Results: We see articles about a rise in cost of living and inflation. I decided to compare my cost of living in 1975 - when people didn't worry about inflation - to these days when people do worry. What percentage of my income were these costs then and now?
Published on 10/17/2023
The media would have us believe that minimum wage legislation will help lower income citizens and government control of rents will lower rents. I see no evidence that this has worked. What I do know is that the things I spend money on are not the same today as they were in 1975, when I first came to Canada when my wife and I could live on just one income. Some of today's essentials didn't even exist back then and some things that were essentials back then don't even exist today. Some items have even gone down in price. So here is "The Good, The Bad, and The Ugly" of my inflation journey.
QUESTIONS
GO to COMMENTS
Comments
1.
1.
My 1975 income (single income) was $12K and my 2022 income (two incomes) was $48K. I will express the cost comparisons in this survey as a percentage of these incomes. If you want to follow along with your own income I suggest you go back as far as you need to (20 years at least) to a time when you had a stable family life in the workforce of the day. I will start with my first car compared to what will probably be my last one. My first car was $3K or 25% of my income. My current car was $16K or 30% of my income. But in terms of price/value, has it really gone up in price.? Here are some aspects that suggest today's cost gives much better value. Which do you agree with?
The 1975 car didn't have air conditioning or even vents on the dash. My 2022 car has AC and vents front and rear. It has tinted glass and a sun roof as well.
19%
428 votes
The 1975 car had bench seats with uncomfortable seating for 6. My 2022 car has bucket seats with comfortable seating for 4 and uncomfortable seating for an additional 3 plus room for our dog.
15%
319 votes
The 1975 car got 8 MPG and leaked oil everywhere. Itconsistently broke down. My 2022 car gets 32MPG and doesn't leak a drop of oil. It is reliable and enjoyable transportation.
17%
374 votes
The 2022 car has many features that didn't exist in 1975 that, when added to the other value items above make the 2022 car much better value regardless of the extra cost. Anti lock brakes, air bags, much better lighting, heated seats, no rust, quietness, practicality.
26%
570 votes
I took many trip with the family in the 1975 car and saw a lot of the country. I take fewer trips in the 2022 car even though it is cheaper to operate. Perhaps it is time to take more driving vacations again - good for the economy?
16%
359 votes
Other (please specify)
1%
22 votes
Not Applicable
47%
1031 votes
- Yellowstone. Haven't been there since 1986
- None
- to the moon with my kids
| Other Answers | Percentage | Votes |
|---|---|---|
| 0.39% | 8 | |
| I hate these surveys with their multiple open-ended questions. | 0.05% | 1 |
| The percentage of our income that goes to tax is much higher than it was 20 years ago. | 0.05% | 1 |
| My first car was $3200, no sunroof, bucket seats, never leaked oil, and got near 30 MPG; the latest I bought new in 2009 * compared to your 2022 no heated seats, no rust at even its age today & still gt 35-38mpg (got 40 mpg when first bought | 0.05% | 1 |
| my 2004 car has all the options that I want and will ever use. I dread the day I have to replace it as I do not need all the bells and whistles or todays cars and they seem to be 50% more expensive today | 0.05% | 1 |
| I do not remember being uncomfortable in my new car in 1975. So, no, I do not feel that the added comforts increase the value of cars today enough to justify the huge increase in auto prices. | 0.05% | 1 |
| We only had 1 car, much later we had 2. | 0.05% | 1 |
| Newer features should be expected as technology gets better. In the same way computers in the 1980s cost a lot more than the basic smart phone does today, but we can do so much more with the phone. Prices should stay consistent, or even go down. | 0.05% | 1 |
| My car is a 2012. You only gave options for 1975 and 2022. | 0.05% | 1 |
| in 1975 living in Canada I couldnot afford a new car even today I cannot afford a new carw as I am retired | 0.05% | 1 |
| Older cars were built to last and I could do most repairs myself. They were cheaper to buy and cheaper to maintain (no fancy and expensive parts). | 0.05% | 1 |
| todays cars are not worth what they are charging, the features don't justify the price | 0.05% | 1 |
| these really arent a good comparision since you probablly dont drive the same make or type | 0.05% | 1 |
| Well, I couldn't drive in 1975, and my first car was passed on to me used. | 0.05% | 1 |
| I find a lot of newer features on vehicles quite unnecessary, and often problematic. Something in between, like around ‘98 would probably be the best value. | 0.05% | 1 |
2.
