Income tax calculator Canada 2026: take-home pay by province
Work out your salary after tax in Canada for 2026. Enter your gross pay and province or territory to see federal and provincial income tax, CPP and EI contributions, and what you take home per year, month, bi-weekly pay and week.
Tax year 1 January to 31 December 2026 · CRA rates (T4127, January and July 2026 editions) · Last checked: 6 October 2026
Income tax and take-home pay calculator 2026
Take-home per year
$47,339.75
Take-home per month
$3,944.98
Take-home bi-weekly
$1,820.76
Total tax and contributions: $12,660.25 (21.1% of gross) · income tax only: $8,320.50
| 2026 | Monthly | Annual |
|---|---|---|
| Gross salary | $5,000.00 | $60,000.00 |
| Federal income taxBasic personal amount $16,452.00 · taxable income $59,435.00 | − $444.86 | − $5,338.30 |
| Ontario income taxBasic Ontario tax after credits $2,382.20 · Ontario Health Premium $600.00 | − $248.52 | − $2,982.20 |
| CPP contributions (5.95%) | − $280.15 | − $3,361.75 |
| EI premiums (1.63%) | − $81.50 | − $978.00 |
| Take-home pay | $3,944.98 | $47,339.75 |
Annual estimate for 2026 for an employee whose only income is this salary, claiming only the basic personal amount, CPP/EI and Canada employment credits. It is not your payroll withholding: pay cheques round per period (26 bi-weekly or 52 weekly pays assumed).
How your take-home pay is worked out in 2026
Employees in Canada pay federal income tax, provincial or territorial income tax, Canada Pension Plan (CPP) contributions and Employment Insurance (EI) premiums. This calculator works out the annual amounts for 2026 — what your tax return would show for a year of salary with the basic credits — not the exact amount your employer withholds from each pay cheque.
Federal tax: lowest rate now 14%
For 2026 the lowest federal rate is 14% on the first $58,523 of taxable income (it was 15% until 30 June 2025, which gave a blended 14.5% for 2025). Non-refundable credits are also worth 14%. Everyone gets the federal basic personal amount of $16,452; above $181,440 of net income it shrinks gradually to $14,829 at $258,482. Employees also claim the Canada employment amount ($1,501) and credits for their base CPP contributions and EI premiums.
CPP, CPP2 and EI
You pay 5.95% CPP on earnings between $3,500 and $74,600 (maximum $4,230.45), plus a second additional contribution (CPP2) of 4% on earnings between $74,600 and $85,000 (maximum $416). The enhanced part of CPP (1 percentage point of the 5.95%, and all of CPP2) is deducted from your income before tax; the base part (4.95%) gives a tax credit. EI premiums are 1.63% of insurable earnings up to $68,900 (maximum $1,123.07).
Example
On a $60,000 salary in Ontario you pay $5,338.30 federal tax, $2,982.20 Ontario tax (including the $600 Ontario Health Premium), $3,361.75 CPP and $978.00 EI, leaving $47,339.75 a year — $3,944.98 a month or $1,820.76 every two weeks.
Federal tax brackets 2026
| Taxable income | Federal rate |
|---|---|
| Up to $58,523 | 14% |
| $58,523 to $117,045 | 20.5% |
| $117,045 to $181,440 | 26% |
| $181,440 to $258,482 | 29% |
| Over $258,482 | 33% |
Source: CRA, Canadian income tax rates for individuals — 2026; T4127 Payroll Deductions Formulas, Table 8.1. Brackets are indexed by 2% for 2026.
Provincial and territorial tax brackets 2026
Provincial and territorial tax is added to federal tax. Each province gives its own basic personal amount, credited at its lowest rate. Three jurisdictions changed their 2026 rates during the year, and the full-year figures are used here: British Columbia raised its lowest rate from 5.06% to 5.60%, Prince Edward Island added a 20% bracket above $200,000, and Newfoundland and Labrador raised its basic personal amount to $13,094. Manitoba froze its brackets and basic personal amount at 2025 levels.
