2026 at a glance
| Item | 2026 | 2025 |
|---|---|---|
| Lowest federal rate | 14% | 14.5% (blended) |
| Federal basic personal amount | $16,452 | $16,129 |
| CPP rate (employee) / YMPE | 5.95% / $74,600 | 5.95% / $71,300 |
| CPP2 rate / YAMPE | 4% / $85,000 | 4% / $81,200 |
| EI rate / max insurable earnings | 1.63% / $68,900 | 1.64% / $65,700 |
| Quebec: QPP / EI / QPIP | 6.30% / 1.30% / 0.43% | 6.40% / 1.31% / 0.494% |
| TFSA annual limit | $7,000 | $7,000 |
| RRSP dollar limit | $33,810 | $32,490 |
The federal government cut the lowest rate from 15% to 14% from 1 July 2025, so 2026 is the first full year at 14%. Mid-year changes in 2026 raised British Columbia’s lowest rate to 5.60%, added a 20% bracket above $200,000 in Prince Edward Island and raised Newfoundland and Labrador’s basic personal amount.
Choose a calculator
- Paycheque deductions: the payroll calculator shows federal and provincial tax, CPP and EI for each weekly, bi-weekly, semi-monthly or monthly pay.
- Salary after tax by province: see Ontario, Quebec, British Columbia, Alberta and every other province and territory.
- Saving and retirement: RRSP refund, TFSA room and CPP at 60, 65 or 70.
- Shopping and invoicing: the GST/HST calculator handles every province, forward and in reverse.
How these calculators are built
Each tax year has a rules file holding the federal brackets and credits, all 13 provincial and territorial schedules, CPP/QPP, EI and QPIP. The engine follows the CRA’s T4127 payroll formulas: enhanced CPP contributions are deducted from income, base CPP and EI premiums give credits at the lowest rate, Ontario’s surtax, health premium and tax reduction and BC’s tax reduction are applied, and Quebec residents get the 16.5% federal abatement with Revenu Québec’s own rules. Tests check the CRA’s published maximum contributions and every province’s behaviour at low and high incomes.