2.
We spend approx. $200 per month on food in 1975 (when I earned 12,000 per year). I now spend $800 per month on food (when I earn $48,000) This is the same percentage of my income. There were people less well off in 1975 just as there are in 2023 despite all the social programs. At least I and family have food security. How about you?
I am spending the same percentage of my income on food now than I was back then (20 years or more ago) so no big deal.
11%
252 votes
I am spending a smaller percentage of my income on food now than I was back then (20 years or more ago) so I count my blessings.
14%
303 votes
I am spending a bigger percentage of my income on food now than I was back then (20 years or more ago) so I pray for blessings.
31%
688 votes
The food I buy these days takes less time to prepare and less time and cost to cook. If I factor this into my budget, this reduces my overall costs.
10%
228 votes
The food I buy these days takes more time to prepare and more time and cost to cook. If I factor this into my budget, this increases my overall costs.
7%
149 votes
Other (please specify)
2%
35 votes
Not Applicable
35%
761 votes
- Steaks. Home made lasagna
- None
- Most fresh meats and even processed meats like hot dogs
| Other Answers | Percentage | Votes |
|---|---|---|
| 0.73% | 12 | |
| i have cut-out ALL non-essential spending and diverted that money to the BARE essentials and have created a MONTHLY, QUARTERLY and ANNUAL BUDGETS. | 0.06% | 1 |
| I spent no money on food when I was 10, and I haven’t spent much on food since my EI ran out, so yeah, they’re pretty much exactly the same | 0.06% | 1 |
| I'm ok with buying what I want. I am single, no mtg or car payment. My car is 18 years old and still runs great | 0.06% | 1 |
| ...!!! | 0.06% | 1 |
| today, especially while this administration has been in office, food prices have been absorbent,, I am spending thousands of dollars a year vs a thousand back in the day and getting less | 0.06% | 1 |
| 20 years ago I was a minor living in my parent's house. But comparing prices today from when I first left home (2007) our food bill has gone down; however, I believe this is only true becuase 6 years ago we bought a farm. | 0.06% | 1 |
| We are part of an bi weekly foodbank in our building that helps to lower our foo costs | 0.06% | 1 |
| In 1975 we had a single income and 4 kids to feed. Now there's just the two of us but the ratio of cost to income is probably about the same | 0.06% | 1 |
| I pay more for food, but can absorb the hit. | 0.06% | 1 |
| I'm cooking for less people now than I was in 1975, but food prices have gone up, so I'm probably spending the same. | 0.06% | 1 |
| I have to purchase organic only | 0.06% | 1 |
| I do not remember my food budget back nearly 50 years ago. So, really cannot make a comparison. | 0.06% | 1 |
| My taste is more refined | 0.06% | 1 |
| even though I am not feeding 4 but just 2 the costs are more | 0.06% | 1 |
| im on dissability now and on ebt i speng less now | 0.06% | 1 |
| I spend the same as before, but now I cook and eat better | 0.06% | 1 |
| I don’t know what percent of my income I pay for food, then or now | 0.06% | 1 |
| Not taking the time to do the math to be able to answer via percentages to check boxes here | 0.06% | 1 |
| I am spending a bigger percentage of my income on food now than I was back then (20 years or more ago), but I don't pray at all (atheist). | 0.06% | 1 |
| Have to spend less, don't have the money anymore to spend on the groceries. | 0.06% | 1 |
| I haven't kept track. | 0.06% | 1 |
| cannot determine | 0.06% | 1 |
| How is that any of your business? | 0.06% | 1 |
3.
3.
Another cost that has increased dramatically since 1975 is taxes. Governments have never met a new way to tax something that they didn't like. Income taxes are graduated so that they inflict the same level of pain, at least on lower and middle income citizens. In my case I am fortunately poor enough that I pay no income tax. But what about all the other taxes that have been created since 1975 that cause income erosion? Which ones increase your pain level like it does mine?
Carbon Tax
21%
452 votes
Hotel Tax
18%
396 votes
Airline Ticket surcharges
20%
446 votes
The extra tax when you have A/C in your car.
14%
304 votes
The creeping increases in license fees, drivers licenses, dog licenses, gasoline taxes, sales taxes, property taxes, taxes on food items, taxes when you eat out. Taxes that discourage you from earning more money. Tax credits replacing tax rebates. (discuss any of these that tick you off but politely please).
