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.

Out of all OECD countries, Cost Rica had the highest poverty rate as of 2022, at over 20 percent. The country with the second highest poverty rate was the United States, with 18 percent. On the other end of the scale, Czechia had the lowest poverty rate at 6.4 percent, followed by Denmark.

The significance of the OECD

The OECD, or the Organisation for Economic Co-operation and Development, was founded in 1948 and is made up of 38 member countries. It seeks to improve the economic and social well-being of countries and their populations. The OECD looks at issues that impact people’s everyday lives and proposes policies that can help to improve the quality of life.

Poverty in the United States

In 2022, there were nearly 38 million people living below the poverty line in the U.S.. About one fourth of the Native American population lived in poverty in 2022, the most out of any ethnicity. In addition, the rate was higher among young women than young men. It is clear that poverty in the United States is a complex, multi-faceted issue that affects millions of people and is even more complex to solve.

Canada CA: Poverty Gap at $2.15 a Day: 2017 PPP: % data was reported at 0.100 % in 2019. This stayed constant from the previous number of 0.100 % for 2018. Canada CA: Poverty Gap at $2.15 a Day: 2017 PPP: % data is updated yearly, averaging 0.200 % from Dec 1971 (Median) to 2019, with 43 observations. The data reached an all-time high of 1.600 % in 1971 and a record low of 0.100 % in 2019. Canada CA: Poverty Gap at $2.15 a Day: 2017 PPP: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Canada – Table CA.World Bank.WDI: Social: Poverty and Inequality. Poverty gap at $2.15 a day (2017 PPP) is the mean shortfall in income or consumption from the poverty line $2.15 a day (counting the nonpoor as having zero shortfall), expressed as a percentage of the poverty line. This measure reflects the depth of poverty as well as its incidence.;World Bank, Poverty and Inequality Platform. Data are based on primary household survey data obtained from government statistical agencies and World Bank country departments. Data for high-income economies are mostly from the Luxembourg Income Study database. For more information and methodology, please see http://pip.worldbank.org.;;The World Bank’s internationally comparable poverty monitoring database now draws on income or detailed consumption data from more than 2000 household surveys across 169 countries. See the Poverty and Inequality Platform (PIP) for details (www.pip.worldbank.org).

In 2021, around 0.9 million people were living in low income families in Ontario. Ontario had the largest number of individuals living in low income households. Quebec and British Columbia followed with 504 thousand and 287 thousand, respectively.

Among the OECD countries, Costa Rica had the highest share of children living in poverty, reaching 28.5 percent in 2022. Türkiye followed with a share of 22 percent of children living in poverty, while 20.5 percent of children in Spain, Chile, and the United States did the same. On the other hand, only three percent of children in Finland were living in poverty.

（停止更新）贫困差距增加，按3.10美元衡量：因自付医保低于贫困线：2011年购买力平价：贫困线百分比在12-01-2010达0.053%，相较于12-01-2007的0.063%有所下降。（停止更新）贫困差距增加，按3.10美元衡量：因自付医保低于贫困线：2011年购买力平价：贫困线百分比数据按年更新，12-01-1994至12-01-2010期间平均值为0.073%，共5份观测结果。该数据的历史最高值出现于12-01-2000，达0.096%，而历史最低值则出现于12-01-2010，为0.053%。CEIC提供的（停止更新）贫困差距增加，按3.10美元衡量：因自付医保低于贫困线：2011年购买力平价：贫困线百分比数据处于定期更新的状态，数据来源于World Bank，数据归类于全球数据库的加拿大 – Table CA.World Bank.WDI: Social: Poverty and Inequality。

Low-income cut-offs, after tax (LICO-AT) - The Low-income cut-offs, after tax refers to an income threshold, defined using 1992 expenditure data, below which economic families or persons not in economic families would likely have devoted a larger share of their after-tax income than average to the necessities of food, shelter and clothing. More specifically, the thresholds represented income levels at which these families or persons were expected to spend 20 percentage points or more of their after-tax income than average on food, shelter and clothing. These thresholds have been adjusted to current dollars using the all-items Consumer Price Index (CPI).The LICO-AT has 35 cut-offs varying by seven family sizes and five different sizes of area of residence to account for economies of scale and potential differences in cost of living in communities of different sizes. These thresholds are presented in Table 4.3 Low-income cut-offs, after tax (LICO-AT - 1992 base) for economic families and persons not in economic families, 2015, Dictionary, Census of Population, 2016.When the after-tax income of an economic family member or a person not in an economic family falls below the threshold applicable to the person, the person is considered to be in low income according to LICO-AT. Since the LICO-AT threshold and family income are unique within each economic family, low-income status based on LICO-AT can also be reported for economic families.Return to footnote1referrerFootnote 2Users should be aware that the estimates associated with this variable are more affected than most by the incomplete enumeration of certain Indian reserves and Indian settlements in the Census of Population.For more information on Aboriginal variables, including information on their classifications, the questions from which they are derived, data quality and their comparability with other sources of data, please refer to the Aboriginal Peoples Reference Guide, Census of Population, 2016 and the Aboriginal Peoples Technical Report, Census of Population, 2016.Return to footnote2referrerFootnote 3Low-income status - The income situation of the statistical unit in relation to a specific low-income line in a reference year. Statistical units with income that is below the low-income line are considered to be in low income.For the 2016 Census, the reference period is the calendar year 2015 for all income variables.Return to footnote3referrerFootnote 4The low-income concepts are not applied in the territories and in certain areas based on census subdivision type (such as Indian reserves). The existence of substantial in-kind transfers (such as subsidized housing and First Nations band housing) and sizeable barter economies or consumption from own production (such as product from hunting, farming or fishing) could make the interpretation of low-income statistics more difficult in these situations.Return to footnote4referrerFootnote 5Prevalence of low income - The proportion or percentage of units whose income falls below a specified low-income line.Return to footnote5referrerFootnote 6Users should be aware that the estimates associated with this variable are more affected than most by the incomplete enumeration of certain Indian reserves and Indian settlements in the 2016 Census of Population. For more information on Aboriginal variables, including information on their classifications, the questions from which they are derived, data quality and their comparability with other sources of data, refer to the Aboriginal Peoples Reference Guide, Census of Population, 2016 and the Aboriginal Peoples Technical Report, Census of Population, 2016.Return to footnote6referrerFootnote 7'Aboriginal identity' includes persons who are First Nations (North American Indian), Métis or Inuk (Inuit) and/or those who are Registered or Treaty Indians (that is, registered under the Indian Act of Canada) and/or those who have membership in a First Nation or Indian band. Aboriginal peoples of Canada are defined in the Constitution Act, 1982, section 35 (2) as including the Indian, Inuit and Métis peoples of Canada.Return to footnote7referrerFootnote 8'Single Aboriginal responses' includes persons who are in only one Aboriginal group, that is First Nations (North American Indian), Métis or Inuk (Inuit).Return to footnote8referrerFootnote 9Users should be aware that the estimates associated with this variable are more affected than most by the incomplete enumeration of certain Indian reserves and Indian settlements in the 2016 Census of Population. For additional information, refer to the Aboriginal Peoples Reference Guide, Census of Population, 2016.Return to footnote9referrerFootnote 10'Multiple Aboriginal responses' includes persons who are any two or all three of the following: First Nations (North American Indian), Métis or Inuk (Inuit).Return to footnote10referrerFootnote 11'Aboriginal responses not included elsewhere' includes persons who are not First Nations (North American Indian), Métis or Inuk (Inuit), but who have Registered or Treaty Indian status and/or Membership in a First Nation or Indian band.