| Province / territory | Lowest rate | Top rate | Top rate from | Basic personal amount |
|---|---|---|---|---|
| Alberta | 8% | 15% | $370,220 | $22,769 |
| British Columbia | 5.6% | 20.5% | $265,545 | $13,216 |
| Manitoba | 10.8% | 17.4% | $100,000 | $15,780 (reduced above $200,000) |
| New Brunswick | 9.4% | 19.5% | $193,861 | $13,664 |
| Newfoundland and Labrador | 8.7% | 21.8% | $1,141,275 | $13,094 |
| Northwest Territories | 5.9% | 14.05% | $172,346 | $18,198 |
| Nova Scotia | 8.79% | 21% | $157,124 | $11,932 |
| Nunavut | 4% | 11.5% | $181,439 | $19,659 |
| Ontario | 5.05% | 13.16% | $220,000 | $12,989 |
| Prince Edward Island | 9.5% | 20% | $200,000 | $15,000 |
| Saskatchewan | 10.5% | 14.5% | $155,805 | $20,381 |
| Yukon | 6.4% | 15% | $500,000 | $16,452 (federal formula) |
Quebec is not listed: it sets and collects its own income tax (Revenu Québec).
| Taxable income | Rate |
|---|---|
| Up to $61,200 | 8% |
| $61,200 to $154,259 | 10% |
| $154,259 to $185,111 | 12% |
| $185,111 to $246,813 | 13% |
| $246,813 to $370,220 | 14% |
| Over $370,220 | 15% |
| Taxable income | Rate |
|---|---|
| Up to $50,363 | 5.6% |
| $50,363 to $100,728 | 7.7% |
| $100,728 to $115,648 | 10.5% |
| $115,648 to $140,430 | 12.29% |
| $140,430 to $190,405 | 14.7% |
| $190,405 to $265,545 | 16.8% |
| Over $265,545 | 20.5% |
| Taxable income | Rate |
|---|---|
| Up to $47,000 | 10.8% |
| $47,000 to $100,000 | 12.75% |
| Over $100,000 | 17.4% |
| Taxable income | Rate |
|---|---|
| Up to $52,333 | 9.4% |
| $52,333 to $104,666 | 14% |
| $104,666 to $193,861 | 16% |
| Over $193,861 | 19.5% |
| Taxable income | Rate |
|---|---|
| Up to $44,678 | 8.7% |
| $44,678 to $89,354 | 14.5% |
| $89,354 to $159,528 | 15.8% |
| $159,528 to $223,340 | 17.8% |
| $223,340 to $285,319 | 19.8% |
| $285,319 to $570,638 | 20.8% |
| $570,638 to $1,141,275 | 21.3% |
| Over $1,141,275 | 21.8% |
| Taxable income | Rate |
|---|---|
| Up to $53,003 | 5.9% |
| $53,003 to $106,009 | 8.6% |
| $106,009 to $172,346 | 12.2% |
| Over $172,346 | 14.05% |
| Taxable income | Rate |
|---|---|
| Up to $30,995 | 8.79% |
| $30,995 to $61,991 | 14.95% |
| $61,991 to $97,417 | 16.67% |
| $97,417 to $157,124 | 17.5% |
| Over $157,124 | 21% |
| Taxable income | Rate |
|---|---|
| Up to $55,801 | 4% |
| $55,801 to $111,602 | 7% |
| $111,602 to $181,439 | 9% |
| Over $181,439 | 11.5% |
| Taxable income | Rate |
|---|---|
| Up to $53,891 | 5.05% |
| $53,891 to $107,785 | 9.15% |
| $107,785 to $150,000 | 11.16% |
| $150,000 to $220,000 | 12.16% |
| Over $220,000 | 13.16% |
| Taxable income | Rate |
|---|---|
| Up to $33,928 | 9.5% |
| $33,928 to $65,820 | 13.47% |
| $65,820 to $106,890 | 16.6% |
| $106,890 to $142,520 | 17.62% |
| $142,520 to $200,000 | 19% |
| Over $200,000 | 20% |
| Taxable income | Rate |
|---|---|
| Up to $54,532 | 10.5% |
| $54,532 to $155,805 | 12.5% |
| Over $155,805 | 14.5% |
| Taxable income | Rate |
|---|---|
| Up to $58,523 | 6.4% |
| $58,523 to $117,045 | 9% |
| $117,045 to $181,440 | 10.9% |
| $181,440 to $500,000 | 12.8% |
| Over $500,000 | 15% |
Ontario surtax, tax reduction and Health Premium
Ontario adds a surtax of 20% of basic Ontario tax above $5,818 and a further 36% above $7,446. Low earners get the Ontario tax reduction (basic amount $300): it cancels Ontario tax of up to $300 and gives a partial reduction up to $600. The Ontario Health Premium is charged on taxable income above $20,000 and is not reduced by the tax reduction.
| Taxable income | Premium |
|---|---|
| Up to $20,000 | $0 |
| $20,000 to $36,000 | 6% of income over $20,000, max $300 |
| $36,000 to $48,000 | $300 + 6% over $36,000, max $450 |
| $48,000 to $72,000 | $450 + 25% over $48,000, max $600 |
| $72,000 to $200,000 | $600 + 25% over $72,000, max $750 |
| Over $200,000 | $750 + 25% over $200,000, max $900 |
Source: CRA, T4127 Payroll Deductions Formulas (January 2026), Ontario factor V2.