47%
1038 votes
Other (please specify)
1%
28 votes
Not Applicable
36%
801 votes
- Absolutely
- None
- yes
| Other Answers | Percentage | Votes |
|---|---|---|
| 0.30% | 8 | |
| property taxes | 0.08% | 2 |
| Income Tax, and all the rest. They should all be done away with and taxes handled like they were for the first 120 years of the U.S. | 0.04% | 1 |
| Hst | 0.04% | 1 |
| Too much tax in general | 0.04% | 1 |
| Inheritance or death tax | 0.04% | 1 |
| Insurance | 0.04% | 1 |
| tax based on your vehicle's perceived cash value, taxes on vehicle insurance. | 0.04% | 1 |
| entertainment ticket fees | 0.04% | 1 |
| In the last two years with Biden have doubled | 0.04% | 1 |
| Sales tax | 0.04% | 1 |
| Federal taxes are more than I can afford, and a lot of that goes to low income people. Why do I have to have trouble buying food and keeping the utilities on in order for my money to go to someone that won't work? | 0.04% | 1 |
| All the above | 0.04% | 1 |
| state disability and other payroll taxes | 0.04% | 1 |
| all taxes | 0.04% | 1 |
| Real estate | 0.04% | 1 |
| Income tax | 0.04% | 1 |
| Credit card fees added to my bill | 0.04% | 1 |
| tax on carbon tax. | 0.04% | 1 |
| Paying for illegals that are entering our country to slaughter us | 0.04% | 1 |
4.
4.
Today's homes are better built or at least better insulated. My energy cost in 1975 was $60 per month and today is is about $100 per month which is a smaller percentage of my monthly income. The cost per KWH has gone up but I use much less of it thanks to microwave ovens, toaster ovens, more efficient appliances, LED lighting and TV. I never use my range/stove these days. How are your power bills these days?
I am spending the same percentage of my income on utilities now than I was back then (20 years or more ago) so no big deal.
9%
201 votes
I am spending a smaller percentage of my income on utilities now than I was back then (20 years or more ago) so I count my blessings.
11%
245 votes
I am spending a bigger percentage of my income on utilities now than I was back then (20 years or more ago) so I pray for blessings.
31%
688 votes
The appliances I use these days help me take less time to do things. Time is KWH saved. If I factor this into my budget, this reduces my overall costs.
11%
250 votes
The appliances I use these days take more time to do things. Time is KWH saved. If I factor this into my budget, this increases my overall costs.
5%
106 votes
Other (please specify)
2%
33 votes
Not Applicable
39%
862 votes
- Cooking on the range. Having boiled anything.
- None
- Make love.
| Other Answers | Percentage | Votes |
|---|---|---|
| 0.72% | 11 | |
| My utilities are reasonable for my income. Not going to take the time to figure how they compared 20+ years ago. | 0.07% | 1 |
| I don't remember. | 0.07% | 1 |
| My fridge and stove are 34 years old and still work. Dryer and washer newer. I know I pay more but I'm ok with my incone | 0.07% | 1 |
| Take a look at your Utility Bill and you will sell a Delivery Charge and a Transmission Charge which equals half of you bill | 0.07% | 1 |
| CIRCUMSTANCES HAVE CHANGES IN 20 YEARS, SO IT IS HARD TO CALCULATE. | 0.07% | 1 |
| power companies have monopolies and this shouldn't be allowed, they raise prices by 5% each year and our state allowed a 15% increase this year, that's not necessary | 0.07% | 1 |
| i now have solar so i pay less but probably use less as well since my new home is better insulated, etc | 0.07% | 1 |
| I spend more because I did not have air conditioning in my house 20 years ago. | 0.07% | 1 |
| All electric utilities in my apartment and included in my low income senior rent. | 0.07% | 1 |
| had kids in the home then, don't now | 0.07% | 1 |
| included in rent | 0.07% | 1 |
| Do not Pay for Electric or gas | 0.07% | 1 |
| fair to middlin' | 0.07% | 1 |
| I don't know | 0.07% | 1 |
| not sure | 0.07% | 1 |
| I make all the bread and other baked goods so my oven is in frequent use, I also use microwave a bit and airfryer but oven is essential. | 0.07% | 1 |
| My power bill is 600 a month and this time last year it was 300 a month. | 0.07% | 1 |
| My humble abode is a 1985 mobile home so the energy factor is HIGH even with the remodeling we have done. | 0.07% | 1 |
| 1992 electricity $80/mth in winter; min chge $35 mth May to Sept; today 40K wood pd $1K 18 yrs ago & lasts us 3 years--can't by oil or electricity for that! | 0.07% | 1 |
| Only spend on my rent ,food and I pay work on paying my credit card off to zero balance then I will beable to save more money to move out of california GOD WILLING! | 0.07% | 1 |
| we have more technology and it requires power, thus more cost for electricity. | 0.07% | 1 |
| unsure | 0.07% | 1 |
5.
