Canada Income Tax Calculator
Federal and provincial or territorial income tax on a 2026 salary in any of the 13 provinces and territories, with CPP or QPP, EI and take-home pay, and the marginal and average rates.
Result…
How it's calculated
CPP = (income up to 74,600 − 3,500) × 5.95%, + CPP2 = (income from 74,600 to 85,000) × 4% (QPP 6.3% in Quebec) EI = income up to 68,900 × 1.63% (1.30% in Quebec, plus QPIP 0.43% up to 103,000) Taxable income = income − RRSP/RPP − enhanced CPP (the 1% and CPP2 parts) Tax = Σ bracket rate × income in bracket − lowest rate × (basic personal amount + other credits) Quebec: federal tax × (1 − 16.5%) Take-home = income − taxes − CPP − EI − RRSP/RPP
Works out 2026 federal and provincial or territorial income tax on employment income for every province and territory, with the CRA's 2026 brackets, the federal basic personal amount that phases down from 16,452 to 14,829 between 181,440 and 258,482, each province's basic personal amount, the Canada employment amount, CPP (or QPP) with the second ceiling, EI and QPIP. It adds the Ontario surtax, health premium and tax reduction and the British Columbia tax reduction, applies the 16.5% federal abatement for Quebec residents and Quebec's own 2026 brackets, and shows each step with your numbers.
Your numbers, step by step
About the Canada Income Tax calculator
This Canada income tax calculator estimates federal and provincial or territorial income tax on a 2026 salary in any of the 13 provinces and territories, along with CPP or QPP contributions, EI premiums and take-home pay. Pick where you lived on 31 December 2026, enter your employment income and any RRSP or RPP deduction, and it returns your take-home pay, each tax, and your average and marginal rates. It uses the Canada Revenue Agency's 2026 brackets and payroll formulas, including the federal 14% lowest rate, the basic personal amount that shrinks for high earners, the CPP second ceiling, Ontario's surtax and health premium, British Columbia's tax reduction, and Quebec's own brackets with the 16.5% federal abatement. It suits employees checking a pay offer, a raise or a move between provinces. Each step is shown with your numbers. Amounts are in Canadian dollars (CAD).
How to use it
- Choose your “Province or territory” of residence on 31 December 2026.
- Enter your “Annual employment income” before deductions.
- Optionally enter an “RRSP or RPP deduction” you will claim for 2026.
- Read your take-home pay, then the federal and provincial tax, CPP or QPP and EI.
- Check the average and marginal rates and the step-by-step working.
Worked example
An Ontario employee earning 85,000 CAD in 2026. CPP = 4,646.45 (including 416 of CPP2) and EI = 1,123.07. Taxable income is 85,000 − 1,127 enhanced CPP = 83,873. Federal tax after the basic personal amount, Canada employment amount and CPP and EI credits is 10,226.60, and Ontario tax is 5,324.46, including the health premium. Take-home pay = 85,000 − 15,551.06 tax − 4,646.45 − 1,123.07 = 63,679.43 CAD, about 5,306.62 a month. The average income tax rate is 18.3% and the marginal rate 29.65%.
Updated
Questions people ask
How do I calculate my income tax in Canada for 2026?
Apply the federal brackets (14%, 20.5%, 26%, 29% and 33%) to taxable income, then subtract 14% of your credits, such as the basic personal amount and CPP and EI. Do the same with your province's brackets and lowest rate, and add the two.
What are the 2026 federal tax brackets?
14% up to 58,523, 20.5% to 117,045, 26% to 181,440, 29% to 258,482 and 33% above, from the CRA's 2026 tax rates and income brackets page. The basic personal amount is 16,452, falling to 14,829 between 181,440 and 258,482 of net income.
What is the difference between the marginal and average tax rate?
The marginal rate is the tax on your next dollar of income; the average rate is total income tax divided by income. A common mistake is to think a higher bracket taxes all your income: only the part above the threshold pays the higher rate.
How much CPP and EI will I pay in 2026?
CPP is 5.95% of earnings between 3,500 and 74,600 (at most 4,230.45), plus CPP2 of 4% between 74,600 and 85,000 (at most 416). EI is 1.63% up to 68,900, at most 1,123.07. In Quebec, QPP is 6.30%, EI 1.30% and QPIP 0.43% up to 103,000.
Why is my result different from my pay stub or tax return?
This estimate covers employment income with the basic credits only. Other credits, deductions, income types and most provinces' low-income reductions are left out, and payroll spreads tax over the year. To compare pay periods, the salary to hourly calculator helps. For your own return, check with the CRA, Revenu Québec or a tax professional.