male, 25-49 years |
$207.59 |
| Family of four, 2 school-aged children |
$676.96 |
Utilities
In 2001 the Alberta government completed deregulation of the electricity and gas market. Even with government subsidies to offset high prices, the average Albertan has seen an increase in power bills of between 60 and 100 percent.10 The City of Edmonton collects data on average monthly utility charges for a single-family house:
| |
Phone |
Power |
Water |
All utilities |
| Edmonton |
$23.86 |
$62.45 |
$26.06 |
$151.49 |
| Calgary |
$23.86 |
$67.20 |
$28.35 |
$141.97 |
| Red Deer |
$25.16 |
$61.53 |
$20.06 |
$133.64 |
| Lethbridge |
$25.16 |
$67.24 |
$26.01 |
$150.79 |
| Grande Prairie |
$25.16 |
$98.55 |
$24.13 |
$176.13 |
Transportation
Private vehicle ownership is very expensive, especially in the absence of a public auto insurance plan. Based on Alberta Motor Association figures, the average car costs at least $350 per month12 to own and operate, not including purchase price/depreciation and the cost of financing if a loan is required.
Monthly passes for public transit in Alberta municipalities range from $45 to $70 dollars. Many transit systems offer discounts for students and seniors, and Calgary offers monthly passes for low income Calgarians for $35.13
Health Care
Premiums for the Alberta Health Care Insurance Plan are $44 a month for individuals and $88 a month for families. Low income Albertans can apply for subsidies, and as of late 2004, seniors are exempt from payment of premiums.
The government of Alberta plans to introduce “third way” reforms which may see the costs of health care moved to individuals in the form of private insurance and coverage for some services dependent on an individual’s ability to pay. This policy will most impact those people without employment and whose jobs do not provide health care benefits.
Child Care
Many Alberta families struggle to find quality child care that allows them to work. Costs for infants range from $800 - $900/month, while costs for toddlers over 18 months range from $600 - $750. The current five-point plan, established by the Alberta government for childcare, subsidizes families who earn under $39,600 a year at the level of $575 for infants and $500 per child over 18 months. Families receiving the full subsidy are still required to pay between $100 and $300 a month.
The current federal government has promised to give families $100 per month for each preschool child but will cut the funding to Alberta’s five-point plan, which could mean that the subsidy will return to its previous level of $475 for infants and $380 for toddlers (a cut of $120/month).
Post-Secondary Education
Alberta university and college tuition rates have more than tripled since 1991-92, as the provincial government has cut funding to post-secondary education by almost a quarter over the same time period. Average undergraduate tuition at Alberta’s universities is now $4622 and college students pay $2840, the second highest in the country in both categories.16 This does not include the cost of books and other related expenses.
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