British Columbia tax reduction
British Columbia reduces provincial tax by up to $690 for 2026. The reduction falls by 3.56% of income above $25,570 and disappears at about $44,952.
CPP and EI rates 2026
| Item | Rate (employee) | Earnings range | Maximum |
|---|---|---|---|
| CPP (base + first additional) | 5.95% | $3,500 to $74,600 | $4,230.45 |
| CPP2 (second additional) | 4% | $74,600 to $85,000 | $416.00 |
| EI premium | 1.63% | Up to $68,900 | $1,123.07 |
Employers pay the same CPP and CPP2 and 1.4 times the EI premium. In Quebec, QPP is 6.3% and the EI rate is 1.3% (plus QPIP). Source: CRA, T4127 (January 2026), CPP and EI tables.
Take-home pay examples 2026
Annual figures for a single employee with only salary income and the basic credits.
| Salary | Federal tax | Provincial tax | CPP + CPP2 + EI | Take-home / year | Per month |
|---|---|---|---|---|---|
| $40,000 | $2,691 | $1,671 | $2,824 | $32,814 | $2,734 |
| $50,000 | $3,985 | $2,288 | $3,582 | $40,145 | $3,345 |
| $60,000 | $5,338 | $2,982 | $4,340 | $47,340 | $3,945 |
| $75,000 | $8,259 | $4,446 | $5,370 | $56,926 | $4,744 |
| $90,000 | $11,252 | $5,782 | $5,770 | $67,197 | $5,600 |
| $100,000 | $13,302 | $6,723 | $5,770 | $74,206 | $6,184 |
| $120,000 | $17,502 | $9,386 | $5,770 | $87,343 | $7,279 |
| $150,000 | $25,302 | $14,608 | $5,770 | $104,320 | $8,693 |
| $200,000 | $38,877 | $24,076 | $5,770 | $131,278 | $10,940 |
| Salary | Federal tax | Provincial tax | CPP + CPP2 + EI | Take-home / year | Per month |
|---|---|---|---|---|---|
| $40,000 | $2,691 | $1,153 | $2,824 | $33,332 | $2,778 |
| $50,000 | $3,985 | $1,892 | $3,582 | $40,541 | $3,378 |
| $60,000 | $5,338 | $2,631 | $4,340 | $47,691 | $3,974 |
| $75,000 | $8,259 | $4,010 | $5,370 | $57,362 | $4,780 |
| $90,000 | $11,252 | $5,470 | $5,770 | $67,509 | $5,626 |
| $100,000 | $13,302 | $6,470 | $5,770 | $74,459 | $6,205 |
| $120,000 | $17,502 | $8,470 | $5,770 | $88,258 | $7,355 |
| $150,000 | $25,302 | $11,470 | $5,770 | $107,458 | $8,955 |
| $200,000 | $38,877 | $17,500 | $5,770 | $137,854 | $11,488 |
| Salary | Federal tax | Provincial tax | CPP + CPP2 + EI | Take-home / year | Per month |
|---|---|---|---|---|---|
| $40,000 | $2,691 | $1,152 | $2,824 | $33,333 | $2,778 |
| $50,000 | $3,985 | $1,859 | $3,582 | $40,574 | $3,381 |
| $60,000 | $5,338 | $2,567 | $4,340 | $47,755 | $3,980 |
| $75,000 | $8,259 | $3,661 | $5,370 | $57,711 | $4,809 |
| $90,000 | $11,252 | $4,786 | $5,770 | $68,193 | $5,683 |
| $100,000 | $13,302 | $5,556 | $5,770 | $75,373 | $6,281 |
| $120,000 | $17,502 | $7,661 | $5,770 | $89,067 | $7,422 |
| $150,000 | $25,302 | $11,552 | $5,770 | $107,377 | $8,948 |
| $200,000 | $38,877 | $19,080 | $5,770 | $136,274 | $11,356 |
| Province / territory | Income tax | Total deductions | Take-home / year | Per month |
|---|---|---|---|---|
| Nunavut | $10,812 | $16,181 | $58,819 | $4,902 |
| Northwest Territories | $11,867 | $17,237 | $57,763 | $4,814 |
| British Columbia | $11,920 | $17,289 | $57,711 | $4,809 |
| Yukon | $11,975 | $17,345 | $57,655 | $4,805 |
| Alberta | $12,269 | $17,639 | $57,362 | $4,780 |
| Ontario | $12,705 | $18,074 | $56,926 | $4,744 |
| Saskatchewan | $13,825 | $19,194 | $55,806 | $4,650 |
| New Brunswick | $14,529 | $19,898 | $55,102 | $4,592 |
| Manitoba | $14,606 | $19,976 | $55,024 | $4,585 |
| Newfoundland and Labrador | $14,894 | $20,263 | $54,737 | $4,561 |
| Prince Edward Island | $15,315 | $20,684 | $54,316 | $4,526 |
| Nova Scotia | $16,207 | $21,577 | $53,423 | $4,452 |
CPP and EI are the same everywhere outside Quebec; the difference comes from provincial and territorial income tax.
