Canada has become an increasingly favoured destination for immigrants due to its reputation for high salaries, political stability, robust employment, and high quality of life.
But what do “average salaries in Canada” really signify? Defining this provides an economic baseline. It helps benchmark salaries, inform career choices, guide financial planning, and reveal inequalities.
Still, averages don’t tell the whole story. To honestly assess, we must analyze income data by location, job, age, gender, and other factors. Segmenting averages reveals a richer narrative.
This guide analyzes current income stats in Canada.
National Average Salary in Canada
According to Statistics Canada, the average salary for full-time employees across Canada is $59,300 annually as of 2022. On the weekly average, full-time employees earn approximately $1,140 per week. (Source)
These figures represent a 5.4% increase compared to the previous year, indicating rising wages across the country.
Part-time workers earn less on average than full-time employees. Overtime, tips, bonuses, and commissions also enhance earnings above base salary levels.
Average Salaries in Canada By Province and Territory
Average annual salaries differ across provinces and territories, influenced by each region’s economic conditions and opportunities.
British Columbia
- Average Annual Salary: $53,416
- Job Sectors: Forestry, mining, oil and gas, technology, tourism
- Income Growth: 5.12% from 2021-2022
With its thriving technology hub in Vancouver and wealth of natural resources, British Columbia offers among the highest average salaries in Canada. However, housing affordability in Vancouver somewhat lowers real wages.
Read more: Average Salaries in British Columbia
Alberta
- Average Annual Salary: $61,865
- Job Sectors: Oil and gas, construction, manufacturing, agriculture
- Income Growth: 3.6% from 2021-2022
Alberta boasts the highest average wages in Canada outside the territories, buoyed by its robust oil and gas sector alongside manufacturing, agriculture, and construction. However, amidst recent economic challenges, the province saw slower income growth at just 3.6%.
Read more: Average Salaries in Alberta
Saskatchewan
- Average Annual Salary: $54,371
- Job Sectors: Agriculture, mining, energy, manufacturing
- Income Growth: 5.65% from 2021-2022
Saskatchewan’s agriculture, mining, energy, and manufacturing sectors support average annual earnings of $54,371. Incomes grew 5.65% from 2021 to 2022, indicating solid wage growth premised on the province’s commodities-based economy.
Read more: Average Salaries in Saskatchewan
Manitoba
- Average Annual Salary: $49,661
- Job Sectors: Agriculture, manufacturing, mining, hydroelectricity
- Income Growth: 17.9% from 2021-2022
Manitoba’s average salary of $49,661 is lower than that of its western neighbours but still supported by manufacturing, mining, agriculture, and hydropower. A spike of 17.9% in income growth in 2022 points to a strengthening provincial economy.
Read more: Average Salaries in Manitoba
Ontario
- Average Annual Salary: $55,524
- Job Sectors: Manufacturing, financial services, healthcare, engineering
- Income Growth: 5.23% from 2021-2022
As Canada’s economic engine, Ontario workers earn an average of $55,524. They are concentrated in lucrative sectors like manufacturing, finance, healthcare, and technology, primarily centered in the Greater Toronto Area.
Read more: Average Salaries in Ontario
Quebec
- Average Annual Salary: $51,735
- Job Sectors: Manufacturing, engineering, banking/finance, IT
- Income Growth: 3.03% from 2021-2022
Quebec’s average annual salary of $51,735 is supported by strong manufacturing, engineering, finance, and tech sectors. Montreal serves as the economic hub. Moderate income growth of 3.03% in 2022 reflects Quebec’s recent economic resurgence.
Read more: Average Salaries in Quebec
New Brunswick
- Average Annual Salary: $49,511
- Job Sectors: Manufacturing, agriculture, fisheries, forestry
- Income Growth: 12.34% decrease from 2021-2022
New Brunswick reported a substantial 12.34% decline in average incomes, now averaging $49,511 annually. Rural economic decline has severely hampered wages in manufacturing, fisheries, farming and forestry sectors.
Read more: Average Salaries in New Brunswick
Nova Scotia
- Average Annual Salary: $48,470
- Job Sectors: Fishing, agriculture, manufacturing, forestry
- Income Growth: 5.45% decrease from 2021-2022
With average earnings of $48,470, Nova Scotia was also impacted by economic headwinds, with wages dropping 5.45% in 2022. Agriculture, fishing, manufacturing and forestry are the leading provincial employers.
