Many Canadians make $35,000 annually and consider it a decent salary, especially if they get it by working only one job. Most people make at least that amount working from home or running their own business.
When you ask yourself, “is $35000 a year a good salary?” know that many entry-level jobs pay at least that, and depending on where you reside in Canada, it can serve as a living wage.
When you break down a $35,000 salary into per-hour earnings, it is higher than the Canadian federal minimum wage, which is $15.55/hour.
All provinces have their minimum wage figures, but they all fall below the $35,000 mark when analyzed hourly.
People work different numbers of hours in a week; therefore, their hourly wages will differ even though their cumulative annual earnings are the same.
Most people work jobs that require them to be active for 40 hours a week. Since there are 52 weeks in a year, they will work 40 hours x 52 weeks, which amounts to 2080 hours in a year. Dividing a $35,000/year salary by 2080 hours gives an hourly wage of $16.83.
However, not everyone works a 9-5 job. Some people work in shifts, some are consultants that work a few hours a week, and there are freelancers with flexible work hours. Depending on the nature of your job, you might work more or less than 40 hours a week.
Jobs that make you work less than 40 hours a week but pay you $35,000 yearly give you more money per hour. For example, if you work a 20-hour-a-week job, you will accumulate 1040 hours (20 hours x 52 weeks). Dividing $35,000/year by 1040 hours results in a $33.65/hour wage.
Using the same formula, working 60 hours a week and earning $35,000 a year means you work for a cumulative 3120 hours/year and earn $11.22/hour.
This figure is significantly less than the Canadian minimum wage, so it would be best to find a different job because you are underpaid for every hour you work.
You should also consider that all calculations were made assuming that you will work for all the hours you are paid. This is not always the case, especially if you work a 9-5 job.
You may be permitted to skip work on federal holidays or leave for vacation. During the time you are off work, you will still be paid.
Related: How many working days are in Canada?
The Canadian government has the right to tax your earnings, and different tax rates apply to different income levels in each province.
Someone with a new job offer might be asking themself, “$35000 a year is how much an hour after taxes”?. The answer depends on where they live.
The federal tax rate is 15% for income less than $49,020. In Ontario, for example, the local tax rate is 5.05% for income less than $45,142.
An Ontario resident earning $35,000 gross will be subject to a combined tax rate of 20.05%. This means they will be taxed $7,017.5 and be left with $27,982.5 as net annual income.
Consequently, Ontario residents will earn $13.45/hour after tax if they work 40 hours a week.
If they work for 20 hours weekly, the net hourly income will be $26.90. Those that work for 60 hours every week will take home $8.97/hour net.
While these figures are considerably less than the gross figures calculated earlier, recall that the minimum wage figures are also subject to the same tax rate. Ontario has a $15.50/hour gross minimum wage.
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After tax, this figure becomes $12.39 net. This net wage is lower than that of people who work 20-40 hour weeks.
These tax calculations do not account for tax credits, your annual personal amount, and other tax deductions you qualify for. In reality, you will end up paying very little federal and provincial tax if you earn $35,000 annually.
Related: The best free tax software you can use in Canada.
Regardless of how many hours you work weekly, your monthly income will be the same if you are paid $35,000 a year. This is with the condition that your income is steady throughout the year.
There are twelve months in a year, so you should divide $35,000 by 12 to get the monthly salary. So, if you are asking yourself, “$35000 a year is how much a month,” the answer is $2,916.67 per month gross.
Some Canadians receive their wages biweekly. This means they will receive their paycheck 26 times a year since every year has 52 weeks.
If you want to answer, “$35000 a year is how much biweekly?” divide that figure by 26 to know how much you will be paid every fortnight. The figure is $1,346.15 (including tax).
If you earn $35,000 a year and want to calculate your weekly wage, you should divide that by the 52 weeks we have in a year. This will result in a weekly wage of $673.07 gross.
