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Introduction

With Saskatchewan’s forthcoming increase in the minimum wage, this analysis examines what it takes to make a living wage. On October 1, 2026, the province will raise the minimum wage to $15.70 an hour. That falls far short of the 2025 living wage for Regina, which is $22.50 per hour and the 2025 living wage for Saskatoon, which is $21.50 per hour. 

Our 2025 living wage calculation for Saskatoon and Regina represents a significant increase from the 2023 living wage calculation for Saskatchewan’s two major cities. For the first time since we began calculating the living wage in 2014, Regina requires a higher living wage than Saskatoon. The increase in the living wage for both cities was driven primarily by higher shelter costs, higher food prices and reduced government transfers. Indeed, shelter expenses for Regina came in $2,712 higher than for Saskatoon, pushing Regina’s living wage rate higher than Saskatoon’s for the first time since we began the living wage calculation for both cities. 

Another important factor for the increased living wage rate is the reduction in government transfers. Most notably, the elimination of the federal Climate Action Incentive Payment (CAIP) which, at its height, amounted to $1,500 annually for Saskatchewan families. In addition, our living wage families fall just outside the GST rebate threshold in 2025, missing out on another source of transfer income. The combination of higher living expenses coupled with reduced government transfers has driven both cities’ living wages over $20 per hour.

What is a living wage?

Living wages benefit families, communities and employers now and into the future. Living
wages reflect what a family needs based on the actual costs in their community. A living wage
is not the same as the minimum wage, which is the legal minimum all employers must pay and
often does not reflect the true costs families face in the communities within which they live. The
living wage is calculated as the hourly rate at which a family of four, with two parents working
full-time, can meet its basic needs once government transfers have been added to the family’s
income (such as federal and provincial child benefits) and deductions have been subtracted
(such as income taxes and Employment Insurance premiums).

While the living wage calculation is based on the needs of two-parent families with young
children, it would also support a family throughout life so that young adults are not discouraged
from having children and older workers have some extra income as they age. While the living
wage is high enough that families can withstand a temporary crisis without falling into poverty,
it is certainly not a lavish wage. The living wage gets families out of severe financial stress
by lifting them out of poverty and providing a basic level of economic security. But it is also
a conservative, bare-bones budget without the extras many of us take for granted. Below, we
outline the expenses that make up the bare bones budget for our Regina and Saskatoon living
wage families.

Bare bones budget

Food

Food costs are based on the Saskatchewan Food Costing Group’s Cost of Healthy Eating in
its 2025 report for a family of four.

Clothing and Footwear

These costs are determined via the clothing component for the 2023 Market Basket Measure
for Regina and Saskatoon, adjusted for inflation.

Shelter

Shelter costs for the living wage family are based on the average rental rates for a three-bedroom apartment in Regina or Saskatoon, as outlined in the Canada Mortgage and Housing Corporation (CMHC) 2025 rental market report, in addition to electricity costs and basic tenant’s insurance costs. Water, sewer and heat are assumed to be included in the rental rate.

Transportation

Includes the amortized cost of owning and operating a used car as well as a single adult transit
pass. Both Regina and Saskatoon families would qualify for a reduced-cost student pass for
four months of the year.

Child care fees

Based on the fees for a four-year-old in full-time licensed group child care and a seven year-old in before- and after-school child care, full-time child care for three weeks of winter and spring breaks and six weeks of full-time summer care. Fees are an average based on a survey of fee schedules in both Regina and Saskatoon.

Health care

The cost of a basic extended family health plan that covers core benefits, prescription drugs
and dental.

Parent’s education

Each parent in the living wage family takes the equivalent of one post-secondary course per
year to upgrade skills and credentials: 2025 tuition and fees from the University of Regina,
University of Saskatchewan and Saskatchewan Polytechnic are used to determine the costs for
the Regina and Saskatoon living wage family.

Contingency fund

Two weeks’ wages for each parent, which provides some cushion for unexpected events like
the serious illness of a family member or the transition time between jobs.

Household expenses

This category includes costs for internet and cell phone plans, as well as toiletries and personal
care, over-the-counter medication and expenses not fully covered by private health insurance,
furniture, appliances, household supplies, laundry, school supplies and fees, bank fees, some
reading materials, minimal recreation and entertainment, family outings, birthday presents,
modest family vacation and some sports and arts classes for the children.

The living wage calculation does not cover

  • Credit card, loan or other debt /interest payments.
  • Savings for retirement.
  • Owning a home.
  • Savings for children’s future education.
  • Anything beyond minimal recreation, entertainment or holiday costs.
  • Costs of caring for a disabled, seriously ill or elderly family member.
  • Much of a cushion for emergencies or extended tough times.

Conclusion

The 2025 living wage once again demonstrates how important government income transfers are to working families, particularly when inflationary pressures are driving up the cost of living. When transfers are eliminated or reduced, families need to earn more from their employment to make ends meet. Employers should be more cognizant of this dynamic. Losing a significant portion of annual income provided by government transfers will put more upward pressure on wages as workers seek to compensate for lost income. Employers that actively lobby for the dismantling of worker income supports may find the real world consequences of such actions more than they bargained for. Meanwhile, the Saskatchewan government also has a role to play in lifting the legislated minimum wage to reflect the actual cost of living in the province’s two largest cities.

Acknowledgements: Data collection by Danielle Goulden and Simon Enoch. The 2025 living wage calculations wouldn’t have been possible without the expertise of Thiago Ferro and his skills in updating the taxes and transfers portion of the calculation. Thiago Ferro holds a M.A. in Economics from Dalhousie University. Thiago has held a research position with Health Equity and Policy Lab, Dalhousie University, with an interest in the impact of retirement income programs on health and health equity among Canadian seniors. Danielle Goulden is a graduate student in the Master of Arts Political Science program at the University of Regina. 

About the author

Simon Enoch

Simon Enoch is the senior researcher for Saskatchewan issues and policies. He holds a BA in Political Science, a Masters in Labour Studies and a PhD in Communication & Culture. Active in both the labour movement and media reform efforts, Simon has published in a variety of academic journals and other news media. He lives in Regina, Saskatchewan.