Average and median salary in Canada (2026)
Average weekly earnings of non-farm payroll employees in Canada reached CAD $1,316.18 in December 2025 according to Statistics Canada, equivalent to approximately CAD $68,460 annually. In USD terms, at the current exchange rate of 1 CAD = $0.72, that is approximately $49,300 annually or $4,108 per month.
The median annual salary in Canada sits at approximately CAD $44,000 ($31,700 USD) significantly lower than the mean, because high earners in mining, utilities, and financial services pull the average upward. The median is the more useful benchmark for hiring decisions: it reflects what a typical Canadian worker actually earns, not what the top 10% of earners bring the national figure up to.
The gap between average and median salary in Canada: Why it matters
The average-median gap is approximately CAD $24,000 per year. Use the median as your reference for individual contributor roles. Use the average, or sector-specific data, for senior specialist positions in high-cost cities like Toronto and Vancouver.
Average salary by seniority (2026 estimates, USD)
Salary expectations in Canada shift significantly with seniority, and getting the level right before you make an offer matters. Entry-level roles sit well below the national average, while senior and leadership positions in technology, financial services, and energy can comfortably exceed CAD $150,000.
The table below shows estimated salary ranges by seniority level.
| Seniority level | Estimated annual salary (USD) | Notes |
|---|---|---|
| Entry-level (0 to 2 years) | $30,600 to $39,600 | CAD $42,500 to $55,000 |
| Mid-level (3 to 7 years) | $43,200 to $61,200 | CAD $60,000 to $85,000 |
| Senior (8 to 15 years) | $61,200 to $93,600 | CAD $85,000 to $130,000 |
| Executive / Leadership | $93,600 to $158,400+ | CAD $130,000 to $220,000+ |
Year-over-year salary growth in Canada
Average weekly earnings growth slowed to 1.9% in December 2025 from 5.8% a year earlier. Broader professional market wage growth is running at 3%–4.5% for 2026. Technology, healthcare, and construction are outperforming the market for specialist roles.
Average salary in Canada by industry
In Canada, mining, oil, and gas pay the most. Technology and financial services follow. Accommodation, food services, and retail sit well below the national average.
The table below shows average annual salary by sector, based on Statistics Canada SEPH and sector data 2025–2026.
| Industry | Avg annual salary (USD) | vs national average |
|---|---|---|
| Mining, quarrying, oil and gas | $84,200 | +71% |
| Utilities | $73,300 | +49% |
| Financial and insurance services | $65,000 | +32% |
| Information and cultural industries | $65,700 | +33% |
| Professional, scientific and technical services | $60,500 | +23% |
| Construction | $54,000 | +10% |
| Healthcare and social assistance | $41,000 | -17% |
| Education | $45,700 | -7% |
| Manufacturing | $43,200 | -12% |
| Retail trade | $30,600 | -38% |
| Accommodation and food services | $27,000 | -45% |
Industries with highest international demand
Technology, financial services, professional and scientific services, and healthcare are the sectors where international employers most commonly source Canadian talent or build remote teams in Canada.
If you are hiring these teams in Canada however, where your employee can further impact the compensation they expect.
Average salary in Canada by city and region
Toronto and Vancouver pay the most in the Canada Labor market. driven by the concentration of financial services and technology sectors here. Alberta’s Calgary sits above the national average, reflecting the energy and resources sector. Smaller provinces sit below the national mean.
- Toronto: Ontario’s concentration of financial services, technology, and professional services puts Toronto at the top of the market, 10% above the national average.
- Vancouver: British Columbia’s technology and resource sectors keep Vancouver close behind Toronto, at 7% above the national average.
- Calgary: Alberta’s energy sector drives Calgary above average, at 4% above the national mean. Alberta consistently records among the highest average weekly earnings of any province.
- Montreal: Quebec’s different industrial mix and historically lower wage growth result in a 5% discount to the national average, though living costs are also significantly lower.
The table below shows average annual salary by city, based on Statistics Canada provincial SEPH data 2026.
| City / province | Avg annual salary (USD) | vs national average |
|---|---|---|
| Toronto (Ontario) | $54,000 | +10% |
| Vancouver (British Columbia) | $52,600 | +7% |
| Calgary (Alberta) | $51,300 | +4% |
| Ottawa (Ontario) | $50,400 | +2% |
| Montreal (Quebec) | $46,800 | -5% |
| Halifax (Nova Scotia) | $42,500 | -14% |
While we have covered how wages vary by industry, seniority and region, for compliance, employers must also understand how minimum wage sets the legal floor below them, and in Canada, how that floor varies by province.
