Canada Annual Salary Calculator 2024

Your annual salary is how much you make per year. To find out your actual take-home pay, this annual salary calculator uses your hourly wage, total working hours, and location to find your annual after-tax income. This is known as your net income and it is how much you will take home every year. You can find out your adjusted hourly wage, which is how much you actually make per hour worked after accounting for paid time off (PTO), such as vacation and sick days. This calculator also converts your annual salary into daily, weekly, and monthly income amounts.

Province: Where you are employed is used to calculate your income tax rate.

Paid Time Off per Year: This includes paid holidays, vacation days, sick days, and personal days.

Gross Annual Income: Your annual income before taxes.

Adjusted Hourly Wage: Your hourly wage adjusted for your paid time off. This is how much you make per hour worked. The more paid time off (PTO) you have, the higher your adjusted hourly wage.

Total Work Hours in a Year: This excludes your paid time off.

Effective Income Tax Rate: This is the income tax you will have to pay as a percentage of your gross income. Included are provincial and federal income taxes.

Net Annual Income: Your annual income after taxes. This is your take-home pay.

You can convert your hourly wage into an annual salary by using this calculator. It also finds your net income after deducting income taxes. To use this annual salary calculator, follow these steps:

• Enter Your Hourly Wage

  An hourly employee is paid for each hour that they work. If you’re paid by the hour, you’ll enter your hourly pay or hourly rate here. If you’re a salaried employee, you can instead enter your salary into the gross annual income field. That’s because salaried employees are paid a fixed amount per month or year.

• How Many Hours Do You Work?

  In Canada, full-time jobs typically have a 35-hour to 40-hour working week. It’s common for full-time employees to work 8 hours per day. Part-time employees would work 30 hours or less per week. As an hourly employee, you’ll be making more money the more hours that you work. As a salaried employee, your adjusted hourly wage will be lower the more hours that you work. In this field, enter how many hours that you work per week.

• Do You Have Paid Time Off?

  Full-time employees usually have paid-time off (PTO) in Canada, which includes holidays, vacation days, sick days, and personal days. Part-time employees will generally also receive paid-time off, including holidays or a premium for holiday pay. These are days that you will not be working, but you’re still paid your regular wage for these days. The more paid-time off that you have, the higher your adjusted hourly wage.

• Your Location Matters

  When it comes to calculating income taxes, your location matters. Each province has their own income taxes and tax brackets which will affect how much income tax you will pay. An amount is usually withheld from your paycheque to account for federal and provincial taxes. This might be more or less than your actual income tax owed. This salary calculator estimates your income taxes based on your gross pay and location of employment.

• Results

  Once you’ve entered all the inputs, the annual salary calculator will give you your net annual income. It also estimates your income tax rate, how much tax you’ll have to pay, and your adjusted hourly wage. Gross daily, weekly, and monthly income amounts can also be found.

Salary vs. Wage: What’s The Difference?

Salary usually refers to the fixed amount that an employee makes per year. On the other hand, wage is typically used when referring to an hourly wage, which is the amount that an employee makes per hour worked.

A salary is not based on the amount of actual hours worked. This means that salaried employees might work more hours than scheduled and still be paid the same fixed salary. Depending on your province and occupation, you may still be eligible for overtime pay.

To calculate your annual income, you will multiply your hourly wage by the hours worked per week and then by the number of working weeks in a year. Hours worked per week is based on your hours worked each day, then by the number of days that you work each week. Not all employees work five days a week. Some might have a 10-hour workday and work four days a week. Part-time employees might work less days.

The following annual income formula can be used to calculate your annual income:

If you’re a salaried employee, you might be looking to convert your annual salary into hourly, daily, weekly, or monthly salary amounts. This allows you to know how much you are making every day, week, or month.

To convert your salary, use the following conversion table.

Converting Annual Salary

As an example, let’s say that your annual salary is $100,000 and you want to find out what your daily income is. Since there are 52 weeks in a year, and based on a 5-day working week, you would be working 260 days in a year (from 52 x 5 = 260). Then, divide your annual salary by 260 days to get your daily income, which in this case is $384.62. This is your gross daily pay before any deductions, such as tax.

The table below gives an example for other income time periods.

Example of Converting $100,000 Annual Salary

From this rough calculation, a person with a $100,000 annual salary would be making roughly $8,333.33 per month, which is equivalent to $1,923.07 per week, $384.62 per day, and $48.07 per hour.

