Introduction
Hamilton is Ontario’s third-largest city and a major urban center at the western tip of Lake Ontario, with a population of approximately 785,000 in the Census Metropolitan Area. Known historically as “The Steel City,” Hamilton was the heart of Canadian steel production for over a century, and heavy manufacturing continues to shape its economy and identity. The city occupies a dramatic geographic setting, with the urban core nestled below the Niagara Escarpment (the “Hamilton Mountain”) and waterfalls throughout the city earning it the nickname “City of Waterfalls.”
The Hamilton CMA encompasses the City of Hamilton proper along with neighbouring communities like Burlington (partially), Stoney Creek, Ancaster, and Dundas. This region has transformed significantly over the past two decades, evolving from a struggling rust-belt city into a increasingly diverse economy and a practical alternative to Toronto’s extreme housing costs. The completion of GO Transit service expansion has integrated Hamilton more tightly into the Greater Toronto and Hamilton Area (GTHA), fundamentally changing who lives in Hamilton and why.
Hamilton’s income profile reflects its transitional economic status. Traditional working-class incomes from manufacturing have been supplemented (and partially replaced) by healthcare sector growth around McMaster University’s medical school and hospital complex. The 2010-2022 housing boom brought an influx of professionals priced out of Toronto, bringing higher incomes but also raising housing costs to levels that challenge Hamilton’s traditional affordability advantage. Today’s Hamilton is neither the affordable industrial town it once was nor the expensive professional hub Toronto has become—it occupies an increasingly complicated middle ground.
Hamilton income percentile table
| Percentile | Individual Income | Meaning |
|---|---|---|
| 10th | $5,000 | 90% earn more |
| 20th | $13,000 | Part-time workers |
| 25th | $17,000 | Lower quartile |
| 30th | $22,000 | |
| 40th | $30,000 | |
| 50th (Median) | $39,000 | Half earn more, half earn less |
| 60th | $49,000 | |
| 70th | $61,000 | |
| 75th | $69,000 | Upper quartile |
| 80th | $79,000 | |
| 90th | $105,000 | Top 10% of earners |
| 95th | $145,000 | Top 5% |
| 99th | $200,000+ | Top 1% |
Based on Statistics Canada census data for Hamilton CMA. Note: These figures represent the Census Metropolitan Area, including the amalgamated City of Hamilton plus surrounding communities. Income distributions vary significantly between the lower city industrial areas and affluent Mountain/Ancaster neighbourhoods.
Hamilton income statistics
| Metric | Individual | Household |
|---|---|---|
| Median Income | $39,000 | $72,000 |
| Average Income | $51,000 | $95,000 |
| Top 10% Threshold | $105,000 | $165,000 |
| Top 1% Threshold | $200,000 | $320,000 |
The gap between median and average incomes ($39,000 vs $51,000) reveals Hamilton’s growing inequality. The influx of higher-income professionals from Toronto has pulled averages upward while traditional manufacturing and service workers continue earning closer to the median. Hamilton’s household income ($72,000) significantly exceeds individual income ($39,000), indicating the prevalence of dual-income households necessary to afford current housing costs.
Historical income trends in Hamilton
Hamilton’s economic history is inseparable from steel manufacturing, though the city has increasingly diversified over the past three decades.
Key economic turning points:
- 1895-1960s: Steel industry built Hamilton into a major industrial city; Stelco and Dofasco dominated
- 1980s-1990s: Manufacturing decline began; steel employment dropped from 25,000+ to under 10,000
- 2000-2007: Slow recovery; healthcare expansion around McMaster
- 2007-2010: Global financial crisis hit manufacturing hard; Stelco bankruptcy
- 2010-2019: Arts/culture revival downtown; GO Transit expansion; Toronto migration began
- 2019-2022: Extreme housing boom as Toronto expatriates arrived; prices nearly doubled
- 2022-2025: Market cooling but prices remain elevated; LRT construction ongoing
| Year | Median Individual Income | Median Household Income | Notable Events |
|---|---|---|---|
| 2000 | $25,000 | $50,000 | Steel industry struggling |
| 2005 | $28,000 | $54,000 | Stelco bankruptcy protection |
| 2010 | $32,000 | $60,000 | Post-recession recovery slow |
| 2015 | $35,000 | $65,000 | Downtown revitalization underway |
| 2020 | $37,000 | $69,000 | Housing boom accelerating |
| 2024 | $39,000 | $72,000 | Current baseline |
Hamilton income growth has lagged both provincial and national averages, a legacy of the city’s industrial transition. The influx of Toronto migrants has boosted averages but also increased inequality as high-income professionals and struggling service workers now share the same city.
