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Canada take-home pay calculator 2026

Reviewed by TakeHomeClear editorial teamUpdated on Methodology

Calculated with official data from Current year tax rates and income brackets, 2026 (Canada Revenue Agency) · T4127 Payroll Deductions Formulas, 123rd edition, July 1, 2026 (CRA) · +5

Short answer

To get from gross salary to take-home pay in Canada in 2026, subtract federal income tax (14% to 33%), provincial or territorial income tax, CPP contributions (5.95% plus 4% CPP2 on higher earnings) and EI premiums (1.63%). For example, a $60,000 salary in Ontario leaves $47,339.75 a year, or $3,944.98 a month.

Your take-home pay (monthly)

$3,944.98

$47,339.75 a year

Federal tax
$5,338.30
Provincial tax
$2,982.20
CPP + CPP2
$3,361.75
EI
$978.00
Average tax rate
13.87%
Marginal tax rate
28.10%
Where your gross salary goes
  • Take-home pay$47,34078.9%
  • Income tax$8,32013.9%
  • CPP and EI$4,3407.2%

Ontario, 2026 tax year. Estimate for a single employee with no other income, using only the basic personal amount, CPP, EI and the Canada employment amount. Quebec is not covered. Not tax advice.

Key facts

  • Federal tax brackets 2026: 14%, 20.5%, 26%, 29% and 33%, with the lowest rate cut from 15% to 14%.
  • Federal basic personal amount 2026:$16,452 ($14,829 for net income above $258,482).
  • CPP 2026: 5.95% between $3,500 and $74,600 (maximum $4,230.45), plus 4% CPP2 up to $85,000 (maximum $416).
  • EI 2026: 1.63% of insurable earnings up to $68,900 (maximum $1,123.07).

Salary after tax by province, 2026

Province or territory$50,000$75,000$100,000
Alberta$40,541$57,362$74,459
British Columbia$40,574$57,711$75,373
Manitoba$39,075$55,024$71,445
New Brunswick$39,354$55,102$71,215
Newfoundland and Labrador$39,252$54,737$70,603
Northwest Territories$40,768$57,763$75,204
Nova Scotia$38,260$53,423$68,867
Nunavut$41,363$58,819$76,654
Ontario$40,145$56,926$74,206
Prince Edward Island$38,829$54,316$69,789
Saskatchewan$39,699$55,806$72,288
Yukon$40,611$57,655$74,998

Annual take-home pay for a single employee with no other income. Quebec is not covered because it has its own tax return, pension plan (QPP) and parental insurance (QPIP).

What comes off your paycheque

  • Federal income tax: the same brackets everywhere outside Quebec, from 14% to 33%.
  • Provincial or territorial income tax: each province sets its own brackets, rates and basic personal amount.
  • Canada Pension Plan (CPP): 5.95% of earnings between $3,500 and $74,600, plus 4% CPP2 on earnings up to $85,000.
  • Employment Insurance (EI): 1.63% of earnings up to $68,900.

Gross pay vs take-home pay

Your gross salary is the amount in your employment contract. Take-home pay, or net pay, is what reaches your bank account after income tax and the two mandatory payroll contributions, CPP and EI. CPP builds your retirement pension; EI funds benefits if you lose your job or take parental leave.

The income tax deducted from each paycheque is an advance on the tax you owe for the year. When you file your T1 return, the CRA compares the two and refunds any overpayment or asks for the balance.

What changes your take-home pay

  • RRSP contributions: they are deducted from taxable income, so they save tax at your marginal rate.
  • Workplace pension plans, union dues and childcare expenses are also deductible.
  • Other credits (tuition, medical expenses, donations, the disability amount, a spouse with low income) reduce the tax you owe.
  • Taxable benefits from your employer, overtime and bonuses add to your taxable income.

Frequently asked questions

How do I calculate take-home pay in Canada?

Subtract federal income tax, provincial or territorial income tax, CPP contributions and EI premiums from your gross salary. Tax is calculated on taxable income with progressive brackets, minus non-refundable credits such as the basic personal amount.

Which province has the lowest income tax?

At typical salaries, Nunavut, the Northwest Territories, Yukon, Alberta and British Columbia leave the highest take-home pay. At $75,000, for example, Nunavut leaves $58,819 and Nova Scotia $53,423.

What is the lowest federal tax rate in 2026?

14% on the first $58,523 of taxable income. It was cut from 15% on July 1, 2025.

Why does my paycheque not match the calculator exactly?

Your employer withholds tax per pay period using the CRA payroll formulas and your TD1 forms, and may deduct pension contributions, benefits or union dues. The calculator shows the annual tax owed for a single employee with no other income.

Is Quebec included?

No. Quebec residents file a separate provincial return with Revenu Québec, pay QPP instead of CPP, pay QPIP premiums and a lower EI rate, and receive a 16.5% federal tax abatement.

Official sources