High-Earning Canadians: Where Do I Rank?
See how your income stacks up in Canada, what qualifies as high-earning, and how to climb the ranks with smart financial strategies.
With rising cost of living, shifting job markets, and an increasing focus on financial literacy, more and more Canadians are asking themselves: Am I earning enough compared to others?
Understanding where you fall in the national income spectrum offers valuable perspective for planning your future or negotiating a raise.
Income percentiles are a useful way to benchmark where you stand.
They divide Canada's earners into ranked groups, from the top 0.1% making over a million dollars a year, to the median income where half of Canadians earn more and half earn less.
These brackets give us a picture of how wealth is distributed, how it varies by age and province, and what it takes to move into higher income tiers.
In this article, we'll break down what qualifies as high income in Canada, explore where most Canadians fall, and show how your salary compares.
We'll also look at the factors that influence income and share strategies to increase your earning potential.
What Is Considered a High Income in Canada?
What is considered a “high income” depends on where you fall within national income percentiles.
These percentiles group earners based on how much they make annually, giving a clearer picture of who qualifies as “high earning.”
Generally, to be in the top 10% of Canadian income earners, you need to earn at least $125,945 per year.
To break into the top 5%, your income must exceed $162,210.
The top 2% starts at $190,000 annually, while the threshold for the top 1% is $315,911.
At the very top, the 0.1% of earners bring in over $1 million per year.
These figures represent total taxable income, not just your base salary.
That means bonuses, self-employment earnings, investment returns, rental income, and taxable spousal support payments.
High earnings benefit from multiple income streams, such as employment income paired with dividends or capital gains, which helps push their total income into higher brackets.
Income Percentile Breakdown
Income in Canada is highly stratified, and where you fall in the percentile breakdown can say a lot about your financial standing.
Here's a look at the thresholds for top income brackets, along with key regional and demographic insights:
Top 0.1%: To be among the wealthiest Canadians, you need to earn over $1 million annually. Individuals in this bracket often have multiple high-yield income sources such as business profits, investments, and real estate holdings.
Top 1%: The minimum income to enter this group is $315,911, with the average income sitting around $500,000. These earnings include high-level professionals, executives, and business owners.
Provincial Variations: The top 1% threshold and average income can vary depending on where you live:
- British Columbia: Average top 1% income is $546,200
- Ontario: $534,800
- Alberta: $495,000
- Yukon, Nunavut, NWT: Lowest average at $357,000
There is a noticeable gender disparity among Canada's top earners.
Only 25% of tax filers in the top 1% are women, while 75% are men.
This imbalance is reflected in income as well, with men in the top 1% earning an average of $524,000 compared to $450,400 for women.
Despite overall progress in workplace equality, the gender wage gap remains significant at the highest income level.
Beyond the top 1%, the thresholds for other high-income brackets are still substantial.
To be in the top 2%, you need to earn at least $190,000 per year. The top 5% begins at $162,210, and the top 10% starts at $125,945.
These categories are considered upper-middle class and include professionals in well-established careers, often with dual income households or additional sources of earnings.
Where do Most Canadians Fall?
Most Canadians fall below the high-income thresholds.
The median individual income in Canada is $46,151, meaning half of Canadians earn more than that amount and half earn less.
The average individual income is slightly higher, around $70,000, while the average household income for married or common-law couples sits at approximately $75,000.
These figures reflect a wide range of economic realities across the country, with variation depending on age, region, and household structure.
Income tends to increase with age and work experience.
People aged 25 to 34 earn an average of $46,900, those 35 to 44 earn around $63,700, and the average income peaks in the 45 to 54 range at about $66,700.
Household income also climbs with age: households headed by someone 25 to 34 earn about $97,950, while those in the 45 to 54 age bracket earn about $147,220.
Overall, the Canadian middle class earns between $57,375 and $114,750 per year.
This group includes a large group of the population and represents what many consider a comfortable but not affluent lifestyle, with enough to cover basic expenses, save modestly, and support a family.
How to Calculate Where You Rank
There's several tools and resources that can help you figure out where you rank among Canadian earners.
Various online income percentile calculators let you input your income and see how it compares nationally or provincially.
These tools give you a quick glimpse of your financial position in relation to others, and are usually updated with the latest data.
It's also important to distinguish between individual income and household income when comparing.
For example, a single person earning $80,000 may rank higher individually than a two-income household making $120,000 combined.
Household size and structure affects your finances and percentile ranking, especially when comparing your lifestyle to others.
Remember to account for the difference between gross income (your earnings before taxes and deductions) and net income (what you actually take home).
Canada's progressive tax system means high earners pay a larger share of their income in taxes, which can impact your real-world financial flexibility even if you fall into a high-income bracket on paper.
What Contributes to High Income?
There are several factors that contribute to reaching a high income in Canada.
High-paying careers, particularly healthcare, tech, finance, and law, offer strong earning potential, especially for those with advanced degrees and specialized skills.
Education and years of experience also matter, with university graduates and seasoned professionals earning more over time.
Many high-income households benefit from dual incomes, while top earners diversify their finances through multiple income streams.
This includes employment income, investments, rental properties, or business revenue.
Tax Implications for High Earners
High earners in Canada face a progressively higher tax burden as their income increases.
As of 2025, federal tax rates range from 15% on the first $57,375 of taxable income to 33% income above $253,414.
On top of that, provincial tax rates vary on high earnings, making your total tax bill heavily dependent on where you live.
Despite these rates, tax credits and deductions can help reduce taxable income.
Common examples include RRSP contributions, childcare expenses, and medical costs.
These strategies are especially important for high earners who want to manage their effective tax rate.
It's also important to understand the distinction between income and net worth.
Income is what you earn annually, while net worth is the total value of your assets minus debts.
Someone may have a high income but a modest net worth if they carry large debt or spend most of what they earn.
On the other hand, a person with moderate income and strong investments could have substantial long-term wealth.
Strategies to Increase Income and Build Wealth
Building your wealth involves a mix of smart financial habits and long-term planning.
One of the most effective strategies is investing wisely by managing a diversified portfolio that includes stocks, bonds, and other assets that can generate passive income through compound returns.
Avoiding lifestyle inflation is also important.
Staying mindful of expenses and minimizing debt allows you to save and invest more aggressively.
Most Canadians also boost their earnings through entrepreneurship or side hustles, which includes freelancing, launching a small business, or rentals.
Long-term career planning and continuous skill-building can lead to higher earning potential.
Pursuing certifications, advanced degrees, or in-demand technical skills can open the door to promotions, higher-paying roles, and general job security.
In the end, high income is a relative concept that is shaped by your profession, location, household structure, and life stage.
It's natural to compare numbers, but your financial well-being depends on more than just where you rank in the income percentiles.
Instead of focusing solely on income, take a broader look at your financial trajectory, how your net worth is growing, how prepared you are for the future, and if your current habits support your long-term goals.
Ready to take the next step? Consider consulting a trusted financial advisor who can help you understand your finances, create a personalized plan, and set clear wealth growing goals.
With professional guidance, you'll be ready to make informed decisions and build lasting financial stability on your own terms.