🇨🇦 Canada
Tax Guide
Income tax brackets, social security rates, and employer payroll obligations for Canada — the data HR and finance teams need for accurate workforce cost planning.
Income Tax Brackets — 2026
| Band | Rate | From | To |
|---|---|---|---|
| Federal 15% Band | 15% | CAD 0 | CAD 57,375 |
| Federal 20.5% Band | 20.5% | CAD 57,375 | CAD 114,750 |
| Federal 26% Band | 26% | CAD 114,750 | CAD 158,519 |
| Federal 29% Band | 29% | CAD 158,519 | CAD 220,000 |
| Federal 33% Band | 33% | CAD 220,000 | No upper limit |
Social Security Contributions
| Type | Employee Rate | Employer Rate | Employee Cap | Employer Cap |
|---|---|---|---|---|
| Canada Pension Plan (CPP) — Employee | 5.95% | 0% | CAD 4,034.1 | No limit |
| Canada Pension Plan (CPP) — Employer | 0% | 5.95% | No limit | CAD 4,034.1 |
| Employment Insurance (EI) — Employee | 1.64% | 0% | CAD 1,077.48 | No limit |
| Employment Insurance (EI) — Employer | 0% | 2.3% | No limit | CAD 1,508.47 |
Payroll Calculator
Calculate net salary and employer cost for Canada.
Full bracket-by-bracket breakdown, monthly and annually.
Tax data is sourced from official government publications and updated monthly. Rates are for the 2026 tax year. This information is for guidance only and does not constitute tax or legal advice. Always consult a qualified tax adviser for Canada-specific obligations.
About This Data
- ✓ Sourced from official government publications
- ✓ Updated monthly — always current rates
- ✓ For guidance only — not tax advice
More for Canada
EOR Intelligence
Hiring in Canada without a local entity?
An Employer of Record handles local tax and employment compliance on your behalf.
Explore EOR for CanadaFree Tool
Compare countries side by side.
Side-by-side income tax and employer cost analysis across all active countries. Free, no account required.
Compare countries