Updated for July 1, 2026 · CRA T4127, 123rd edition
Ontario payroll calculator 2026
Federal and provincial income tax, CPP and EI for any paycheque in Ontario. Results update as you type.
Take-home on $60k
$1,820.77
every two weeks
Basic personal amount
$12,989
Provincial, 2026
Provincial rates
5.05–13.16%
5 brackets
Top marginal rate
53.5%
federal + provincial, highest incomes
Payroll in Ontario: what's different
Ontario has five provincial brackets from 5.05% to 13.16%, but two extras make its payroll different from every other province: the Ontario surtax and the Ontario Health Premium.
- Ontario surtax. When basic provincial tax goes over $5,818 a year, 20% of the excess is added; over $7,446, another 36%. With only the basic credits, it starts at a salary of around $99,000.
- Ontario Health Premium. Up to $900 a year, withheld through payroll as part of provincial tax. It starts at $20,000 of taxable income and reaches $750 at $72,600.
- Ontario tax reduction. Low-income employees get a reduction of up to $300 (plus $554 per dependant under 19 or with a disability), so very small paycheques often have no provincial tax.
- The basic personal amount for 2026 is $12,989.
Everything else is national: federal tax, CPP and EI work the same in every province outside Quebec.
| Taxable income | Rate |
|---|---|
| Up to $53,891 | 5.05% |
| $53,891 – $107,785 | 9.15% |
| $107,785 – $150,000 | 11.16% |
| $150,000 – $220,000 | 12.16% |
| Over $220,000 | 13.16% |
Example paycheques in Ontario
| Salary | Gross | Federal | Provincial | Net pay |
|---|---|---|---|---|
| $40,000 | $1,538.46 | $103.51 | $64.29 | $1,262.05 |
| $50,000 | $1,923.08 | $153.28 | $88.01 | $1,544.03 |
| $60,000 | $2,307.69 | $205.32 | $114.68 | $1,820.77 |
| $75,000 | $2,884.62 | $317.73 | $171.03 | $2,185.21 |
| $100,000 | $3,846.15 | $512.88 | $259.23 | $2,790.51 |
| $125,000 | $4,807.69 | $722.30 | $393.87 | $3,335.10 |
First paycheque of the year, basic personal amounts only, no other deductions.
| Taxable income | Rate |
|---|---|
| Up to $58,523 | 14% |
| $58,523 – $117,045 | 20.5% |
| $117,045 – $181,440 | 26% |
| $181,440 – $258,482 | 29% |
| Over $258,482 | 33% |
The lowest federal rate is 14% for 2026 (it was 15% until mid-2025).
| Rate | Earnings | Max (employee) | |
|---|---|---|---|
| CPP | 5.95% | $3,500 – $74,600 | $4,230.45 |
| CPP2 | 4% | $74,600 – $85,000 | $416.00 |
| EI | 1.63% | up to $68,900 | $1,123.07 |
Employers match CPP and CPP2 dollar for dollar and pay 1.4 × the employee's EI premium (up to $1,572.30).
Questions
How much is taken off a $60,000 paycheque in Ontario?
On a $60,000 salary paid biweekly, each $2,307.69 paycheque has $205.32 federal tax, $114.68 provincial tax, $129.30 CPP and $37.62 EI withheld, leaving $1,820.77 take-home pay (basic TD1 claims, first paycheque of the year).
What is the Ontario Health Premium on my paycheque?
It is an Ontario charge of up to $900 a year that employers withhold as part of provincial income tax. There is none below $20,000 of taxable income; it is $300 at $25,000 of taxable income, $600 at about $48,600, $750 from about $72,600 and $900 from about $200,600. It is not reduced by the Ontario tax reduction.
What are the CPP and EI rates in Ontario for 2026?
Ontario uses the national CPP and EI rates. For 2026, employees pay 5.95% CPP on earnings between $3,500 and $74,600 (maximum $4,230.45), 4% CPP2 on earnings between $74,600 and $85,000 (maximum $416.00) and 1.63% EI on insurable earnings up to $68,900 (maximum $1,123.07). Outside Quebec.
Why does my paycheque get bigger near the end of the year?
Because CPP and EI have yearly maximums. On a $90,000 salary paid biweekly, EI reaches its maximum on pay 20 and CPP on pay 22 of 26. After that only CPP2 (4%) is withheld, so the net paycheque goes from $2,549.06 to $2,793.57 until January.
Is this Ontario calculator accurate?
We implement the CRA's own payroll formulas (T4127, 123rd edition) and test them against the CRA's Payroll Deductions Online Calculator (PDOC): 214 of 214 test paycheques across 13 provinces and territories, three pay frequencies and five salaries match to the cent. For Quebec we use Revenu Québec's formulas (TP-1015.F-V) and also check Quebec tax, QPP and QPIP against its WebRAS calculator. The PDOC and WebRAS are still the official tools.