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Living wage

Wikis > Living wage

Living wage is a level of hourly pay which enables someone working full time to have enough to meet their basic needs and build some savings for the future. It is not the same as the minimum wage, which is the legal minimum all employers must pay. This newer concept is based on the local cost of living and takes into account the actual costs of living in a specific community, with rent being the biggest single cost. The living wage is calculated as the hourly rate at which a household can meet its basic needs, once government transfers have been added to the family’s income and deductions have been subtracted.


Hill, Stephen, “Employment Counselling and Poverty.” In Blythe C. Shepard and Priya S. Mani (editors). Career Development Practice in Canada: Perspectives, Principles and Professionalism. Toronto: Canadian Education and Research Institute for Counselling (CERIC), 2014, p.243.

Living Wage Canada, “What is a Living Wage?” Online: (Retrieved on August 7, 2014)

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