How much immigrants make in Canada?

Canada is a country built by immigrants. With newcomers making up nearly 23% of the total population, understanding how much immigrants earn is essential to assessing the success and fairness of Canada’s immigration system. As of 2025, new data reveals important insights into immigrant income, disparities, and long-term progress.

Recent Data: Median and Average Income

According to July 2025 figures from IRCC and Statistics Canada, the median employment income for immigrants is $36,800, while the average income is $49,160. The median represents the midpoint—half of all immigrants earn below that amount, and half earn more. The higher average reflects the presence of both very low and very high earners, skewing the figure upward.

Income by Immigration Category

Income varies widely depending on how a person immigrates. Economic-class immigrants, who are selected based on education, work experience, and language ability, tend to earn more than family-class immigrants or refugees. Many economic immigrants surpass the Canadian-born income average within a few years of arrival.

In contrast, refugees and asylum seekers typically start with the lowest earnings, often under $30,000 per year, due to barriers such as trauma, lack of English or French proficiency, and limited formal education or transferable credentials.

Impact of Time Spent in Canada

Time is a major factor in immigrant income growth. Immigrants who arrived recently (within the last 5 years) have median incomes around $28,000. Those who have lived in Canada for over 10 years often earn close to or even above the national average. Studies show that immigrant men reach about 86% of Canadian-born men's earnings within 10 years of arrival, up from 76% in the early 1990s.

Regional Variations in Immigrant Income

Earnings also vary by location. In Ottawa-Gatineau, university-educated immigrants earn a median of $62,400. In contrast, the same demographic in St. Catharines–Niagara earns just $37,600. Generally, immigrants in major urban centers with more diverse economies fare better over time.

Educational Attainment and Earnings

Canada admits a high percentage of immigrants with university degrees or higher. Nearly 49% of all PhD holders in Canada are immigrants. However, many of them face delayed credential recognition, meaning they work in low-skilled jobs despite being highly qualified. This "brain waste" is a major contributor to the immigrant income gap.

Visible Minority and Ethnic Group Disparities

Racialized immigrants often earn less than their white or non-visible minority counterparts. Filipino Canadians, for example, earn around $41,280 on average, compared to over $52,000 for non-visible minorities. Somali Canadians, facing compounded systemic barriers, report average earnings around $24,000 and higher dependence on government transfers.

Employment and Poverty Rates

Unemployment rates among immigrants are higher than for Canadian-born workers, especially in the first few years after arrival. In 2011, the immigrant unemployment rate was 13.6%, compared to 5.5% among Canadian-born. After five years, the gap narrows but still persists. Likewise, poverty rates among immigrants are significantly higher in the early stages of settlement.

Long-Term Contributions

Despite initial struggles, immigrants contribute significantly to Canada’s economy. They fill labour shortages, launch businesses, pay taxes, and help sustain the country’s population growth. With adequate support, most immigrants achieve economic mobility over time. Within 10 to 15 years, many have earnings that match or exceed those of Canadian-born citizens.

Conclusion

The average income for immigrants in Canada is $49,160, while the median is $36,800. These figures are lower than many expect, but they reflect a population that includes recent arrivals, refugees, and individuals in transition. Over time, most immigrants experience upward income mobility, especially those in the economic class with strong language skills and recognized credentials. However, challenges such as discrimination, credentialing delays, and regional job markets continue to impact outcomes. More support for credential recognition, targeted job programs, and regional integration can help close the income gap and ensure all immigrants thrive in Canada.