Home
/
RELIGION & LIBERTY ONLINE
/
Families pay more in taxes than for food, clothing, and housing combined: Study
Families pay more in taxes than for food, clothing, and housing combined: Study
Jan 5, 2026 4:26 AM

The necessities of life include food, water, clothing, and shelter … but should the government cost more than all of them put together? A new study has found that politicians extract more in taxes than working families pay for their basic human needs.

Canadian families paid more to the tax collectorthan they did to the farmer, the grocer, the landlord, and the seamstress to sustain life itself, according to a new study from the Fraser Institute, a free market think tank.

The tax burden in Canada has risen 158 percent in inflation-adjusted dollars since 1961, the report states.

The situation is a reversal from just a few years ago. “In 1961, the average family spent 56.5 percent of its cash e to pay for shelter, food, and clothing. In the same year, 33.5 percent of the family’s e went to governments as tax,” the study says. The point of parity came in 1981, when Canadians paid an even 40.5 percent of their e on necessities and government.

After 1992, the costs began to trade places. “The situation in 2016 is reversed from 1961: the average family spent 37.4 percent of its e on the necessities of life while 42.5 percent of its e went to taxes.”

The good news is that the cost of necessities has fallen through the transformative power of the free market. The bad news is that government has grown, both overall as well as a percentage of e expenditure.

Significantly, the tax burden rose faster than household e during the same period.

The institute calculates the annual Canadian Consumer Tax Index by adding the amount families pay in an array of federal, provincial, and local taxes – including taxes on e, healthcare, sales taxes, property taxes, fuel and carbon taxes, vehicles, alcohol and tobacco “sin” taxes, tariffs, and many other government levies.

“Although businesses pay [many of] these taxes directly, the cost of business taxation is ultimately passed onto ordinary Canadians,” the institute rightly notes.

A similar situation holds across the transatlantic sphere. The Tax Foundation, which calculates the annual date of Tax Freedom Day in the U.S., states that Americans collectively spend more on taxes than necessities (although the burden does not fall evenly).

Tax Freedom Day in the es (sometimes much) later yet, although food prices are also (somewhat) higher.

Government undoubtedly provides stability and order necessary for a civilized life. But given that earners on both sides of the Atlantic are paying more to politicians than for food, the Fraser Institute asks a simple question: “Are you getting good value for your tax dollars?”

The answer for Canadian families is open to debate. Take, as but one example, the crown of Canadian government: its national healthcare system, known as Medicare.

Quebec had the worst emergency room waiting times in the Western world, according to a report from the province’s health and missioner, Robert Salois, which was released last June. More than a third (35 percent) of patients spend five hours in the ER waiting for care, and as many as another third (30 percent) leave without ever seeing a doctor.In fact, the Canadian Institute for Health Information found that 10 percent of Canadian ER visitors in 2014 had to wait 28 hours to get a bed. The UK’s NHS waiting times have e notorious. The U.S. wait time is a fraction of those in either nation.

The ER wait is illustrative of other mandatory waits that arise from the rationing that inevitably follows the socialization of any good or service.

Rather than risk their health,an estimated 1.4 percent of patients (63,459 Canadians) left the country to obtain healthcare last year, according to another report released by the Fraser Institute in June. That’s an increase from 2015.

This is but one government program, albeit a large (and growing) one.

The Canadian Taxpayers Federation reports that politicians approved other, less worthy taxpayer-funded ventures in 2017, such as:

Provincial – The Government of Quebecpaid a political appointee $180,000 per year for nearly four years even though she almost never went to work;Federal – Canada Revenue Agency for employee’s $538,000 moving expenses; andFederal – The Department of Canadian missioned a $14,000 survey on Parliament Hill’s Christmas light show.

Forcing working families to divert their hard-earned money to such projects is wasteful and raises moral issues. Market distortions caused by unnecessary government intervention reduce the efficiency of the market – and es at a real price to families. An intrusive public sector bureaucratizes the care of the poor and robs subsidiary institutions of their role and, in the case of churches, their divinely appointed vocation. Government leaders similarly may violate their duties to be wise and just stewards of their citizens’ resources by multiplying projects, boondoggles that too often favor their crony contributors, and wealth transfer programs.

“Public authority therefore would act unjustly and inhumanly, if in the name of taxes it should appropriate from the property of private individuals more than is equitable,” Pope Leo XIII wrote in Rerum Novarum. He further instructed rulers to assure that “private wealth is not drained away by crushing taxes of every kind.”

He did not specify a precise level of taxation. However, when thegovernment requires more of its families than they spend to feed, clothe, and house themselves, that threshold has likely been met.

Keightley. CC BY-SA 2.0.)