Read more: Average Salaries in Nova Scotia
Prince Edward Island
- Average Annual Salary: $45,912
- Job Sectors: Agriculture, fishing, tourism
- Income Growth: 2.7% decrease from 2021-2022
P.E.I. saw a slight 2.7% salary decline in 2022, averaging $45,912 annually. As Canada’s smallest province, agriculture, fishing, and tourism dominate the seasonal, service-oriented economy.
Read more: Average Salaries in Prince Edward Island
Newfoundland and Labrador
- Average Annual Salary: $55,508
- Job Sectors: Fishing, mining, oil and gas
- Income Growth: 4.2% from 2021-2022
Major resource industries like mining, oil, fishing, and mineral extraction support Newfoundland and Labrador’s average salary of $55,508. A 4.2% income increase in 2022 indicates a strengthening provincial market.
Read more: Average Salaries in Newfoundland and Labrador
Yukon
- Average Annual Salary: $61,812
- Job Sectors: Mining, oil and gas extraction, forestry, tourism
- Income Growth: 8.73% from 2021-2022
Remotely located Yukon reported strong 8.73% salary growth in 2022, averaging $61,812 annually. Mining and oil/gas drive higher northern wages but require acceptance of remote camp work.
Read more: Average Salaries in Yukon
Northwest Territories
- Average Annual Salary: $65,017
- Job Sectors: Mining, oil and gas, government services
- Income Growth: 1.48% decrease from 2021-2022
The Northwest Territories’ small but lucrative economy produces an average salary of $65,017. Mining and oil/gas operations yield high northern wages but require fly-in/fly-out camp work, while government services offer stable public sector employment. A minor 1.48% income decrease was reported in 2022.
Read more: Average Salaries in Northwest Territories
Nunavut
- Average Annual Salary: $87,355
- Job Sectors: Mining, public administration
- Income Growth: 5.13% decrease from 2022-2022
Nunavut has Canada’s highest average salary, at $87,355, supported primarily by lucrative mining jobs and public sector roles serving the territory’s small population. However, a 5.13% wage decline was reported in 2022, indicating softened labour market conditions.
Read more: Average Salaries in Nunavut
Here is the summary table:
Province/Territory | Average Annual Salary | Job Sectors | Income Growth (2021-2022) |
British Columbia | $53,416 | Forestry, mining, oil and gas, technology, tourism | 5.12% increase |
Alberta | $61,865 | Oil and gas, construction, manufacturing, agriculture | 3.6% increase |
Saskatchewan | $54,371 | Agriculture, mining, energy, manufacturing | 5.65% increase |
Manitoba | $49,661 | Agriculture, manufacturing, mining, hydroelectricity | 17.9% increase |
Ontario | $55,524 | Manufacturing, financial services, healthcare, engineering | 5.23% decrease |
Quebec | $51,735 | Manufacturing, engineering, banking/finance, IT | 3.03% increase |
New Brunswick | $49,511 | Manufacturing, agriculture, fisheries, forestry | 12.34% decrease |
Nova Scotia | $48,470 | Fishing, agriculture, manufacturing, forestry | 5.45% decrease |
Prince Edward Island | $45,912 | Agriculture, fishing, tourism | 2.7% decrease |
Newfoundland and Labrador | $55,508 | Fishing, mining, oil and gas | 4.2% increase |
Yukon | $61,812 | Mining, oil and gas extraction, forestry, tourism | 8.73% increase |
Northwest Territories | $65,017 | Mining, oil and gas, government services | 1.48% decrease |
Nunavut | $87,355 | Mining, public administration | 5.13% decrease |
Average Salaries in Canada by Industry
Canada’s diverse industrial landscape leads to major differences in average pay across sectors. Based on Statistics Canada data, here are the key industries with the highest and lowest earning potential in 2020:
Highest-Paying Industries
Industry | Average Annual Salary |
Mining, quarrying, oil and gas | $113,506 |
Utilities | $101,531 |
Finance and insurance | $76,843 |
Professional, scientific and technical services | $76,078 |
Public administration | $75,800 |
Lowest-Paying Industries
Industry | Average Annual Salary |
Arts, entertainment and recreation | $40,242 |
Educational services | $58,343 |
Retail trade | $34,503 |
Accommodation and food services | $22,878 |
Healthcare and social assistance | $52,889 |
The highest-paying sector of mining, oil and gas extraction relies heavily on remote camp work and attracts premium wages. Professional services also pay well due to the high demand for niche expertise like law, accounting, and consulting.
