The Cost of Studying in Canada: A Financial Review

Studying in Canada is a rewarding investment for international students seeking world-class education. Tuition and cost of living may seem frightening, but despite these costs, the financial commitment is balanced by Canada’s quality education, post-graduation work opportunities, and potential pathways to permanent residence. Scholarships and financial aid options are also available to help ease the financial burden. Planning ahead and understanding all associated costs is crucial for a successful educational journey in Canada.

This article takes a look at some of those costs so you can make a better choice of where you want to study in Canada.

High Tuition Fees

**International Student Fees**: Tuition fees for international students in Canada are generally higher than for domestic students. Depending on the program and university, these costs can be substantial and may pose a significant financial burden. Tuition can range anywhere from $22,000 CAD per year to $70,000 CAD per year. The good news is that all of Canada’s public universities and colleges give a quality education, regardless of tuition cost. For example, the University of New Brunswick and Thompson Rivers University sprout tuition rates of around $22,000 CAD per annum. Universities like the University of Alberta and Trent University offer substantial international student scholarships, and most universities and colleges offer paid co-op work experience programs and internships for students so international students can get valuable work experience and also cover some of their costs.

Some universities, such as the University of Alberta and Windsor offer a program tuition model so the fees you pay in your first year, remain the same throughout your degree. This helps you and your parents know what your tuition will be for the next 4 years so budget planning is easier. This is a model apart from institutions that base tuition on a credit index value which will go up every year, sometimes as much as 5% each year.

 Living Expenses

**Cost of Living**: The cost of living in Canadian cities, especially in places like Toronto and Vancouver can be quite high. Expenses for accommodation, food, transportation, and other necessities can add up quickly, making it challenging to manage a budget. Shared accommodations are a good option for 2nd year students and sometimes it is cheaper to live off campus if you have a roommate, but it is best as an international student to live on campus for the first year, until such time as you make friends with someone you would like to room with. Some provinces and cities are cheaper to live in too. For example, in Prince George, home to the University of Northern British Columbia, the average 1 bedroom apartment is $1200 compared to $2370 in Vancouver. Manitoba and New Brunswick are considered cheaper provinces and Alberta is also a good option. So, it is important to consider the city and province when choosing a Canadian university or college to study at.

The Canadian government also allows international students to work up to 24 hours per week while they are studying and then full-time during holidays. This is also a good way to supplement your income and reduce living expenses.

Currency Exchange Rates

**Exchange Rate Fluctuations**: The value of the Pakistani Rupee (PKR) against the Canadian Dollar (CAD) can fluctuate, potentially increasing the cost of education and living expenses. A weaker Rupee can make it more expensive to transfer funds from Pakistan to Canada. Unfortunately, there isn’t much a Canadian institution can do to stabilise or thwart the loss due to exchange rates. However, choosing a less expensive university or one that offers good scholarships and work programs can help cover this cost.

 Limited Access to Scholarships and Financial Aid

**Competition for Scholarships**: While scholarships and financial aid are available, they are often highly competitive, and international students may have limited options compared to domestic students. Securing adequate funding can be a challenge but not impossible. International students should look for institutions that offer good merit scholarships as well as prestigious application-based scholarships. MacEwan University offers merit scholarships up to $14,000 CAD and their tuition is around $28,000 CAD per year. This scholarship doesn’t cover all 4 years but is a nice one to put against your 1st year tuition. They also offer scholarships for subsequent years.

**Eligibility Restrictions**: Some scholarships may have restrictions based on nationality or program, limiting the opportunities for international students but the University of Alberta offers a regional award for $5000 CAD and Pakistan falls under this region.

 Work Restrictions

  • **Part-Time Work Limits**: While international students in Canada are allowed to work part-time during their studies, the hours are often limited (usually 24 hours per week during the academic year). This can limit the amount of income students can earn, making it difficult to cover all expenses.

  • **Finding Employment**: Securing part-time work that aligns with visa regulations and academic schedules can be challenging, especially in a competitive job market. International students can look at retail and hospitality positions such as one at McDonald’s as they often require shift work. While these jobs might not be ideal, they do teach customer service and give you a springboard to move onto better jobs later on.

To offset the challenges of finding employment, universities often have on-campus work programs for international students such as the Ignite Work Study Program at the University of Windsor or the International Student Summer Employment Program (ISSEP) at the University of Alberta. Memorial University, at their Grenfell campus, also have library positions available for all of their students.

Health Insurance Costs

  **Mandatory Health Insurance**: International students in Canada are required to have health insurance, which can be an additional cost. While some provinces offer provincial health coverage to international students, others require them to purchase private insurance, which can be expensive. Currently the only province that doesn’t require international students to buy into the provincial health care insurance program is Alberta. That means that students who attend UAlberta, MacEwan and NAIT do not need to pay Alberta Health Care Insurance premiums.

 Upfront Costs

**Initial Expenses**: The initial costs of moving to Canada, including visa application fees, travel expenses, security deposits for accommodation, and purchasing necessities, can be significant. These upfront costs can strain finances even before studies begin. So when setting your budget for studying in Canada, an international student needs to factor these expenses into the cost.

Unexpected Expenses

**Emergencies and Contingencies**: Unexpected expenses, such as medical emergencies, legal issues, or unforeseen academic costs, can arise. Without a financial safety net, these can be difficult to manage. Fortunately, Canadian institutions are aware of the unexpected expenses students might face, so international students can avail emergency bursaries at Canadian universities. such as the Foreign Student Bursary at the University of Waterloo.

 Budgeting and Financial Management

 **Adapting to a New Financial System**: Understanding and managing finances in a different country, including navigating Canadian banking systems, credit options, and taxes, can be challenging. Poor financial management may lead to difficulties in meeting financial obligations. For students from Pakistan who are used to a cash-based purchasing system, suddenly having available a credit-card based system may pose a problem to students who get caught up in the buy-on-credit syndrome and don’t have enough money in the bank to cover credit card purchases. Banks are quick to offer international students a credit card, but remember, whatever you buy on the credit card needs to be paid at the end of the month. Canadian universities and colleges offer their students Financial Literacy programs such as the one offered at Wilfrid Laurier University in Waterloo, Ontario.

To mitigate these financial challenges, students often need to plan meticulously, explore all available funding options, apply for scholarships, and seek financial advice from university resources or financial advisors. For Pakistani students, another good source of information and advising comes from contacting Go 2 Canada Education Services who can share with you what to expect financially. They will also point out to you more affordable options to consider rather than other Canadian universities where tuition reaches closer to the $70,000 CAD per year mark.

Photo Courtesy of Pexels

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