What can professionals expect from the average salary in Toronto in 2025, and is it truly enough to live comfortably? As the Toronto area continues to grow, so do questions about yearly salary, cost of housing, and the average cost of living. Whether you’re exploring new jobs in Toronto or planning a relocation, understanding income in Toronto is more important than ever.
The average annual salary in the Greater Toronto Area depends heavily on the sector and scope of work, with some of the highest-paying jobs found in the financial services industry and project management. While the average household income is higher than the Canadian average salary, many workers still struggle each month to pay for housing and groceries. For many, the take home income per year after taxes is what ultimately determines whether life in Toronto is truly livable.
As businesses in the city expand and the job market evolves, living and working in this province’s economic hub brings both opportunity and pressure. What a person earns per year in Toronto must now stretch to meet rising expenses, especially in one of the most expensive cities in the world. Read on to discover how much the city of Toronto expects you to make—and whether it’s enough to fund their lifestyle in 2025.
Average Salary in Toronto
In 2025, Toronto’s average salary landscape reflects its status as Canada’s economic powerhouse, with earnings varying significantly across industries and company sizes. According to data, the average gross salary in Toronto stands at approximately CAD 96,897 per year, with the most typical salary around CAD 63,792. This figure is notably higher than the national average of CAD 62,660, underscoring Toronto’s premium wage environment.
Salaries in Toronto also differ based on company size. For instance, employees in large enterprises (250+ employees) earn an average monthly net salary of CAD 4,020, while those in micro-enterprises (up to 15 employees) average CAD 1,720 per month.
Industry-specific salaries further highlight this variation. In the technology sector, professionals can expect annual salaries ranging from CAD 90,000 to over CAD 150,000. Finance professionals earn between CAD 80,000 and CAD 140,000, while those in healthcare see earnings from CAD 70,000 to CAD 120,000.
However, these higher salaries are tempered by Toronto’s substantial cost of living. The average monthly expenses for a single renter are approximately CAD 4,082, with housing being the most significant expenditure. This financial dynamic emphasizes the importance of aligning salary expectations with living costs when considering employment opportunities in Toronto.
To provide a clearer picture, here’s a summary of average annual salaries across various sectors in Toronto:
- Technology: $90,000 – $150,000+ CAD
- Finance: $80,000 – $140,000+ CAD
- Healthcare: $70,000 – $120,000+ CAD
- Education: $60,000 – $100,000+ CAD
- Professional Services: $75,000 – $130,000+ CAD
This overview highlights the earning potential across different industries in Toronto, showcasing the city’s diverse and lucrative job market.
Cost of Living in Toronto: Monthly Budget Estimates for Students, Singles, and Families
Understanding the cost of living in Toronto is essential for anyone planning to move to or reside in the city. Whether you’re a student, a working professional, or raising a family, budgeting appropriately can help you manage expenses in this vibrant and fast-paced urban environment.
Estimated Monthly Living Expenses by Household Type (CAD)
Rent and Housing
- Student: $1,000 – $2,000
- Single Adult: $2,000 – $3,000
- Family: $3,000 – $5,000
Utilities
- Student: $100 – $150
- Single Adult: $100 – $200
- Family: $200 – $400
Groceries
- Student: $150 – $300
- Single Adult: $600 – $800
- Family: $1,000 – $2,000
Transportation
- Student: $100 – $150
- Single Adult: $300 – $500
- Family: $600 – $800
Miscellaneous (entertainment, personal care, shopping)
- Student: $100 – $150
- Single Adult: $200 – $300
- Family: $800 – $1,000
Estimated Monthly Total
- Student: $1,500 – $3,000
- Single Adult: $3,000 – $4,500
- Family: $5,000 – $10,000
Cost of Living in Toronto Compared to Other Canadian Cities
Here’s a brief comparison of living costs in Toronto and several other major Canadian cities, highlighting expenses like rent, food, and transportation. All presented in Canadian Dollars (CAD).
Monthly Salary (after taxes):
- Toronto: $4,374
- Montreal: $3,819
- Ottawa: $4,338
- Calgary: $4,412
- Edmonton: $4,124
Cost of Living (single):
- Toronto: $3,417
- Montreal: $2,587
- Ottawa: $2,862
- Calgary: $2,893
- Edmonton: $2,463
Cost of Living (family):
- Toronto: $7,532
- Montreal: $6,006
- Ottawa: $6,440
- Calgary: $6,404
- Edmonton: $5,702
Rent (single):
- Toronto: $1,813
- Montreal: $1,434
- Ottawa: $1,412
- Calgary: $1,308
- Edmonton: $1,339
Rent (family):
- Toronto: $2,907
- Montreal: $2,545
- Ottawa: $2,829
- Calgary: $2,859
- Edmonton: $2,230
Food (single):
- Toronto: $839
- Montreal: $801
- Ottawa: $785
- Calgary: $781
- Edmonton: $752
Food (family):
- Toronto: $2,209
- Montreal: $2,804
- Ottawa: $2,043
- Calgary: $2,022
- Edmonton: $1,952
Transport (single):
- Toronto: $334
- Montreal: $261
- Ottawa: $226
- Calgary: $226
- Edmonton: $230
Transport (family):
- Toronto: $846
- Montreal: $693
- Ottawa: $583
- Calgary: $588
- Edmonton: $619
Overall Quality of Life Score:
- Toronto: 93
- Montreal: 93
- Ottawa: 90
- Calgary: 89
- Edmonton: 89
Understanding the Average Salary in Toronto and Its Impact on Living Costs
Toronto, the fourth largest city in all of North America, continues to attract professionals across multiple industries due to its vibrant economy, cultural diversity, and strong employment opportunities. However, understanding the average yearly salary in the Toronto region is crucial when planning a move or career shift. A closer look at income trends, cost of living in Toronto, and what qualifies as a good salary in Toronto can help you determine whether you’re earning enough to fund your lifestyle.