Minimum wage in Canada: What employers need to know
Canada has no single national minimum wage. The federal rate of CAD $17.60/hour applies only to federally regulated industries — banking, telecommunications, and interprovincial transport. Most workers fall under provincial jurisdiction and are subject to the provincial rate, which may be higher. Employers must always pay whichever rate is greater based on the employee’s province of work.
| Province | Minimum wage (CAD) | Approx. USD |
|---|---|---|
| British Columbia | $17.85/hour (June 2026) | ~$12.85 |
| Ontario | $17.20/hour | ~$12.38 |
| Quebec | $16.10/hour | ~$11.59 |
| Nova Scotia | $15.70/hour | ~$11.30 |
| Alberta | $15.00/hour | ~$10.80 |
| Federal (regulated industries) | $17.60/hour | ~$12.67 |
Key rules for employers:
- Province of work, not headquarters: The applicable minimum wage is set by the province where the employee works, not where your company is based.
- Annual indexation: British Columbia and Ontario index their rates annually to CPI. Track provincial updates and apply increases when they take effect.
- Sector exceptions: Most provinces set higher rates for liquor servers and some other categories. Check the relevant provincial employment standards before finalising pay.
- Workers’ compensation: Mandatory across all provinces, calculated separately from minimum wage. Rates vary by province and industry risk classification.
Minimum wage is not the only compliance consideration. The next step for employers is understanding what sits on top of gross salary.
What does it actually cost to employ someone in Canada?
Gross salary is not the full cost of employment. Canadian employers pay CPP contributions, EI premiums, and provincial workers’ compensation on top of every payroll run. For large payrolls, provincial employer health taxes add further cost. For a broader comparison of total employment cost across markets, Multiplier’s global guide is a useful reference.
CPP contributions
The employer CPP1 contribution rate is 5.95% on earnings between the basic exemption (CAD $3,500) and the Year’s Maximum Pensionable Earnings (YMPE) of CAD $74,600. A second tier (CPP2) requires a further 4% employer contribution on earnings between CAD $74,600 and CAD $85,000. CPP contributions reset to zero on January 1 each year.
EI premiums
The 2026 employer EI premium rate is $2.28 per $100 of insurable earnings — 1.4 times the employee rate. Insurable earnings are capped at CAD $68,900. The maximum annual employer EI contribution is CAD $1,572.30 per employee.
Employer on-cost breakdown
| Cost component | Rate | Example: CAD $68,460/year gross (~$49,300 USD) |
|---|---|---|
| Employer CPP1 | 5.95% up to CAD $74,600 YMPE | CAD $3,865 ($2,780)/year |
| Employer CPP2 | 4% on earnings between $74,600 and $85,000 | Up to CAD $416 (~$300)/year (higher earners only) |
| Employer EI | $2.28 per $100 insurable (max $68,900) | CAD $1,562 ($1,125)/year |
| Workers’ compensation | Risk-rated by province and industry (~0.5%–3%) | CAD $340 to $2,050 ($250–$1,480)/year |
| Provincial employer health tax (Ontario, BC) | 1.95% above CAD $1M payroll | Threshold exemptions apply for smaller payrolls |
| Total estimated on-cost | 10%–18% above gross | CAD $5,800 to $8,780 ($4,200–$6,300)/year above gross |
Payroll in Canada requires tracking CPP, CPP2, and EI thresholds separately, resetting annually. Quebec runs its own pension plan (QPP) instead of CPP and has separate provincial tax obligations. Contributions differ for Quebec employees.
| Calculate the true cost of hiring in Canada Use Multiplier’s employee cost calculator to get an exact total employment cost for your hire, covering CPP, EI, provincial workers’ compensation, and any applicable employer health taxes. |
With on-costs mapped, the next decision is how to structure the hire.
How to hire in Canada without setting up a local entity
Foreign companies cannot employ Canadian workers directly without registering in the province where the employee works. That means obtaining a Business Number from the CRA, registering for payroll deductions, and enrolling with the provincial workers’ compensation board. Setting up a Canadian corporation and completing all provincial registrations takes four to eight weeks, with ongoing compliance obligations across the CRA, provincial tax authorities, and employment standards legislation.
