Low income measure (LIM) thresholds by household size for market income, total income and after-tax income, in current and constant dollars, annual.

Low income cut-offs (LICOs) before and after tax by community size and family size, in current dollars, annual.

In 2022, 9.9 percent of all Canadians were living in low income. Between 2000 and 2022, the percentage of population with low income experienced a decrease, reaching the lowest value in 2020. The highest share of Canadians with low income was recorded in 2015, with 14.5 percent of the total population.

Low Income Measures

The low income measures (LIMs) were developed by Statistics Canada in the 1990s. They, along with the low income cut-offs (LICOs) and the market basket measure (MBM), were created in order to measure and track the low income population of Canada. With low income measures, individuals are classified as being in low income if their income falls below fifty percent of the median adjusted household income. The median income is adjusted in order to reflect the differing financial needs of households based on the number of its members. The low income measures are a useful tool to compare low income populations between countries as they do not rely on an arbitrary standard of what constitutes the threshold for poverty. Statistics Canada insists that the low income measures are not meant to be representative of a poverty rate. The department has no measure which they define as a measurement of poverty in Canada. Latest data and trends In 2022, around 2.1 million people were living in low income families in Canada. This figure has been fluctuating over the years, both in absolute numbers and in proportion over the total population. More women than men were living in low income families in 2022, though the number of men in low income has risen at twice the rate as that of women. One of the more drastic changes has been the rise in the number of single individuals living in low income, increasing by more than 60 percent since 2000.

The City of Toronto monitors the affordability of food annually using the Nutritious Food Basket (NFB) costing tool. Food prices increased considerably in 2022. People with low incomes do not have enough money to cover the cost of basic expenses, including food. As such, NFB data is best viewed in relation to income, alongside other local basic expenses. The dataset describes the affordability of food and other basic expenses relative to income for nine household scenarios. Scenarios were selected to reflect household characteristics that increase the risk of being food insecure, including reliance on social assistance as the main source of income, single-parent households, and rental housing. A median income scenario has also been included as a comparator. Income, including federal and provincial tax benefits, and the cost of four basic living expenses - shelter, food, childcare, and transportation - are estimated for each scenario. Results show the amount of money remaining at the end of the month for each household. Three versions of the scenarios were created to describe: Income scenarios with subsidies: Subsidies can substantially reduce a households’ monthly expenses. Local subsidies for rent (Rent-Geared-to-Income), childcare (Childcare Fee Subsidy), and transit (Fair Pass) are accounted for in this file. Income scenarios without subsidies + average rent: In this file, rental costs are based on average rent, as measured by the Canadian Mortgage and Housing Corporation (CMHC). Income scenarios without subsidies + market rent: Rental costs are based on average market rent (as of June 2022), as measured by the Toronto Regional Real Estate Board (TRREB). Limitations Scenarios describe estimated values only, rounded to the nearest dollar. Income is estimated using a May/June 2022 reference period to align with Nutritious Food Basket data collection. Thus, tax year 2020 has been utilized in calculations. Income amounts include all entitlements available to Ontario residents; therefore, they are maximum amounts. Actual income amounts may be lower if residents do not file their income tax and/or do not apply for all available tax credits.

The City of Toronto monitors the affordability of food annually using the Nutritious Food Basket (NFB) costing tool. Food prices increased considerably in 2022. People with low incomes do not have enough money to cover the cost of basic expenses, including food. As such, NFB data is best viewed in relation to income, alongside other local basic expenses. The dataset describes the affordability of food and other basic expenses relative to income for nine household scenarios. Scenarios were selected to reflect household characteristics that increase the risk of being food insecure, including reliance on social assistance as the main source of income, single-parent households, and rental housing. A median income scenario has also been included as a comparator. Income, including federal and provincial tax benefits, and the cost of four basic living expenses - shelter, food, childcare, and transportation - are estimated for each scenario. Results show the amount of money remaining at the end of the month for each household. Three versions of the scenarios were created to describe: Income scenarios with subsidies: Subsidies can substantially reduce a households’ monthly expenses. Local subsidies for rent (Rent-Geared-to-Income), childcare (Childcare Fee Subsidy), and transit (Fair Pass) are accounted for in this file. Income scenarios without subsidies + average rent: In this file, rental costs are based on average rent, as measured by the Canadian Mortgage and Housing Corporation (CMHC). Income scenarios without subsidies + market rent: Rental costs are based on average market rent (as of June 2022), as measured by the Toronto Regional Real Estate Board (TRREB). Limitations Scenarios describe estimated values only, rounded to the nearest dollar. Income is estimated using a May/June 2022 reference period to align with Nutritious Food Basket data collection. Thus, tax year 2020 has been utilized in calculations. Income amounts include all entitlements available to Ontario residents; therefore, they are maximum amounts. Actual income amounts may be lower if residents do not file their income tax and/or do not apply for all available tax credits.

Market Basket Measure (MBM) thresholds for the reference family by MBM region and base year. Total thresholds as well as thresholds for the food, clothing, transportation, shelter and other expenses components are presented, in current and constant dollars, annual.