Federal brackets
| Taxable income | Federal rate |
|---|---|
| Up to $58,523 | 14% |
| $58,523.01–$117,045 | 20.5% |
| $117,045.01–$181,440 | 26% |
| $181,440.01–$258,482 | 29% |
| Over $258,482 | 33% |
Ontario brackets
| Taxable income | Ontario rate |
|---|---|
| Up to $53,891 | 5.05% |
| $53,891.01–$107,785 | 9.15% |
| $107,785.01–$150,000 | 11.16% |
| $150,000.01–$220,000 | 12.16% |
| Over $220,000 | 13.16% |
Marginal is not average
Moving into a higher bracket does not cause all of your income to be taxed at the higher rate. Only the income inside that bracket is subject to that bracket's rate. Credits, CPP, EI, Ontario surtax and the Ontario Health Premium also affect the final result.
Why your paycheque can differ
Payroll deductions depend on pay frequency, TD1 claims, benefits, pensions, bonuses and employer payroll calculations. That is why MoneyPilot treats its annual calculation as a planning estimate.
Put the numbers into context.
Estimate your 2026 Ontario take-home pay →
Estimate your 2026 Ontario take-home pay →
Primary sources
CRA — current-year tax rates and brackets (2026)
CRA — Ontario payroll deductions tables
MoneyPilot review date: August 20, 2026