Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$12
Provincial tax deduction
- $1.28
EI deduction
- $0.19
Total tax
- $1.47
Net pay
* $10.53
Marginal tax rate
12.2%
Average tax rate
12.3%
87.8%
Net pay
12.3%
Total tax
Total tax
Net pay
The Taxberg
$10.53
Net pay
$0.27
Tax the employer pays
$1.47
Tax you pay
Total tax paid
$1.74
Did you know your employer also pays tax on your salary? It costs the employer $0.27 to pay you $12. In other words, every time you spend $10 of your hard-earned money, $1.45 goes to the government.
Real tax rate
14.2%
So, with you and the employer both paying tax, what used to be a 12.3% tax rate now rises to 14.2%, meaning your real tax rate is actually 1.9% higher than what it seemed at first.
Summary
If you make $12 a year living in the region of Manitoba, Canada, you will be taxed $1.47. That means that your net pay will be $10.53 per year, or $0.88 per month. Your average tax rate is 12.3% and your marginal tax rate is 12.2%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of $100 in your salary will be taxed $12.21, hence, your net pay will only increase by $87.79.
Bonus Example
A $1,000 bonus will generate an extra $878 of net incomes. A $5,000 bonus will generate an extra $4,390 of net incomes.
Tax per region
Region
Net pay
Average tax
Rank
British Columbia
CAD 12
1.6%
1
Ontario
CAD 12
1.6%
2
Yukon
CAD 12
1.6%
3
Quebec
CAD 12
1.7%
4
Newfoundland and Labrador
CAD 11
10.2%
5
Nova Scotia
CAD 11
10.3%
6
New Brunswick
CAD 11
10.8%
7
Prince Edward Island
CAD 11
11.3%
8
Alberta
CAD 11
11.5%
9
Saskatchewan
CAD 11
12.0%
10
Manitoba
CAD 11
12.3%
11
Nunavut
CAD 11
5.6%
12
Northwest Territories
CAD 11
7.4%
13
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North America
Country 
Net pay
Average tax
Rank
Canada
CAD 12
1.6%
1
USA
CAD 11
8.7%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
CAD 12
0.0%
1
Singapore
CAD 12
0.0%
2
Hong Kong
CAD 12
0.0%
3
Malaysia
CAD 11
4.7%
4
Thailand
CAD 11
5.0%
5
Indonesia
CAD 11
8.8%
6
Taiwan
CAD 11
8.9%
7
South Korea
CAD 11
10.7%
8
New Zealand
CAD 11
11.9%
9
India
CAD 11
12.0%
10
China
CAD 10
13.2%
11
Vietnam
CAD 10
15.0%
12
Japan
CAD 10
18.7%
13
Kazakhstan
CAD 10
20.8%
14
Philippines
CAD 5
59.1%
15
Pakistan
CAD 12
125.5%
16
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NOTE* Withholding is calculated based on the Manitoba tables of Canada, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.