What you actually take home.
Federal tax, provincial tax, CPP and EI on your salary — then broken down to the pay that lands in your account.
Brackets from CRA publication T4127, Table 8.1, effective 1 July 2026; Quebec schedule from Revenu Québec.
| Gross salary | $0 |
| RRSP and pre-tax deductions | $0 |
| Federal income tax | $0 |
| Provincial income tax | $0 |
| CPP and CPP2 | $0 |
| EI premiums | $0 |
| Take-home pay | $0 |
Basic personal amount only — excludes the Canada employment amount, tuition, medical, spousal and disability credits, Ontario’s surtax and health premium, and Quebec’s QPIP.
What comes off a Canadian paycheque
Four deductions, in this order. Federal income tax on your taxable income after deductions, reduced by the basic personal amount credit. Provincial or territorial income tax on a separate set of brackets — Quebec collects its own through Revenu Québec, and Quebec residents receive a 16.5% federal abatement in exchange.
Then the payroll contributions. CPP at 5.95% on earnings between the $3,500 basic exemption and the $74,600 ceiling, plus a second CPP2 tier of 4% from $74,600 to $85,000. And EI at 1.63% on the first $68,900 of insurable earnings.
Canada’s brackets are marginal. Moving into a higher bracket taxes only the dollars above that threshold at the higher rate, so a raise never leaves you with less money in hand.
2026 CPP and EI ceilings
Contribution rates and annual maximums
| Deduction | Rate | Earnings range | Annual maximum |
|---|---|---|---|
| CPP, base | 5.95% | $3,500 – $74,600 | $4,230 |
| CPP2, second tier | 4.00% | $74,600 – $85,000 | $416 |
| EI premiums | 1.63% | Up to $68,900 | $1,123 |
Quebec residents pay QPP rather than CPP at a slightly higher rate, a reduced EI premium, and a separate QPIP parental insurance premium. This calculator applies the CPP and EI figures in every province, so Quebec results are approximate.
Income tax by province, 2026
Top marginal rates — the capital gains column is half the combined rate
| Province or territory | Provincial | Combined | Capital gains |
|---|---|---|---|
| Ontario | 13.16% | 46.16% | 23.08% |
| Quebec | 25.75% | 53.30% | 26.65% |
| British Columbia | 20.50% | 53.50% | 26.75% |
| Alberta | 15.00% | 48.00% | 24.00% |
| Manitoba | 17.40% | 50.40% | 25.20% |
| Saskatchewan | 14.50% | 47.50% | 23.75% |
| Nova Scotia | 21.00% | 54.00% | 27.00% |
| New Brunswick | 19.50% | 52.50% | 26.25% |
| Newfoundland and Labrador | 21.80% | 54.80% | 27.40% |
| Prince Edward Island | 20.00% | 53.00% | 26.50% |
| Northwest Territories | 14.05% | 47.05% | 23.52% |
| Nunavut | 11.50% | 44.50% | 22.25% |
| Yukon | 15.00% | 48.00% | 24.00% |
The combined column adds the 33% top federal rate; Quebec’s figure applies the 16.5% federal abatement. Ontario’s surtax and health premium and provincial low-income reductions are excluded — Ontario’s true top combined rate with surtax is about 53.5%.
Lowering the tax, legally
- RRSP contributions come off your income at your marginal rate. Enter one above to see the effect.
- Pension and union dues deducted at source reduce taxable income the same way.
- Pension income splitting moves up to 50% of eligible pension income to a lower-earning spouse.
- The first 60 days of a calendar year can be deducted against either that year or the one before — useful when your income jumps.