Poverty Headcount Ratio at Societal Poverty Lines：占人口百分比在12-01-2019达12.500%，相较于12-01-2018的13.500%有所下降。Poverty Headcount Ratio at Societal Poverty Lines：占人口百分比数据按年更新，12-01-1971至12-01-2019期间平均值为14.700%，共43份观测结果。该数据的历史最高值出现于12-01-1971，达19.000%，而历史最低值则出现于12-01-2019，为12.500%。CEIC提供的Poverty Headcount Ratio at Societal Poverty Lines：占人口百分比数据处于定期更新的状态，数据来源于World Bank，数据归类于全球数据库的加拿大 – Table CA.World Bank.WDI: Social: Poverty and Inequality。

This statistic shows the percentage of the population in Alberta in low income from 2000 to 2021 according to low income measures (LIMs). 8.9 percent of the population of Alberta was considered to be in low income in 2021.

This statistic shows the percentage of the population in Ontario in low income from 2000 to 2021 according to low income measures (LIMs). Ten percent of the population of Ontario was considered to be in low income in 2021.

The Social Policy Simulation Database and Model (SPSD/M) is a tool designed to assist those interested in analyzing the financial interactions of governments and individuals in Canada. It can help one to assess the cost implications or income redistributive effects of changes in the personal taxation and cash transfer system. As the name implies, SPSD/M consists of two integrated parts: a database (SPSD), and a model (SPSM). The SPSD is a non-confidential, statistically representative database of individuals in their family context, with enough information on each individual to compute taxes paid to and cash transfers received from government. The SPSM is a static accounting model which processes each individual and family on the SPSD, calculates taxes and transfers using legislated or proposed programs and algorithms, and reports on the results. A sophisticated software environment gives the user a high degree of control over the inputs and outputs to the model and can allow the user to modify existing programs or test proposals for entirely new programs. The model comes with full documentation including an on-line help facility. Users and Applications The SPSD/M has been used in hundreds of sites across Canada. These sites have diverse research interests in the area of income tax-transfer and commodity tax systems in Canada as well as varied experience in micro-simulation. Our growing client base includes federal departments, provincial governments, universities, interest groups, corporate divisions, and private consultants. The diverse applications of the SPSD/M can be seen in the following examples of studies and published research reports: Costing out proposals for amendments to the Income Tax Act affecting the tax treatment of seniors and the disabled Estimating the fiscal viability of major personal tax reform options, including three flat tax scenarios The comparison low income (poverty) measures and their effect on the estimates of the number of poor An Analysis of the Distributional Impact of the Goods and Services Tax Married and Unmarried Couples: The Tax Question Taxes and Transfers in Rural Canada Equivalencies in Canadian Public Policy When the Baby Boom Grows Old: Impact on Canada's Public Sector Some potential uses of the model are illustrated by the following list of questions which may be answered using the SPSM: How large an increase in the federal Child Tax Benefit could be financed by allocating an additional $500 million to the program? Which province would have the most advantageous tax structure for an individual with $45,000 earned income, 2 children and $15,000 of investment income? What is the after-tax value of the major federal child support programs on a per child basis, and how are these benefits distributed across family types and income groups? How many individuals otherwise paying no tax would have to pay tax under various minimum tax systems, and what would additional government revenues be? How much money would be needed to raise all low income families and persons to Statistics Canada's low income cut-offs in 2014? How much would average household "consumable" income rise if a province eliminated its gasoline taxes? How much would federal government revenue rise by if there was an increase in the GST rate?

This statistic shows the percentage of the population in British Columbia in low income from 2000 to 2021 according to low income measures (LIMs). 9.5 percent of the population of British Columbia was considered to be in low income in 2021.

In 2023, some 15 percent of Canadians stated having a fair or poor state of mental health. This statistic displays the estimated percentage of Canadians aged 18 years and over who perceived their mental health as fair or poor from 2015 to 2023.