The Canadian median income reached $55,600 in 2014, the most recent year recorded, up 2.6% from 2013.
This is compared to the 2014 median income in the United States of roughly $70,000CAD. Canada has fallen behind the median income of the United States after tying them in 2010 to become the world’s richest middle class, according to an analysis by the New York Times.
The increase in Canadian median income was primarily a result of increased income for families consisting of two or more people. These families saw their income increase roughly $1,500 from 2013 to 2014, growing 2.4% from $74,200 to $75,700.
Families recorded greater growth than that of single person households, whose median income was virtually unchanged at $29,100. Single people over the age of 65 had a median income of $26,900 while their non-senior counter parts received a median income of $29,800.
Two parent households with children experienced the largest income increase between 2013 and 2014. This group saw their median income increase by 4.5%, receiving an extra $3,900, raising their median income to $91,000.
Seniors’ market income rose, not including government transfers such as old age security and the Canadian pension plan. This means the government was able to pay out less in social support to seniors during 2014. Median government transfers were down 2.6% for families who highest income earner was a senior and down 1.7% for single seniors.
Similar to single people, lone parent households also saw little change to their median income, increasing only $300 to $43,400 over the year. A higher median income means a larger tax base for the Canadian government. The median income tax owing to both the federal and provincial government rose 4.6% for all Canadians.
In order to be in the highest earning 10%, Canadians households needed to earn $161,900 in 2014 down from $163,7000 in 2013. In 2014 the top 10% owned less of the total income than in 2013, dropping from 27.7% to 27.4%.
The upper income limit for people in the lowest 10% was $17,800 with an average income of $9,300. The bottom 10% of Canadian income earners owned 1.4% of Canada’s total income.
According to Statistics Canada, 4.5 million Canadians, or 13% of the population are living off low income. Low income is defined as living below half the median income.