If you are weighing local entity setup against using an EOR, the main trade-off is time and overhead. Entity setup makes sense for companies building a long-term Canadian presence. For a small team or a market test, the registration, accounting, and ongoing compliance costs rarely justify the setup.
Company registration in Canada is the right path for companies committing to a permanent local operation. For everyone else, an Employer of Record in Canada employs your worker through its own registered entity and handles all CPP, EI, and provincial obligations — while you keep day-to-day management. See the full guide for a breakdown of CRA remittance deadlines and provincial requirements.
Hire and pay employees in Canada with Multiplier
Multiplier EOR services are built for companies that need to hire, pay, and manage teams across multiple markets with compliance certainty and operational control.
Because Multiplier owns the full infrastructure stack, including a direct entity in Canada, every hire is backed by infrastructure Multiplier controls, not a third-party partner you have never spoken to.
For companies expanding into Canada, that means:
- Entity-free hiring: Employ Canadian talent through Multiplier’s owned local entity, with no provincial registration, no CRA setup, and no entity maintenance overhead
- CPP, EI, and payroll handled end-to-end: All mandatory contributions calculated and remitted on time through Multiplier’s native payroll engine, covering both federal and provincial obligations across all ten provinces
- In-house compliance, not a partner relay: Multiplier’s legal and compliance experts own Canadian employment standards obligations directly. There is no third-party handoff between your question and the answer
- Full cost visibility before you hire: Model total Canadian employment cost, including CPP, EI, workers’ compensation, and provincial taxes, before making an offer, so compensation decisions are grounded in what you actually pay, not just gross salary
- One accountable system across every market: Whether you are hiring in Canada, Germany, Brazil, or the UK, Multiplier provides a single chain of accountability across payroll, compliance, and employment, with no split responsibility across vendors
Trusted by 2,700+ companies with $2B+ in wages processed and a track record across 160+ countries, Multiplier combines Employer of Record, Contractor of Record, and global payroll in one infrastructure layer, giving you the visibility, control, and peace of mind to build Canadian teams compliantly from day one.
Calculate your total hiring cost in Canada today. Book a demo with Multiplier.
FAQs
What is the average salary in Canada in 2026?
The average is approximately $49,300 annually (CAD $68,460), based on Statistics Canada average weekly earnings data from December 2025. The median of approximately $31,700 (CAD $44,000) is a better benchmark for most hiring decisions, as high earners in mining, utilities, and finance skew the mean upward. See Canada employer of record for full hiring cost context.
How much does it cost to employ someone in Canada?
Approximately 10% to 18% above gross salary, covering employer CPP at 5.95%, employer EI at $2.28 per $100 of insurable earnings, and provincial workers' compensation premiums. A $49,300 gross salary costs an employer approximately $53,500 to $58,170 annually. Use Multiplier's employee cost calculator for an exact figure.
What is a good salary in Canada?
Above CAD $68,000 ($49,000 USD) places an employee above the national average. In Toronto and Vancouver, CAD $85,000 ($61,200) is closer to the benchmark for experienced professional roles. In lower-cost provinces like Manitoba or New Brunswick, CAD $60,000 ($43,200) provides comparable purchasing power.
Can I hire employees in Canada without setting up a company there?
Yes, via an Employer of Record. Multiplier employs workers in Canada on your behalf through its own Canadian entity, handling contracts, CPP and EI remittances, income tax withholding, and provincial employment standards compliance. You direct the work; Multiplier handles the legal obligations. See EOR services for more detail.
How is payroll managed in Canada?
Employers remit CPP, EI, and income tax withholdings to the CRA on a schedule based on average monthly withholdings — typically semi-monthly or monthly. Workers' compensation premiums are reported and paid to the provincial board on a quarterly or annual basis depending on the province. Quebec uses separate QPP, provincial income tax, and CNESST remittances. There is no statutory 13th-month pay in Canada. Multiplier manages the full remittance cycle through its owned entity. See the complete guide to payroll in Canada for province-by-province remittance schedules.
What is a good salary in Canada?
A salary above CAD $68,000 ($61,200 USD) is closer to the benchmark for experienced professional roles. In lower-cost provinces like Manitoba or New Brunswick, CAD $60,000 (~$43,200 USD) provides comparable purchasing power.