How to Quickly Find Your Hourly Wage

An easy way to calculate your hourly wage from your annual income is to divide your annual salary by 2,000. That’s based on working 50 weeks per year (with 2 weeks unpaid) and 40 hours per week. If you work 52 weeks per year, or are paid for working 52 weeks per year, then you can divide your annual salary by 2,080. This gives you your hourly wage.

As an example, if your annual salary is $50,000, dividing it by 2,000 gives you $25. Someone with a $50,000 annual salary would be making roughly $25 per hour.

There are different ways to calculate annual income based on an hourly wage. While this calculator does this for you, you can still find your annual income manually. Here are some examples for calculating annual income.

• You’re an Hourly Employee

  If you’re an hourly employee, you can easily find your annual income by multiplying your hourly wage by your hours worked. Let’s say that you work eight hours per day, for five days per week. That’s 40 hours per week. With 52 weeks in a year, you’ll be working 2,080 hours per year.

  As an example, someone has an hourly wage of $20. Using the annual income formula, they will calculate their income with using this calculation:

  Annual Income = $20/hour x 2,080 hours/year

  Annual Income = $41,600

  A full-time hourly employee making $20 per hour would make roughly $41,600 per year.

• You Have Unpaid Time Off

  Unlike salaried employees, which are paid a fixed amount, wage earners can have their income affected by the amount of time worked. If you are scheduled less hours, you’ll be earning less money. The same goes for time off. Taking unpaid time off will affect your annual income.

  Using the same example as above, of a full-time employee earning $20 per hour, consider what will happen to their annual income if they take a two week unpaid vacation. This leave of absence will reduce their income, but by how much?

  Unpaid Time Off = 40 hours/week x 2 weeks

  Unpaid Time Off = 80 hours

  Cost of Unpaid Time Off = 80 hours x $20/hour

  Cost of Unpaid Time Off = $1,600

  Their annual income will be reduced by roughly $1,600 due to taking two weeks off. Another way to calculate this is to use the annual income formula, but reducing the weeks worked per year.

  Annual Income = $20/hour x 40 hours/week x 50 weeks/year

  Annual Income = $40,000

  The annual income of this wage earner has now dropped to $40,000 from the previous example of $41,600.

• You’re Paid a Daily Wage

  Some jobs pay daily. If you’re paid a daily wage rather than an hourly wage, you’ll base your calculation based on your number of working days. A full-time worker will be working around 260 days per year (5 days per week x 52 weeks in a year). Let’s say you’re paid $250 per day. How much will you earn in a year?

  $250/day x 260 days/year = $65,000/year

  Someone earning $250 per day would make $65,000 in a year.

• You’re Paid a Salary

  Salaried employees are paid a set amount of money that doesn’t depend on the number of hours worked. As an example, let’s say that a salaried employee is paid $10,000 per month. The steps to calculating their annual salary is to multiply their monthly salary by 12, which is the number of months in a year.

  Annual Salary = $10,000/month x 12 months/year

  Annual Salary = $120,000

  In this example, their annual salary is $120,000 per year.

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In Canada, hourly paid employees are more common than salaried employees.Out of 17.5 million Canadian workers in January 2023, roughly 10.1 million were hourly paid and 6.4 million were salaried. This means that 58% of Canadian workers are paid by the hour, while 36% are salaried. The remaining workers have other compensation schemes.

Source Statistics Canada

Your annual income or annual salary are important numbers to know. You’ll need to know these numbers to help you budget, when applying for a mortgage or credit, or even when looking for a home to rent. This section will take a look at what is annual income along with some statistics about income in Canada.

Your annual income is made up of your hourly wage and the total number of hours worked in a year. The more hours you work, the more you’ll make. The same goes for your hourly wage. The higher your wage, the more you’ll make.

In Canada, there are two types of minimum wages. The federal minimum wage applies to those working in federally regulated sectors, as well as federal Crown corporations, which as of 2022 numbered at 955,000 workers. That's 6% of all workers in Canada! As of 2023, Canada's federal minimum wage is $16.65 per hour.

Canada’s Federal Minimum Wage

As of 2023, Canada's federal minimum wage is $16.65 per hour. This applies to about 6% of Canada’s workforce.

For most workers, your province or territory’s minimum wage would be the one that applies to you. Each province and territory sets their own minimum wage. If the federal minimum wage applies to you but your province has a higher minimum wage, then the higher minimum wage would be the one in effect.