5.
Of course the elephant in the room is the rising cost of accommodation. Rents in my area have risen dramatically recently, largely because of misguided government policies (a subject for another survey). Rent is the only monthly cost I have where the percentage of my income it consumes is impossible to either justify or plan for. There are calls for government to do something about it and I dread what will happen if they do based on their track record. Which of the following strategies would you support?
In 1975, in a competitive rental market, 20% of income went on rent and these days it is 27% which, while high, is not a disaster. The government should abandon the policies that are causing rents to go up (mainly by increasing the population and therefor the demand)
10%
221 votes
In 1975, in a competitive rental market, 20% of income went on rent and these days it is 27% which, while high, is not a disaster. The government should leave everything as it is and not meddle.
9%
193 votes
The government should restrict the allowable rate of rent increases to help make renting more affordable.
23%
507 votes
The government should build more social housing.
14%
317 votes
The government should subsidize rents.
12%
271 votes
The government should provide incentives so that more rental accommodation is built.
12%
272 votes
The government should link the level of immigration to one that the housing and job markets can sustain. The current level is too high and has been one of the (main?) causes of a shortage in rental units which in turn has driven prices up.
17%
375 votes
Other (please specify)
2%
37 votes
Not Applicable
44%
971 votes
- lining the pockets of the elite
- None
- because of inflations and the interest rates to buy over renting
| Other Answers | Percentage | Votes |
|---|---|---|
| 0.55% | 12 | |
| The government should kick out ALL the Ukrainian refugees!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! | 0.05% | 1 |
| Ban immigration entirely, and place restrictions on procreation to suit a sustainable housing market, including rentals and owned homes | 0.05% | 1 |
| not sure | 0.05% | 1 |
| Wait til the government buys up all the land and houses and makes EVERYONE RENT! Then we will become slaves to the government. It's coming! | 0.05% | 1 |
| I HAVE NEVER RENTED. ALWAYS HAVE OWNED MY HOUSING, | 0.05% | 1 |
| government should stop allowing people to own more than a few properties that way they can't control the market, only people needing houses to live in them should be buying houses, not people looking to be landlords. | 0.05% | 1 |
| The government should get the h*** out of our lives. | 0.05% | 1 |
| restrict ownership of real property to US citizens. | 0.05% | 1 |
| The government has caused this. Raise the taxes on government facilities. | 0.05% | 1 |
| the government should let people decide what they want to build, and not make one type of accommodation a priority. | 0.05% | 1 |
| the goverment should stay out of our business | 0.05% | 1 |
| I RECEIVE HOUSING HELP. THE GOVERNMENT PAY A PART AND I PAR A SMALLER PART FOR MY RENT. BUT THIS IS SOMETHING I HAVE TO APPLY FOR EVERY YEAR. | 0.05% | 1 |
| Government should stay out. | 0.05% | 1 |
| Bought our house 29 years ago. Paying rent is throwing away your money with nothing to show for it. | 0.05% | 1 |
| Building smaller, more energy efficient housing all across the country. Creating new towns in some rural areas that are not agriculturally used. | 0.05% | 1 |
| I do not think the government should restrict rent & still increase interest rates. The later affects the former | 0.05% | 1 |
| No more immigrants for the next 5 years to even 10 years. | 0.05% | 1 |
| the government should back out of our lives | 0.05% | 1 |
| We never rented. Own two homes now free and clear. | 0.05% | 1 |
| Need to keep the government out of most of this, Too many folk living cheaply with government help, while I struggle | 0.05% | 1 |
| Too many people take advantage of landlords and become squatters | 0.05% | 1 |
| cheaper to own than to rent with nothing to show for it! | 0.05% | 1 |
| The govt should incentivize people to work and stop all the FREE handouts. | 0.05% | 1 |
| The goverment should give some money to people that are on medicare. | 0.05% | 1 |
| remember what the government pays for comes out of our pockets.... | 0.05% | 1 |
COMMENTS