Frequently asked questions
How much tax do I pay on $60,000 in Ontario in 2026?
About $8,320.50 of income tax ($5,338.30 federal and $2,982.20 Ontario, including the Health Premium), plus $3,361.75 CPP and $978.00 EI. Take-home pay is about $47,339.75 a year, or $3,944.98 a month.
What are the federal tax brackets for 2026?
14% up to $58,523, 20.5% up to $117,045, 26% up to $181,440, 29% up to $258,482 and 33% above that. The basic personal amount is $16,452 (reduced to $14,829 for the highest incomes).
Did the lowest federal tax rate change for 2026?
Yes. The lowest federal rate fell from 15% to 14% on 1 July 2025. For 2025 a blended rate of 14.5% applies; 2026 is the first full year at 14%. Non-refundable credits, such as the basic personal amount, are also calculated at 14%.
How much CPP and EI will I pay in 2026?
CPP is 5.95% of earnings between $3,500 and $74,600 (maximum $4,230.45), plus CPP2 of 4% between $74,600 and $85,000 (maximum $416). EI is 1.63% of earnings up to $68,900 (maximum $1,123.07).
Which province has the lowest income tax?
For a $75,000 salary in 2026, take-home pay is highest in Nunavut ($58,819) and lowest in Nova Scotia ($53,423) among the provinces and territories covered here. The ranking can change at other income levels.
Why is my pay cheque different from this calculator?
Employers withhold tax per pay period using CRA payroll formulas, your TD1 claim amounts and any benefits, RRSP or union dues. CPP and EI stop once you reach the annual maximum, so later pay cheques in the year are higher. The calculator shows the full-year result.
Does the calculator work for Quebec?
No. Quebec has its own provincial income tax administered by Revenu Québec, the Quebec Pension Plan, the Quebec Parental Insurance Plan and a reduced EI rate, plus a 16.5% abatement of federal tax. Use Revenu Québec tools for Quebec.
Sources
- Canada Revenue Agency — Tax rates and income brackets for individuals, 2026
- CRA — T4127 Payroll Deductions Formulas, 122nd edition, effective January 1, 2026
- CRA — T4127 Payroll Deductions Formulas, 123rd edition, effective July 1, 2026 (BC, NL and PEI changes)
- CRA — T4127 CPP/QPP contribution rates and amounts 2026 (CSV)
- CRA — T4127 CPP2 second additional contribution rates and amounts 2026 (CSV)
- CRA — T4127 Employment Insurance rates and amounts 2026 (CSV)
- Revenu Québec (Quebec income tax)
Last checked: 6 October 2026.
Glossary
Gross salary
The figure agreed in the contract, before any deduction. It is the number on the employment record and the starting point of every payroll calculation.
Net salary
What is left after the compulsory deductions. It stays an estimate until the deductions written into your own contract are added, such as health cover, commuting allowances, alimony and advances.
Effective rate
How much the deduction represents of the whole salary, as a percentage. It is always lower than the top bracket rate, because the lower slices were charged at lower rates.
Marginal rate
The rate that applies to the next unit of gross pay, that is, the rate of the bracket the salary sits in. It answers how much of a pay rise you actually keep.
Contribution ceiling
The highest salary on which the employee pays social security. Above it the deduction stops growing in money terms, so the effective rate starts falling as the salary rises.
Statutory minimum wage
The pay floor set by law, which no contract may undercut. Each country sets it by the hour, by the day or by the month, and the number of annual payments differs from country to country.