Marginal tax rate calculator
Choose a province and enter your taxable income. You get the combined rate on your next dollar and a table of every combined bracket in that province.
Free · no signup Runs in your browser
| Taxable income | Combined rate |
|---|
What is my marginal tax rate in Canada?
It is the federal bracket rate plus the provincial bracket rate at your income. In Ontario the provincial part is also multiplied by the surtax, which is why Ontario's top combined rate is 53.53% and a $120,000 earner is at 43.41%. The highest top rates are Newfoundland and Labrador at 54.80% and Nova Scotia at 54.00%.
Why we built this calculator
Most pages that list "marginal tax rates" simply add the federal and provincial bracket rates. That is right for most provinces and wrong for Ontario, where a surtax is charged as a percentage of Ontario tax. Past about $95,000 of income each provincial dollar costs 20% more, and past about $120,000 it costs 56% more, so the true combined rate is several points higher than the sum of the brackets.
This calculator applies that surtax, solves for the exact incomes where it kicks in, and lays out every combined bracket for the province you pick. For your full take-home pay see the income tax calculator.
It runs in your browser. Nothing you enter is sent anywhere, and there is no sign-up.
When to use it
- Working out what a raise, bonus or side income is really worth after tax
- Estimating the refund from an RRSP contribution or an FHSA deduction
- Comparing the top rate in two provinces
- Deciding whether to realize a capital gain this year or next
Mistakes it helps you avoid
- Using the average rate for a decision that depends on the marginal rate.
- Adding only the bracket rates in Ontario and missing the surtax.
- Applying the top rate to your whole income. Only the slice in the top bracket is taxed at it.
- Forgetting that deductions save tax at the marginal rate, but credits save it at the lowest rate.
How the combined rate is worked out
Add the federal and provincial bracket rates at your income, scaling Ontario's by the surtax.
combined marginal rate = federal bracket rate+ provincial bracket rate × surtax multipliersurtax multiplier (Ontario only):1.00 while Ontario tax payable is $5,818 or less1.20 above $5,818 (+20% of Ontario tax over $5,818)1.56 above $7,446 (a further +36% of Ontario tax over $7,446)every other province 1.00average rate = (federal tax + provincial tax + surtax) ÷ income
Ontario's surtax is charged on Ontario tax payable, not on income, so the incomes where the multiplier steps up are found by working backwards from $5,818 and $7,446 of provincial tax through the brackets. The Ontario health premium rises in small steps and is left out, as are CPP and EI. The federal basic personal amount tapers for high earners, which this page does not model. Quebec is excluded because it has its own tax and a 16.5% federal abatement.
Worked example: $120,000 in Ontario
You are an Ontario resident with $120,000 of taxable income.
- Federal bracket at $120,000 ($117,045 to $181,440)26.00%
- Ontario bracket ($107,785 to $150,000)11.16%
- Ontario tax payable at this income, after the basic personal amount$8,360
- Above $7,446, so the surtax multiplier is 1 + 0.20 + 0.361.56
- Ontario rate with surtax: 11.16% × 1.5617.41%
- Combined marginal rate43.41%
Your next dollar is taxed at 43.41%, so you keep 56.6% of it.
Adding only the bracket rates would give 37.16%, which understates the true rate by 6.25 points.
Ontario's combined brackets, 2026
This is what the calculator's table shows for Ontario, including the two incomes where the surtax steps in.
| Taxable income | Combined marginal rate |
|---|---|
| $0 to $53,891 | 19.05% |
| $53,891 to $58,523 | 23.15% |
| $58,523 to $94,901 | 29.65% |
| $94,901 to $107,785 | 31.48% |
| $107,785 to $111,810 | 33.89% |
| $111,810 to $117,045 | 37.91% |
| $117,045 to $150,000 | 43.41% |
| $150,000 to $181,440 | 44.97% |
| $181,440 to $220,000 | 47.97% |
| $220,000 to $258,482 | 49.53% |
| $258,482 and above | 53.53% |
Select another province in the calculator for its table. The other provinces have no surtax, so their combined rates are the sum of the two bracket rates.
Highest top rates
- Newfoundland and Labrador: 54.80%
- Nova Scotia: 54.00%
- Ontario: 53.53%
- British Columbia: 53.50%
- Prince Edward Island: 53.00%
Top rates start at different incomes in each province, so the rate you actually face depends on where your income sits in the table.
Terms on this page
- Marginal tax rate
- The rate of tax on your next dollar of income.
- Surtax
- Ontario's additional tax calculated as a percentage of Ontario tax payable, not of income.
- Basic personal amount
- A non-refundable credit, claimed at the lowest rate, that removes tax on the first slice of income.
What has changed, and when
Rates on this page have not always been what they are today. If you are working on an earlier period, use the figure that applied at the time rather than the current one.
- 2026 The lowest federal rate is 14%, down from 15%, and the brackets are those on the CRA's page modified January 2026.
Common questions
What is the difference between marginal and average tax rate?
The marginal rate is the tax on your next dollar of income. The average rate is your total tax divided by your total income. The average is always lower, because only the part of your income in each bracket is taxed at that bracket's rate.
What is the top marginal tax rate in Ontario?
53.53%, for income above $220,000. It is the 33% federal top rate plus Ontario's 13.16% multiplied by 1.56 for the surtax.
Which province has the highest top marginal rate?
On the brackets here, Newfoundland and Labrador at 54.80%, then Nova Scotia at 54.00% and Ontario at 53.53%. Quebec is not included.
Does my marginal rate change what an RRSP contribution is worth?
Yes. A deduction saves tax at your marginal rate, so a contribution made while you are in a high bracket saves more than the same contribution in a low bracket.
Why is Quebec not included?
Quebec administers its own personal income tax and gives a 16.5% federal abatement, so it needs its own bracket data and calculation. We add a province only once we can verify it.
What to work out next
Where these numbers come from
- Canada Revenue Agency — Canadian income tax rates for individuals, current year The federal and provincial brackets for 2026, page modified January 2026.
- Canada Revenue Agency — T4032 payroll deductions tables, Ontario, general information Ontario's surtax thresholds and rates and the basic personal amounts.
Last verified 2026-10-23 Rates on this page are checked against the sources above at least once a year, and whenever the governing authority announces a change. Spotted something out of date? Tell us and we will fix it.
Related calculators
Income tax
Federal and provincial tax, CPP, EI and take-home pay on the 2026 brackets — including Ontario's surtax.
Open calculatorRRSP limit
Work out your RRSP deduction limit from last year's earnings, your pension adjustment and unused room.
Open calculatorFHSA room
See how much First Home Savings Account room you have this year, including carry-forward and the tax you save.
Open calculatorRRSP withholding tax
See what your bank holds back on an RRSP withdrawal, and what actually lands in your account.
Open calculatorCapital gains tax
The tax on selling an investment or property, using your province and your other income, with Ontario's surtax counted.
Open calculatorRRSP tax refund
See how much tax an RRSP contribution saves at your income, province and Ontario's surtax.
Open calculatorRead the guide
- Ontario's surtax: why your marginal rate is higher than the brackets sayOntario charges a surtax on its own tax, so adding the bracket rates understates the true rate by up to six points.
- Interest, dividends or capital gains: how $10,000 is taxed differentlyThe same $10,000 of investment income can cost very different amounts of tax depending on whether it is interest, dividends or a capital gain.
🍁 Canadian sales tax calculators
Sales tax in Canada is not one number. These tools treat each province as the separate rate it actually is.
See all 14 calculators in this section