Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$10,700
Federal tax deduction
- $1,325
Provincial tax deduction
- $500
CPP deduction
- $410
EI deduction
- $169
Total tax
- $2,405
Net pay
* $8,295
Marginal tax rate
29.4%
Average tax rate
22.5%
77.5%
Net pay
22.5%
Total tax
Total tax
Net pay
The Taxberg
$8,295
Net pay
$647
Tax the employer pays
$2,405
Tax you pay
Total tax paid
$3,052
Did you know your employer also pays tax on your salary? It costs the employer $647 to pay you $10,700. In other words, every time you spend $10 of your hard-earned money, $2.85 goes to the government.
Real tax rate
26.9%
So, with you and the employer both paying tax, what used to be a 22.5% tax rate now rises to 26.9%, meaning your real tax rate is actually 4.4% higher than what it seemed at first.
Summary
If you make $10,700 a year living in the region of Ontario, Canada, you will be taxed $2,405. That means that your net pay will be $8,295 per year, or $691 per month. Your average tax rate is 22.5% and your marginal tax rate is 29.4%. 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 $29.44, hence, your net pay will only increase by $70.56.
Bonus Example
A $1,000 bonus will generate an extra $706 of net incomes. A $5,000 bonus will generate an extra $3,528 of net incomes.
Compare average tax
Tax per region
Region
Net pay
Average tax
Rank
Quebec
CAD 8,975
16.1%
1
British Columbia
CAD 8,771
18.0%
2
Nunavut
CAD 8,391
21.6%
3
Ontario
CAD 8,295
22.5%
4
Yukon
CAD 8,230
23.1%
5
Northwest Territories
CAD 8,198
23.4%
6
Newfoundland and Labrador
CAD 7,915
26.0%
7
Nova Scotia
CAD 7,906
26.1%
8
New Brunswick
CAD 7,844
26.7%
9
Prince Edward Island
CAD 7,804
27.1%
10
Alberta
CAD 7,783
27.3%
11
Saskatchewan
CAD 7,733
27.7%
12
Manitoba
CAD 7,703
28.0%
13
Show more
Europe
Country 
Net pay
Average tax
Rank
United Kingdom
CAD 10,700
0.0%
1
Ireland
CAD 10,700
0.0%
2
Norway
CAD 10,066
5.9%
3
Spain
CAD 10,021
6.4%
4
Switzerland
CAD 9,934
7.2%
5
Italy
CAD 9,717
9.2%
6
France
CAD 9,662
9.7%
7
Czech Republic
CAD 9,523
11.0%
8
Luxembourg
CAD 9,512
11.1%
9
Russia
CAD 9,309
13.0%
10
Austria
CAD 9,097
15.0%
11
Hungary
CAD 8,720
18.5%
12
Ukraine
CAD 8,614
19.5%
13
Germany
CAD 8,595
19.7%
14
Sweden
CAD 8,472
20.8%
15
Poland
CAD 8,402
21.5%
16
Greece
CAD 8,362
21.9%
17
Portugal
CAD 7,906
26.1%
18
Finland
CAD 7,410
30.8%
19
Belgium
CAD 7,276
32.0%
20
Denmark
CAD 7,114
33.5%
21
Netherlands
CAD 6,733
37.1%
22
Romania
CAD 6,259
41.5%
23
Show more
North America
Country 
Net pay
Average tax
Rank
USA
CAD 9,761
8.8%
1
Canada
CAD 8,295
22.5%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
CAD 10,700
0.0%
1
Hong Kong
CAD 10,700
0.0%
2
Thailand
CAD 10,123
5.4%
3
Pakistan
CAD 10,025
6.3%
4
Taiwan
CAD 9,753
8.9%
5
Malaysia
CAD 9,443
11.8%
6
South Korea
CAD 9,443
11.8%
7
Philippines
CAD 9,436
11.8%
8
New Zealand
CAD 9,428
11.9%
9
Indonesia
CAD 9,343
12.7%
10
India
CAD 8,696
18.7%
11
Japan
CAD 8,695
18.7%
12
Vietnam
CAD 8,636
19.3%
13
Singapore
CAD 8,567
19.9%
14
Kazakhstan
CAD 8,474
20.8%
15
China
CAD 7,672
28.3%
16
Show more
Latin America
Country 
Net pay
Average tax
Rank
Puerto Rico
CAD 9,849
8.0%
1
Colombia
CAD 9,844
8.0%
2
Ecuador
CAD 9,689
9.5%
3
Guatemala
CAD 9,674
9.6%
4
Costa Rica
CAD 9,577
10.5%
5
Panama
CAD 9,523
11.0%
6
Peru
CAD 9,362
12.5%
7
Mexico
CAD 9,313
13.0%
8
Brazil
CAD 9,260
13.5%
9
Chile
CAD 8,817
17.6%
10
Uruguay
CAD 8,549
20.1%
11
Argentina
CAD 6,945
35.1%
12
Show more
Africa
Country 
Net pay
Average tax
Rank
South Africa
CAD 9,936
7.1%
1
Morocco
CAD 8,971
16.2%
2
Mozambique
CAD 8,448
21.1%
3
Ivory Coast
CAD 8,357
21.9%
4
Cameroon
CAD 8,351
22.0%
5
Kenya
CAD 8,214
23.2%
6
Angola
CAD 8,001
25.2%
7
Ghana
CAD 7,950
25.7%
8
Nigeria
CAD 7,451
30.4%
9
Uganda
CAD 7,365
31.2%
10
Senegal
CAD 7,322
31.6%
11
Zambia
CAD 7,204
32.7%
12
Show more
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
CAD 10,165
5.0%
1
Qatar
CAD 10,165
5.0%
2
Bahrain
CAD 9,844
8.0%
3
Oman
CAD 9,844
8.0%
4
Saudi Arabia
CAD 9,630
10.0%
5
Kuwait
CAD 9,523
11.0%
6
Israel
CAD 9,293
13.2%
7
Egypt
CAD 8,383
21.7%
8
Lebanon
CAD 8,289
22.5%
9
Turkey
CAD 6,445
39.8%
10
Show more
NOTE* Withholding is calculated based on the Ontario 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.