Income by Hamilton area
| Area | Median Individual | Median Household | Top 10% | Key Characteristics |
|---|---|---|---|---|
| Downtown Hamilton | $32,000 | $52,000 | $90,000 | Mixed—poverty and gentrification |
| Locke Street/Kirkendall | $45,000 | $85,000 | $128,000 | Gentrified, professionals |
| Westdale | $42,000 | $95,000 | $145,000 | McMaster area, professionals |
| Hamilton Mountain (Upper) | $40,000 | $75,000 | $115,000 | Working/middle class |
| Ancaster | $55,000 | $120,000 | $175,000 | Affluent suburb |
| Dundas | $48,000 | $95,000 | $145,000 | Charming town, professionals |
| Stoney Creek | $42,000 | $80,000 | $125,000 | Growing suburb, mixed |
| East Hamilton (industrial) | $30,000 | $48,000 | $78,000 | Lower income, steel legacy |
| Binbrook | $52,000 | $115,000 | $165,000 | New development, families |
| Waterdown | $55,000 | $125,000 | $180,000 | Affluent commuter community |
The income variation across Hamilton is stark. Ancaster and Waterdown show incomes comparable to affluent Toronto suburbs, populated by professionals who may work in Toronto. East Hamilton and parts of the lower city retain incomes reflecting industrial decline and concentrated poverty. This within-city inequality is among the highest in Ontario.
Income by age group in Hamilton
| Age Group | Median Income | 75th Percentile | 90th Percentile |
|---|---|---|---|
| 18-24 | $13,000 | $21,000 | $32,000 |
| 25-34 | $40,000 | $56,000 | $75,000 |
| 35-44 | $45,000 | $68,000 | $95,000 |
| 45-54 | $48,000 | $72,000 | $105,000 |
| 55-64 | $42,000 | $65,000 | $98,000 |
| 65+ | $28,000 | $45,000 | $72,000 |
Hamilton’s age-income profile shows lower incomes than provincial averages across all age groups. The 25-34 bracket shows relatively modest incomes, as Hamilton lacks the entry-level professional opportunities of Toronto—many young professionals commute to Toronto and its higher salaries. Peak earning years (45-54) show incomes well below Toronto equivalents.
Income by gender in Hamilton
| Metric | Men | Women | Gap |
|---|---|---|---|
| Median Income | $45,000 | $33,000 | $12,000 (27%) |
| Average Income | $56,000 | $45,000 | $11,000 (20%) |
| 75th Percentile | $75,000 | $60,000 | $15,000 (20%) |
| 90th Percentile | $115,000 | $92,000 | $23,000 (20%) |
Hamilton’s gender income gap is larger than the national average, reflecting the male-dominated manufacturing sector’s continued importance. Steel work, skilled trades, and construction employ predominantly men at solid wages, while women concentrate in lower-paid service sectors and healthcare support roles. The healthcare sector’s relative strength does provide professional opportunities for women that partially offset the gap.
Key industries driving Hamilton incomes
| Industry | Employment | Median Income | 90th Percentile | Major Employers |
|---|---|---|---|---|
| Healthcare | 40,000+ | $58,000 | $125,000 | Hamilton Health Sciences, St. Joseph’s, McMaster Hospital |
| Education | 18,000 | $55,000 | $95,000 | McMaster University, Mohawk College, school boards |
| Manufacturing | 25,000 | $55,000 | $95,000 | ArcelorMittal Dofasco, Stelco (now Cleveland-Cliffs), various |
| Retail trade | 30,000 | $28,000 | $48,000 | Limeridge Mall, big-box stores |
| Construction | 15,000 | $60,000 | $105,000 | Various contractors |
| Professional services | 12,000 | $65,000 | $130,000 | Legal, accounting, consulting firms |
| Food services | 20,000 | $24,000 | $42,000 | Restaurants, cafes |
| Transportation/Logistics | 10,000 | $52,000 | $88,000 | Port of Hamilton, trucking |
Healthcare has become Hamilton’s largest and most important sector, anchored by McMaster University’s Michael G. DeGroote School of Medicine. Hamilton Health Sciences is one of Ontario’s largest hospital networks, and the cluster of medical research, education, and clinical care provides thousands of well-paying positions from nurses to surgeons.
