Toronto is Canada's financial capital and highest-paying major city. See average salaries by industry, take-home pay after Ontario taxes, and cost-of-living context.
In 2026, the average salary in Toronto is approximately $78,500, with a median closer to $68,000. High-income industries like technology, finance, and government pull the average above the median.
| Industry / Sector | Salary Range | Median |
|---|---|---|
| Finance / Banking | $92,000 – $185,000 | $128,000 |
| Technology / Software | $88,000 – $165,000 | $118,000 |
| Healthcare / Nursing | $72,000 – $115,000 | $88,000 |
| Legal / Law | $78,000 – $200,000+ | $110,000 |
| Education / Teaching | $68,000 – $102,000 | $82,000 |
| Construction Trades | $72,000 – $115,000 | $90,000 |
| Retail / Hospitality | $35,000 – $55,000 | $44,000 |
| Government / Public Service | $68,000 – $120,000 | $88,000 |
Province: Ontario (pre-selected for this city)
Estimated Annual Take-Home Pay:
| Deduction | Amount |
|---|---|
| Federal Income Tax | ~$9,600 |
| Ontario Provincial Tax | ~$4,600 |
| CPP Contributions | ~$3,800 |
| EI Premiums | ~$1,049 |
| Total Deductions (on $78,500) | ~$19,050 |
| Take-Home Pay | ~$59,450/yr ($4,954/mo) |
Ontario has among the higher provincial tax rates in Canada. Toronto residents earning $78,500 pay approximately 24% of gross income in combined federal and provincial taxes.
With an average salary of $78,500 and take-home pay of ~$59,450/year, Toronto's cost of living is a significant consideration:
| Expense | Monthly Cost | % of Take-Home |
|---|---|---|
| Rent (1-bedroom) | $2,200–$2,800 | 44–57% |
| Groceries | $400–$600 | 8–12% |
| Transit (TTC monthly) | $156 | 3% |
| Utilities | $120–$200 | 2–4% |
Toronto's housing costs mean many residents earning below $85,000 struggle to save meaningfully without roommates or co-habitation. Top earners in finance and tech ($120,000+) have significantly more breathing room.
At $78,500, Ontario residents face combined marginal rates of ~31%. Contributing $100 to your RRSP reduces tax by approximately $3,100 — while building retirement savings.
Maximize your annual $7,000 TFSA contribution. With $102,000 cumulative room in 2026, your TFSA can shelter substantial investment returns tax-free.
Many Toronto workers live in the 905 (Mississauga, Brampton, Markham) where rents are 20–30% lower. Factoring in commute costs, the financial case for living outside the city core can be compelling.
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