As with biweekly wages, this figure does not change regardless of the number of hours you work in a week. If you work a job that does not require so many hours, you can find a side hustle to supplement your income.
Depending on the amount you make from your new “hustle,” your income might fall into a new tax bracket, and you will owe the Canadian government more taxes.
Different people have different answers to this question because whether a $35,000 a year salary is good or not depends on many factors.
Some of these factors include the average cost of living in their province, the industry they work in, their level of experience, whether or not they have dependents, and more.
A $35,000 per year salary is good for a student, entry-level worker or someone with less than five years of working experience.
People in this category rarely have dependents, and their career trajectory almost guarantees that they will earn more in the future. So $35,000 is a good starting salary for them.
To live off $35,000 a year, you have to be frugal with your spending and forgo luxury apartments. There are 2-bedroom basement apartments in the suburbs in some towns you can rent for about $1200 a month; this is the kind of house that salary can afford.
Opting for 2-bedroom apartments in high-end neighbourhoods can set you back $3,000 a month.
To be among the comfortable middle class in Canada, you should earn about $60,000 a year as a single person.
As a couple, the combined income should be at least $100,000. Those kinds of salaries will help you afford the mortgage of a condo in a metropolitan area.
The average yearly salary in Canada is approximately $55,000, which is significantly higher than $35,000. Average salary figures vary from province to province because the cost of living also varies.
In Ontario, the average yearly salary is $55,525. However, the monthly cost of living differs across cities.
In Welland, Ontario, the average yearly salary is $35,100 or $18 per hour, and the monthly cost of living is $2,814. While in Toronto, Ontario, people earn $55,524 on average per year, and the monthly cost of living is $3,815.
The money you need to live your life and afford your basic needs depends largely on where you reside. Therefore, you should carefully consider food, housing, and transportation costs in the city you plan to live in if you earn $35,000 a year.
Here is the list of Canadian provinces and territories with their average salaries:
|Province/Territory||Average yearly salary|
|Newfoundland and Labrador||$55,508|
|Prince Edward Island||$45,912|
There are many kinds of jobs that pay $35,000 across the country. Many of them are low-skilled jobs that do not need a high level of expertise to qualify.
The hourly pay per week for these jobs usually ranges between $18-$31. Employers offering these jobs expect their workers to be active between 32-40 hours a week. Some of these jobs include:
- Office clerk
- Customer service representative (remote)
- Administrative analyst
- Factory labourer
- Store Attendant
- Software developer (remote)
- Web developer (remote)
- Production worker
- Delivery driver
- Nursing Assistant
There are several ways to increase your income. The route you choose depends on what you are most comfortable with.
If you like your current job, work hard and ensure your performance stands out from your peers. This will put you in a pole position for a promotion and salary increase.
Employers pay more for in-demand skills. Take online courses on high-paying skills like digital marketing, UI/UX design, programming, and so on.
Once certified, look for internship opportunities that will give you experience with your new skills. The better you get at the skill you learn, the higher your salaries will be offered.
If you feel you are underpaid relative to the industry standard, research and apply to companies offering better payment terms.
Schedule your interviews outside your regular working hours so they will not clash with your current company schedule.
Be discreet with your plans because your current employer might not be pleased to discover that you are actively applying for jobs while on their payroll.
If you have some downtime, you can find a part-time job or start an online business to earn more cash. Try becoming a part-time dog walker, uber driver, video editor, photographer, hair stylist, or sneakers reseller.
Social media content creation has proven to be lucrative, and an increasing number of people are turning to it. You can watch YouTube tutorials on how to become a social media “influencer” and use the tips to build a following.
Once you have a decent-sized audience, you can approach brands for sponsorship deals and post monetizable videos to platforms like YouTube and TikTok.
YouTube pays creators between $3-$5 per 1000 views, while TikTok pays between 2-4 cents per 1,000 views.
Related: Average savings in Canada.