Manufacturing remains important though diminished from its historical peak. ArcelorMittal Dofasco (formerly Dofasco) operates North America’s most productive steel mill, employing approximately 5,000 workers. These positions remain among Hamilton’s best-paid manufacturing jobs, with experienced steelworkers earning $80,000-$100,000+.
Life sciences is an emerging sector, building on McMaster’s research strengths. Medical technology startups, clinical trial facilities, and research institutes are gradually expanding.
Hamilton vs Ontario and national comparison
| Percentile | Hamilton | Ontario | Canada | Hamilton vs Ontario | Hamilton vs Canada |
|---|---|---|---|---|---|
| 25th | $17,000 | $17,000 | $16,000 | $0 | +$1,000 |
| 50th (Median) | $39,000 | $39,000 | $40,500 | $0 | -$1,500 |
| 75th | $69,000 | $68,000 | $70,000 | +$1,000 | -$1,000 |
| 90th | $105,000 | $105,000 | $110,000 | $0 | -$5,000 |
| 99th | $200,000 | $260,000 | $250,000 | -$60,000 | -$50,000 |
Hamilton’s incomes essentially match provincial averages at middle percentiles but significantly lag at the top. The $60,000 gap at the 99th percentile reflects the absence of finance, tech, and corporate headquarters that boost Toronto’s high earners. Hamilton’s economy provides middle-class incomes but limited path to wealth.
Hamilton vs Toronto comparison
| Metric | Hamilton | Toronto | Advantage |
|---|---|---|---|
| Median individual income | $39,000 | $43,000 | Toronto +$4,000 |
| Median household income | $72,000 | $80,000 | Toronto +$8,000 |
| Average home price | $750,000 | $1,100,000 | Hamilton -$350,000 |
| Average rent (2-bed) | $1,950/month | $2,900/month | Hamilton -$950 |
| Commute to Toronto | 60-90 min (GO) | - | - |
| Job diversity | Moderate | Very high | Toronto |
Hamilton offers lower housing costs but also lower incomes than Toronto. The net savings depend on whether you work locally or commute. Commuters to Toronto capture Toronto wages with Hamilton housing costs—an appealing arbitrage that has driven much of Hamilton’s growth.
Cost of living in Hamilton
Hamilton’s cost of living has risen dramatically since 2019 but remains below Toronto.
Housing costs
| Housing Type | Average Price/Rent | Monthly Cost | Income Needed (30% rule) |
|---|---|---|---|
| Detached house | $800,000 | $4,350/month (mortgage) | $174,000 |
| Semi-detached | $650,000 | $3,550/month | $142,000 |
| Townhouse | $600,000 | $3,250/month | $130,000 |
| Condo | $450,000 | $2,450/month | $98,000 |
| Rent: 1-bedroom | - | $1,600/month | $64,000 |
| Rent: 2-bedroom | - | $1,950/month | $78,000 |
| Rent: 3-bedroom | - | $2,350/month | $94,000 |
Mortgage calculations assume 20% down payment, 5.5% interest rate, 25-year amortization, plus property taxes.
Price-to-income ratios
| Metric | Hamilton | Toronto | National |
|---|---|---|---|
| Avg home price / Median household income | 10.4x | 13.8x | 7.2x |
| Median condo / Median household income | 6.3x | 9.0x | 5.0x |
Hamilton’s price-to-income ratio of 10.4x exceeds the national average significantly, making it one of Ontario’s less affordable cities outside the GTA core. The 2019-2022 price spike fundamentally changed Hamilton’s affordability—it’s no longer the “affordable alternative” it was a decade ago, though it remains cheaper than Toronto.
The commuter calculation
For Toronto commuters living in Hamilton:
| Factor | Cost/Benefit |
|---|---|
| GO Transit monthly pass | -$450/month |
| Housing savings (rent) | +$950/month |
| Additional commute time | -15-20 hours/month |
| Car savings (optional) | +$500/month (if car-free) |
| Net monthly benefit | ~$1,000-$1,500 |
For workers who can secure Toronto salaries while living in Hamilton, the financial calculus often favors Hamilton despite the commute burden. This calculation drove much of the 2015-2022 migration.
Income inequality in Hamilton
Hamilton has significant income inequality, with concentrated poverty alongside affluent suburban enclaves.
Gini coefficient: Hamilton’s Gini coefficient is approximately 0.43, above the national average of 0.42 and among the higher levels for Ontario cities. Inequality has increased as gentrification has displaced lower-income residents without raising their incomes.