Average Annual Salary by Sector
- The average salary in Toronto ranges from 55,000 to 75,000 CAD per year, depending on your role and experience.
- Salaries vary significantly by sector; for instance, finance, healthcare, and tech tend to pay above the average salary in Canada.
- A project manager in Toronto can earn between 85,000 and 110,000 CAD annually, which is considered a good salary in Toronto.
- Entry-level roles or hourly jobs typically offer lower income, making it harder to cover the average cost of living in the city.
- Using a salary calculator helps workers calculate whether their income aligns with local expenses and lifestyle expectations.
Cost of Living and Monthly Expenses
- The cost of living for Toronto is among the highest in the country, with housing accounting for the largest share.
- On average, it can take between 4,000 to 6,000 CAD per month to pay for things such as rent, groceries, transportation, and utilities.
- Despite strong wages, many residents find it difficult to save or invest, especially if their take-home pay per year is on the lower end of the spectrum.
- Families and individuals earning under 60,000 CAD per year after taxes often struggle to afford basic living costs in the Toronto region.
- Those relocating from another province or city should plan carefully, as living and working in Toronto requires a clear financial strategy.
What Makes a Salary Livable in Toronto
- In Toronto, a salary is considered adequate if it can cover essential expenses such as a home, food, transportation, and healthcare, while also allowing for some discretionary spending and saving.
- The city’s high quality of life and access to amenities drive up living expenses, but also contribute to the appeal of residing here.
- The job market remains competitive, with the unemployment rate hovering around national averages and varying depending on the industry.
- Professionals should assess their scope of work, potential bonuses, and career growth to determine if their income is sustainable.
- Toronto’s role as an economic hub is a major draw, making Toronto one of the most desirable—yet costly—places to live in Canada.
Final Thoughts
Toronto’s average salary in 2025 offers a wide range of income levels, with variations depending on profession, experience, and industry. While salaries in sectors like finance, healthcare, and technology are above average, the cost of living, especially housing, remains high.
For many individuals and families, a salary of at least $75,000 per year is considered necessary to cover basic expenses and live comfortably in the city. Despite strong job opportunities, those earning below this threshold often struggle with affordability. Relocating to Toronto requires careful financial planning to ensure that income aligns with the city’s high living costs, particularly for newcomers or those moving from regions with lower expenses.
Frequently Asked Questions
How does using a salary calculator help evaluate if your income matches the average cost of living in Toronto?
Using a salary calculator helps assess if your income aligns with the cost of living in Toronto, providing a clear comparison between your take-home pay and monthly expenses.
Income Breakdown: A salary calculator converts your gross earnings into net pay, which is essential to determine if you can afford the average cost of living in Toronto.
Cost Comparison: It allows you to compare your salary against the cost of housing, groceries, transportation, and other monthly expenses in the city.
Realistic Budgeting: By calculating your monthly earnings, you can adjust your budget, making sure you’re financially prepared for life in one of Canada’s most expensive cities.
What makes a good salary in Toronto when considering rent, transportation, and other per month expenses?
A good salary in Toronto is one that comfortably covers rent, transportation, groceries, and leaves room for savings and discretionary spending.
Rent and Living Costs: With the high cost of house rental in Toronto, a salary that covers both rent and daily living expenses is key for financial stability.
Transportation Costs: Monthly transportation costs, including public transit or parking, add another significant expense, requiring an income level that accommodates these fees.
Financial Flexibility: A good salary in Toronto should allow individuals to enjoy a high quality of life, with enough income to cover expenses without stretching the budget too thin.
How do jobs in Toronto compare with the average salary in Canada when it comes to covering everyday living costs?
Jobs in Toronto typically offer higher salaries than the national average, but the city’s high cost of living can offset this advantage.
Average Salary in Canada vs. Toronto: While salaries in Toronto may be higher than the Canadian average, the cost of living in the city is also more expensive.
Higher Costs in Toronto: While salaries may be higher, living costs—such as housing, food, and services—are also steeper, making it more challenging to save.
Sector Variations: Salaries in Toronto’s competitive sectors, like technology, finance, and healthcare, are higher, but these positions are still subject to the city’s rising costs.
Why do professionals like project managers often earn more than the average annual salary in Ontario?
Project managers typically earn more than the average annual salary in Ontario due to their specialized skills and high responsibility in managing large-scale projects.
Industry Demand: Project managers are in high demand across industries like construction, IT, and healthcare, where their leadership skills are critical to project success.
Skills and Experience: These roles often require certifications and significant experience, such as PMP (Project Management Professional), which justify higher salaries.
Salary Range: Project managers earn higher salaries due to the complexity and leadership required in their roles, often surpassing the average annual salary for many other industries.
Which factors beyond salary influence whether you can afford the cost of living in CAD in one of the highest-paying job markets?
Beyond salary, several other factors influence whether you can afford to live comfortably in Toronto.
Cost of Housing: Housing is often the largest expense in Toronto, with rent and mortgage payments taking up a significant portion of your monthly income.
Personal Expenses and Lifestyle: Expenses like healthcare, childcare, and food can significantly affect your financial flexibility, regardless of how much you earn.
Work Benefits: Employer benefits, such as health coverage and transportation stipends, can also improve financial stability and offset some of the city’s high living costs.