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Prince Edward Island: minimum wage, income tax and cost of living

Prince Edward Island in numbers: minimum wage, provincial income tax, sales tax and rent, from official sources, and what they mean for a budget.

Updated: October 11, 2026

What it costs to live and work in Prince Edward Island: the minimum wage, provincial income tax, sales tax and rent, from official sources, and what they mean for your monthly budget.

Prince Edward IslandSource
General minimum wage$17.30 an hourGovernment of Prince Edward Island, Royal Gazette / Executive Council order EC2026-379: Minimum Wage Order
Provincial income tax9.5 % to 20 %Canada Revenue Agency: Tax rates and income brackets for individuals, current year (2026)
Sales tax15 % HSTCanada Revenue Agency: GST/HST calculator (and rates)
Rent (Median monthly shelter cost of renter households (rent plus utilities paid by the household), all renter households)$940 a month (2021)Statistics Canada, Census 2021, table 98-10-0253-01: Shelter cost by tenure including presence of mortgage payments and subsidized housing

The general minimum wage is $17.30 an hour since October 1, 2026 (it was $17.00 from April 1, 2026). It is scheduled to rise to $17.60 on April 1, 2027.

For 2026, PEI taxes the first $33,928 of taxable income at 9.5 % and income over $200,000 at 20 %, a top bracket added in 2026, across six brackets. The basic personal amount is $15,000.

PEI charges 15 % HST (5 % federal plus 10 % provincial).

What income does rent in Prince Edward Island take?

A common guideline is to keep housing at or below 30 % of gross income. At $940 a month, that means a household income of about $37,600 a year before tax.

Work out your take-home pay

Good to know

  • A new 20 % bracket for taxable income over $200,000 was introduced on April 14, 2026, retroactive to January 1, 2026; payroll withholds it at a prorated 21 % from July 1.
  • The basic personal amount went up from $14,650 in 2025 to $15,000 in 2026.

Sources

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