Neighbourhood income disparities
| Neighbourhood | Median Household Income | Poverty Rate | Character |
|---|---|---|---|
| Ancaster | $120,000 | 5% | Affluent suburb |
| Waterdown | $125,000 | 4% | Professional commuters |
| Dundas | $95,000 | 8% | Picturesque, professionals |
| Hamilton Mountain (west) | $80,000 | 12% | Middle-class suburb |
| Stoney Creek | $80,000 | 10% | Growing suburb |
| Downtown core | $42,000 | 35% | High poverty, gentrifying |
| East Hamilton | $48,000 | 28% | Industrial, working class |
| North End | $38,000 | 40% | Historic poverty, change underway |
| Beasley | $35,000 | 42% | Concentrated disadvantage |
The ratio between Hamilton’s wealthiest and poorest neighbourhoods exceeds 3.5:1. More concerning is the spatial concentration—poverty clusters in the lower city (downtown, north end, east end) while affluence concentrates on the Mountain, Ancaster, and outlying communities. This geographic sorting reinforces inequality and limits economic mobility.
Impact of Toronto migration
The influx of higher-income Toronto migrants has had mixed effects:
- Positive: Increased tax base, downtown revitalization, new businesses
- Negative: Housing costs pushed beyond reach of traditional residents; displacement; growing inequality
- Cultural tensions: Long-time Hamiltonians versus newcomers; resentment of gentrification
Future economic outlook for Hamilton
Growth industries:
- Life sciences and medical technology: Building on McMaster’s research strengths
- Advanced manufacturing: Steel mill investment in green steel technology
- Clean technology: Hydrogen production, sustainable manufacturing
- Film and digital media: Growing production sector
Major infrastructure:
- Hamilton LRT: Light rail construction (target completion 2029) will reshape transit and development
- GO Transit expansion: More frequent service integrating Hamilton into GTA
- Port of Hamilton: Continued industrial shipping importance
Population projections: Hamilton CMA projected to reach 900,000 by 2041, with growth from both immigration and domestic migration.
Challenges:
- Affordability erosion threatening Hamilton’s competitive advantage
- Persistent poverty in lower city neighbourhoods
- Competition with other suburban GTA cities (Brampton, Mississauga) for growth
- Maintaining manufacturing base as industry changes
Income outlook: Hamilton median incomes projected to grow 2-3% annually, roughly tracking inflation. The high-income commuter population may pull averages higher, but local wage growth remains constrained by limited high-paying employers.
Improving your income in Hamilton
High-demand occupations
| Occupation | Median Salary | Growth Outlook | Entry Path |
|---|---|---|---|
| Registered nurse | $78,000 | Very strong | Nursing degree |
| Skilled trades (electrician, plumber) | $72,000 | Strong | Apprenticeship |
| Medical laboratory technician | $62,000 | Moderate | College diploma |
| Software developer | $85,000 | Moderate | CS degree, bootcamp |
| Healthcare administrator | $78,000 | Moderate | Health admin degree |
| Respiratory therapist | $72,000 | Strong | College diploma |
| Construction project manager | $88,000 | Strong | Experience, certifications |
| Industrial maintenance mechanic | $68,000 | Moderate | Trades training |
Education institutions
- McMaster University: Research-intensive university; top-ranked medical school, strong engineering and business (DeGroote) programs
- Mohawk College: Comprehensive applied programs in health sciences, skilled trades, technology; strong co-op connections
- Redeemer University: Smaller Christian university
- Columbia International College: Large international student pathway school
Career strategies for Hamilton
- Target healthcare—McMaster Health Sciences creates Hamilton’s best career opportunities
- Consider skilled trades—Strong demand and good wages in construction, manufacturing, and maintenance
- Explore Toronto commuting—If you can secure a Toronto job, Hamilton residence maximizes savings
- Watch life sciences—Emerging sector with growth potential tied to McMaster research
- Leverage McMaster connections—University spin-offs and research positions offer paths to professional careers
- Consider starting a business—Lower costs than Toronto make Hamilton increasingly attractive for entrepreneurs
Related pages
- Income Percentile Calculator — Calculate your exact percentile
- Ontario Income Percentile — Provincial overview
- Toronto Income Percentile — Compare to the GTA
- Ontario Income Tax Calculator — Calculate your Ontario taxes
- Mortgage Affordability Calculator — See what you can afford in Hamilton