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Mennonite-owned Company Joins in HHS Fight
Conestoga Wood Specialties of Pennsylvania, with 950 employees, has filed suit against the government’s HHS mandate. The Mennonites, who trace their religious roots to the 16th century, have about one million members worldwide. Mennonites understand that life begins at conception, and the owners of Conestoga Wood Specialties do not want to be forced ply with a mandate that conflicts with their faith. According to the Philadelphia Inquirer: “Because of that provision in the policy, because our clients are paying for...
‘Liberating Labor’ and Right-to-Work
The Michigan legislature’s historic vote today on the right-to-work issue raises the important question: Do labor unions offer the best protection for the worker? Liberating Labor: A Christian Economist’s Case for Voluntary Unionism by Charles W. Baird answers that question and explains the Catholic social teaching on the issue. In theory, unions foster good relations between employers and workers and prevent mistreatment or exploitation in the workplace. Pope Leo XIII sanctioned trade unions in Rerum Novarum during the Industrial Revolution;...
Rev. Sirico on the Hugh Hewitt Show
Rev. Sirico will be on the Hugh Hewitt Show today at 8:20pm EST to discuss his book, Defending the Free Market. Listen to the show on your local Salem station or live online here. ...
Economic Freedom: Vital for All
On Nov. 28, the Canada-based Fraser Institute released the eighth edition of its annual report, Economic Freedom of North America 2012, in which the respective economic situation and government regulatory factors present in the states and provinces of North America were gauged. Global studies of economic freedom, such as the Heritage Foundation’s 2012 Index of Economic Freedom and the Fraser Institute’s Economic Freedom of the World 2012, rank the United States and Canada as two of the most economically free...
The Separation of Union and State
Solidarity designed by Thibault Geoffroy, from The Noun Project When I moved to west Michigan, one of the things that struck me the most were distinct cultural differences between the different sides of the state. While I was pursuing a master’s degree at Calvin Theological Seminary, I worked for a while in the receiving department at Bissell, Inc. I remember being surprised, nay, shocked, that a manufacturer like Bissell was not a union shop. (All those jobs are somewhere else...
Magnanimity and Humility Make for Good Entrepreneurs
Alexandre Havard leading a recent “Virtuous Leadership” seminar with CEOs and entrepreneurs in Latvia, one of the most industrialized and wealthy republics of the former Soviet Union The Acton Institute’s Rome office led its recent Campus Martius Seminarwith Alexandre Havard, the Russian-French author of Virtuous Leadership(2007), Created for Greatness: The Power of Magnanimity(2011)and founder of the Moscow- and Washington, D.C.-based Harvard Virtuous Leadership Institute. Havard, speaking with Zenit’s Ed Pentin in an article following the seminar, said that during today’s...
Video: Novak Award Winner Says Religion Inspires Hope, Creativity in Crisis
Prof. Giovanni Patriarca, recipient of the Acton Institute’s 2012 Novak Award given recently in Rome at the Pontifical University of St. Thomas Aquinas, was interviewed by RomeReports Television News Agency in a video released Friday. Articulating the main points of his lecture “Against Apathy: Reconstruction of a Cultural Identity,” Patriarca told RomeReports that Western democratic society is abandoning its traditional values and, therefore, its very culture of responsible freedom and creativity. He placed part of the blame of the West’s...
The ‘High Tide of American Conservatism’ and Where We are Today
Given all the reassessment going on today about conservatism and its popularity and viability for governing, I mend picking up a copy of The High Tide of American Conservatism: Davis, Coolidge, and the 1924 Election by Garland Tucker, III. The author is Chief Executive Officer of Triangle Capital Corporation in Raleigh, N.C. Over the years, I’ve highlighted how Coolidge’s ideas relate to Acton’s thought and mission. And while I’ve read and written a lot about Coolidge, I knew next to...
‘Jesus Had An Economic Plan’: Was it Redistribution?
Susan Brooks Thistlethwaite, professor of theology at Chicago Theological Seminary believes that Jesus had an economic plan. She’s written a book, #Occupy the Bible: What Jesus Really Said (and Did) About Money and Power, and claims that Jesus came to reverse economic inequality. When Jesus announced his ministry as “good news to the poor” and to “proclaim the Year of the Lord’s favor” (Luke 4: 18-19), he meant that he wanted his society to have a year when economic inequality...
Big Gains for the Union Liberation Movement
The Michigan legislature passed right-to-work legislation today, a landmark event that promises to accelerate the state’s rebound from the near-collapse it suffered in the deep recession of 2008. The bills are now headed to Gov. Rick Snyder’s desk. The right-to-work passage was a stunning reversal for unions in a very blue state — the home of the United Auto Workers. Following setbacks for organized labor in Wisconsin last year, the unions next turned to Michigan in an attempt to enshrine...