Public administration offers attractive salaries with benefits due to its concentration on government and public service roles. Low-paying industries are characterized by high part-time and entry-level work with minimal requirements.
Average Salaries in Canada by Major Occupations
Beyond location and industry, specific occupations greatly influence earning potential in Canada. Those working in lucrative fields like medicine, law, engineering, management, or finance enjoy far greater lifetime earnings than most average salaries.
Here are average annual salary for some of Canada’s top high-paying professional roles:
- Surgeon – $325,732
- Physician – $286,000
- Pathologist – $250,012
- Psychologist – $201,367
- Dentist – $170,564
- Speech-Language Therapist – $148,405
- Firefighter – $140,885
- Criminal Investigator – $117,214
- Lawyer – $116,480
Source: https://www.robertsoncollege.com/blog/career-advice/highest-paying-jobs-in-canada/
Conversely, many everyday jobs in retail, food service, care work, trades, and clerical roles pay far below national averages. Here are typical hourly incomes for some of Canada’s lowest-earning occupations:
- Bartender – $17 per hour
- Hotel front desk clerk – $16 per hour
- Cleaning person – $16.61 per hour
- Cook – $15.50 per hour
- Server – $15 per hour
- Dishwasher – $14 per hour
- Food prep worker – $14 per hour
- Fast food maker – $14 per hour
- Cashier – $14 per hour
- Gas station worker – $14 per hour
Source: https://explore.careerbeacon.com/highest-lowest-paying-jobs-canada
Average Salaries in Canada by Age Group
Age is another crucial determinant of earnings in Canada. Incomes rise steadily as Canadians gain skills, experience, and seniority in the workforce before declining again in retirement.
Here are annual income averages by age segment:
- 16 to 24 years old – $16,800
- 25 to 34 years old – $47,000
- 35 to 44 years old – $60,900
- 45 to 54 years old – $68,400
- 55 to 64 years old – $55,300
- 65 years and older – 41,500
Source: https://primusworkforce.com/blog/average-canadian-salary-by-age-group/
Incomes peak for Canadians aged 45 to 54, in their prime earning years. Workers start gaining career traction in their 30s before hitting high points in their 40s and 50s. Retirees over 65 see the most significant income drop-off.
However, generational differences also come into play. For example, prime earnings for middle-aged millennials today are still 7% lower than those of the same-aged Generation Xers in the early 2000s. This reflects more challenging
Average Salaries in Canada by Gender
The gender pay gap remains a significant issue in Canada, with women earning substantially less than men on average:
- Average income for men in Canada (2021): $59,200
- Average income for women in Canada (2021): 43,200
Source: https://www.statista.com/statistics/1314929/average-employment-income-canada-gender/
This $16,000 annual difference stems from systemic biases, gender imbalances in high-paying fields, more women in part-time low-paying roles, lack of flexible work arrangements, lack of childcare support, and other inequality factors.
The gender gap is slightly narrower for younger Canadians but still significant:
- Men aged 25-34 (2021): $62,400 average income
- Women aged 25-34 (2021): $51,500 average income
Source: https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1110023901
Education helps narrow the divide, though it does not eliminate it:
- Women with Bachelor’s degrees: $60,000
- Men with Bachelor’s degrees: $76,000
Canada has made some progress in reducing gender pay inequity over the decades but still lags behind leading countries, especially in higher-earning occupations.
Comparing Salaries and Cost of Living in Canada
While average salaries provide helpful benchmarks, weighing earnings against the relative cost of living is crucial to assess Canadians’ real purchasing power and standard of living.
Some insights on incomes adjusted for living costs include:
- While Canada’s average annual salary of approximately $59,300 as of 2022, Canadians enjoy universal healthcare coverage, boosting real disposable income.
- Canadian salaries go significantly further when factoring in free public K-12 education and affordable post-secondary tuition compared to the US.
- After converting currencies and accounting for taxes, childcare, transportation, and housing costs, the average Canadian salary affords most a comfortable, middle-class lifestyle.
- However, major cities like Toronto and Vancouver, with hot real estate markets and steep housing costs lower real wages, highlight income disparities.