Only two provinces and territories have a higher provincial/territorial minimum wage than the federal minimum wage: British Columba and Yukon. Federally-regulated workers earning minimum wage in those areas would earn the higher provincial/territorial minimum wage.

Workers in non-federally regulated industries, which account for 94% of Canada’s workforce, would not be covered by the federal minimum wage. A minimum wage earner in Saskatchewan would earn $13.00 per hour for instance, while the Ontario minimum wage as of 2023 was $15.50.

Your minimum wage can also depend on your occupation. For example, students, servers, and other occupations might have a lower minimum wage. As an example, the Ontario student minimum wage is $14.60 per hour, compared with Ontario's general minimum wage of $15.50 per hour. In Quebec, employees that are paid tips have a minimum wage of $12.20 per hour, compared to Quebec's minimum wage of $15.25 per hour in 2023.

Provinces and territories across Canada have been increasing their minimum wage in 2023. Some provinces might tie their minimum wage increases to the Consumer Price Index, which allows the minimum wage to increase with inflation. This helps track the cost of living in Canada.

Minimum Wage Increases in 2023

In 2022, the largest minimum wage increases have been from provinces and territories with lower minimum wages going into the year. For example, New Brunswick increased its minimum wage by 17%, from $11.75 in 2021 to $13.75 in 2022, which still remains far below the minimum wage in British Columbia, Alberta, and Ontario. Provinces with a 2022 minimum wage above $15 saw little change in 2022. This pattern is also seen with minimum wage increases in 2023.

In Canada, salaried employees typically make more money per hour than hourly employees. In July 2022, the average hourly earnings of hourly-paid employees was $28.60 per hour. In comparison, salaried employees made an average of $41.53 per hour.

Hourly vs. Salaried Average Hourly Pay

Source: Statistics Canada

However, salaried employees have a longer work week than hourly employees. Salaried employees worked an average of 37.1 hours per week, while hourly employees worked an average of 31.1 hours per week.

Hourly vs. Salaried Working Week Hours

Source: Statistics Canada

Hourly wages in Canada can also vary considerably depending on your industry. As an example, the average hourly wage of a worker in accommodation and food services is $17.18 per hour. In comparison, someone working in real estate makes an average of $26.87 per hour, while those in construction make an average of $35.02 per hour. The highest paid industry in Canada is information and cultural industries, with an average hourly wage of $37.48 per hour.

Canada Average Hourly Earnings by Industry

Source: Statistics Canada

Federal holidays in Canada, also called public holidays or federal statutory holidays, apply to federally regulated employees. If you work in a federally regulated industry, you will receive 10 paid federal holidays each year. This includes the following federal holidays:

• New Year’s Day
• Good Friday
• Victoria Day
• Canada Day
• Labour Day
• National Day for Truth and Reconciliation
• Thanksgiving Day
• Remembrance Day
• Christmas Day
• Boxing Day

Federal workers may be able to substitute a holiday for another day if the holiday falls on a non-working day. For example, you might be able to add the holiday as an extra day to your annual vacation allowance, or have it in-lieu on the day before or after the holiday.

The table below shows the date of Federal holidays in Canada for 2023.

Canada’s Federal Holidays 2023

Provinces and territories aren’t required to follow the federal government in making federal holidays as statutory holidays. Provincial stat holidays differ by province. For example, Ontario celebrates Boxing Day as a holiday, while British Columbia does not. Meanwhile, Remembrance Day is a stat holiday in B.C. but not in Ontario.

Number of Statutory Holidays by Province

Provincial holidays also do not always align with federal holidays. This means that you might still have to work even if it is a federal stat holiday. The below section lists provincial statutory holidays in Canada.

Ontario Statutory Holidays

Source: Government of Ontario

British Columbia Statutory Holidays

Source: Government of British Columbia

Quebec Statutory Holidays

Source: Government of Quebec

*Note: Quebec employers can choose between either Good Friday or Easter Monday

Alberta Statutory Holidays

Source: Government of Alberta

Nova Scotia Statutory Holidays

Source: Government of Nova Scotia

New Brunswick Statutory Holidays

Source: Government of New Brunswick

Saskatchewan Statutory Holidays

Source: Government of Saskatchewan

Manitoba Statutory Holidays

Source: Government of Manitoba

PEI Statutory Holidays

Source: Government of PEI

Newfoundland and Labrador Statutory Holidays

Source: Government of Newfoundland and Labrador