Average Middle Class Income Canada: How much money do you need to retire in Canada?

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By CRPIT Editor

The following article has been prepared to provide information regarding the Average Middle Class Income in Canada. Here we will consider various aspects. Many citizens of Canada who call themselves Middle Class do not even know that they have a higher income than the middle one. Apart from this, we will also be elaborating on the money which is needed to retire in Canada without worrying about the money in old age. Scroll down the page and get the latest updates related to the Average Middle Class Income Canada.

Average Middle Class Income Canada

Average Middle Class Income Canada

So people still believed that the meaning of Average Middle Class Income is associated with things like owning a car, having a house and others. However, it must be noted that Average Middle Class Income does not mean a lifestyle. It is a specific income amount. Below is the table showing the incomes of different classes:

ClassesIncome Amount
Lower Class$0 to $53,359
Middle Class$53,359 to $106,717
Upper Middle Class$106,717 to $235,675
Upper Class$235,675 and more

Before concluding, it is important to note that only a few individuals who come under the lower class come under the poverty line. Most people of the lower class are registered under the social assistance problem which offers help in providing the work. This amount still comes under the taxable income.

Tax Rate on Income

Readers who want to know the amount of tax which is deducted by the government from the individual’s salary can go through the table available below:

Tax RateIncome
15%Income between $0 to $53,359
29%Income between $165,430 to $235,675
26%Income between $106,717 to $165,430
33%Income between $235,675 and more
20.50%Income between $53,359 to $106,717

Average Middle Class Income in Canada

More than 15% of the citizens have a salary of more than 15% in Canada. The average income revolves around $70,000 before tax and the income after tax is $66,800. Please note that the mentioned salary is an Average Middle Class Income. The following is the table showing detailed information regarding the income:

ProvinceSingle Person’s Income in 2023Single Person’s Income in 2022Median Income (Household) 2023 (After Tax)
Northwest Territories$77,900$64,056$127,000
Newfoundland and Labrador$52,562$57,900$59,300
Prince Edward Island$46,160$47,515$59,400
Nova Scotia$56,550$45,900$57,500
British Columbia$66,232$50,749$67,500
New Brunswick$57,336$43,400$56,900

How much money do you need to retire in Canada?

The is recommended to the citizens to plan a minimum of 70% of the current income. The pre-retirement cost is likely to reduce if the person is not commuting for work anymore. You will also be able to live a peaceful and comfortable life on that amount. However, it might not be enough for everyone. The first factor to evaluate the costs is to check the current expenses made concerning the current wages.

If the person is facing difficulty in fulfilling the current expenses with the current wages then there is a high probability that the decreased amount of the retirement will not be enough. The readers should save a minimum of 10% of their current income from more onwards and transfer it into their respective retirement funds. The younger, a person starts the more amount they will have after retirement.

Please note that we cannot evaluate the exact amount one will need to retire as it depends on the lifestyle a person wants along with their plans. Such as, some people would like to travel, some people would love to live in a small house peacefully, and more. The average which we would like to advise the citizens to save is around $7500000 for retirement in case they are not a part of the pension. This amount will be broken down over the rest of the list. The amount will fulfill most of the requirements, however, to a certain extent only.

Frequently Asked Questions

What are the jobs that can make up the Average Middle Class Income in Canada?
Below are some of the jobs that can make up the Middle-Class Wages in Canada:
Software Developer, Welder, Surgeon, Construction Forman, Engineer, Electrician, Construction Manager, Marketing Manager, Lawyer, Banker, Geoscientist, etc.

How much money do you need to retire in Canada?
Individuals must have around $7500000 till the time they retire to live a quite comfortable life.

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