Internationally, Canada boasts higher average earnings adjusted for living costs than economically comparable nations like the United Kingdom, France, and Australia. Salaries are on par with countries like Germany but still trail top-tier destinations like Switzerland and the United States in nominal terms. However, Canada’s progressive social programs help partially offset this gap for the average worker.
Factors Affecting Salaries in Canada
Understanding these important factors gives us a clearer picture of what influences salary differences.
Education and Skills
Higher levels of education and specialized skills correlate strongly with higher earnings. Workers with university and college degrees or diplomas in high-demand fields generally earn more than those with only a high school education. Specific expertise also commands greater compensation.
Years of Experience
Salaries increase with each year of accumulated experience and tenure in a particular role or industry. Seasoned employees develop more in-demand abilities and organizational knowledge. Some jobs also have structured pay bumps tied to the length of employment.
Industry
Given major differences in profitability, value generation, risk, and skill requirements, salaries diverge enormously between industries. Finance, technology, healthcare, and engineering sectors provide above-average compensation, while retail, food service, and recreation offer lower pay.
Geographic Location
Where workers live significantly impacts earnings potential. Major urban centers with high living costs also offer more high-paying jobs to compensate. Economically vibrant provinces like Alberta and Ontario boast higher provincial wage averages.
Union Membership
Unionized employees typically negotiate higher base pay and benefits through collective bargaining agreements than non-unionized staff in similar roles. About 30% of Canadian workers belong to unions.
Public vs. Private Sector
The private sector generally offers higher pay potential, particularly at senior levels. Profit-driven firms can provide higher compensation to attract and retain talent. Canada’s largest 500 companies report average salaries 20-30% above public sector levels.
Company Size
In general, larger companies have greater resources for higher salaries and more generous benefits than small businesses. Multinational corporations headquartered in Canada offer very lucrative compensation packages.
Management vs. Non-Management
Managerial and professional positions earn substantial pay premiums relative to administrative or frontline service roles. The highest salaries are concentrated at senior executive levels responsible for overall strategy and operations.
Supply and Demand Conditions
When demand is high, but supply is low for specific skill sets or roles, salaries escalate accordingly. Similarly, economic boom periods tighten labor markets and place upward pressure on wages.
The bottom line
While nationwide statistics provide a baseline, detailed breakdowns tell a fuller story. Your job, location, experience level, education, demographics, and household size mainly define your income and purchasing power. Benchmarking against incomes across Canada can help put your earnings and standard of living into perspective.
FAQs on average salaries in Canada
What is the average salary in Canada?
The average salary for full-time employees in Canada is around $59,300 annually as of 2022, according to Statistics Canada. Salaries vary greatly by region, sector, experience level and other factors.
How much do engineers make in Canada?
The average salary for engineers in Canada is around $93,634 per year. However, it can range from $72,500 for entry level engineers to $122,518 for senior engineering roles.
Which province has the highest average salary in Canada?
Nunavut has the highest average annual salary in Canada at $87,355 as of 2021, followed by Northwest Territories at $77,670. These northern territories have lucrative natural resource jobs that pull up average wages.
Which jobs pay the most in Canada?
The highest paying jobs in Canada are generally concentrated in medicine, engineering, technology, finance and senior management. Examples include specialist physicians, dentists, petroleum engineers, IT managers and senior finance managers.
What factors affect salary levels in Canada?
Education, skills, experience, industry, location, union membership, company size, occupation type, negotiation skills and labor supply/demand dynamics all influence individual salary levels across Canada.
How does cost of living impact salaries in Canada?
Major metro regions with high costs of living like Toronto, Vancouver and Calgary generally have higher average salaries to compensate. However, this also reduces real wage purchasing power in these cities.
Which professionals have the highest salaries in Canada?
Specialist physicians, dentists, petroleum engineers, corporate executives, IT managers and senior finance managers are among the very highest paid professionals in Canada, generally earning over $130,000 annually.
How does minimum wage impact average salaries?
Minimum wage increases raise earnings for lower income Canadians but also put upward pressure on overall average salaries as businesses must maintain pay scales above rising wage floors.
Are public or private sector salaries higher?
Private sector workers generally earn higher salaries than public sector employees in Canada, especially at senior levels. Canada's 500 largest corporations pay 20-30% above public sector averages.