Hello anad7,
If it helps, what everyone is speaking about is salary you get when you are a full time employee of a company. You can get better pay (and have to pay lesser taxes) by doing contract jobs. There are arguments that there is implicit cost (cost of leaves, cost of insurance etc) attached to contracting jobs which we do not consider while making decision but to me, when strictly speaking about compensation, benefits far outweighs the implied cost.
Having said that, Job market for software engineers does not have as many option as we in India and it depends on the skill set you have and some skills are in more demand than others but I know for sure that if you are good in what you do you should not have difficulties in finding any job.
A friend of mine is working a Java Developer and is getting CAD$90 an hour in GTA another friend of mine is an Automation Architect and is making CAD$75 an hour in GTA. I know several people making more that CAD$100k a year. I also have friends who make CAD$35 an hour in desi outsourcing companies.
In my opinion, making money is not a problem but making ends meet in what you make is really tough. I have no doubt that you will get a job to your satisfaction but you will not be able to save any where close to what you save in India. (PS: All my contacts are based on GTA and therefore it is my only location for reference)
I am also a software engineer in India and I was facing a similar dilemma but I think I have nothing to loose, in case I can not make a decent living I can always return back and consider my experience as a Vacation
Cheers!!