Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$12,735
Federal tax deduction
- $1,608
Provincial tax deduction
- $606
CPP deduction
- $526
EI deduction
- $201
Total tax
- $2,942
Net pay
* $9,793
Marginal tax rate
25.9%
Average tax rate
23.1%
76.9%
Net pay
23.1%
Total tax
Total tax
Net pay
The Taxberg
$9,793
Net pay
$808
Tax the employer pays
$2,942
Tax you pay
Total tax paid
$3,750
Did you know your employer also pays tax on your salary? It costs the employer $808 to pay you $12,735. In other words, every time you spend $10 of your hard-earned money, $2.94 goes to the government.
Real tax rate
27.7%
So, with you and the employer both paying tax, what used to be a 23.1% tax rate now rises to 27.7%, meaning your real tax rate is actually 4.6% higher than what it seemed at first.
Summary
If you make $12,735 a year living in the region of Ontario, Canada, you will be taxed $2,942. That means that your net pay will be $9,793 per year, or $816 per month. Your average tax rate is 23.1% and your marginal tax rate is 25.9%. 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 $25.87, hence, your net pay will only increase by $74.13.
Bonus Example
A $1,000 bonus will generate an extra $741 of net incomes. A $5,000 bonus will generate an extra $3,707 of net incomes.
Compare average tax
Tax per region
Region
Net pay
Average tax
Rank
Quebec
CAD 10,616
16.6%
1
British Columbia
CAD 10,283
19.3%
2
Nunavut
CAD 9,919
22.1%
3
Ontario
CAD 9,793
23.1%
4
Yukon
CAD 9,713
23.7%
5
Northwest Territories
CAD 9,691
23.9%
6
Newfoundland and Labrador
CAD 9,355
26.5%
7
Nova Scotia
CAD 9,344
26.6%
8
New Brunswick
CAD 9,271
27.2%
9
Prince Edward Island
CAD 9,223
27.6%
10
Alberta
CAD 9,199
27.8%
11
Saskatchewan
CAD 9,139
28.2%
12
Manitoba
CAD 9,103
28.5%
13
Show more
North America
Country 
Net pay
Average tax
Rank
USA
CAD 11,556
9.3%
1
Canada
CAD 9,793
23.1%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
CAD 12,735
0.0%
1
Hong Kong
CAD 12,735
0.0%
2
Thailand
CAD 12,035
5.5%
3
Pakistan
CAD 11,754
7.7%
4
Taiwan
CAD 11,608
8.9%
5
Malaysia
CAD 11,240
11.7%
6
South Korea
CAD 11,220
11.9%
7
New Zealand
CAD 11,143
12.5%
8
Indonesia
CAD 11,021
13.5%
9
Philippines
CAD 10,955
14.0%
10
Japan
CAD 10,348
18.7%
11
Singapore
CAD 10,190
20.0%
12
Vietnam
CAD 10,184
20.0%
13
Kazakhstan
CAD 10,086
20.8%
14
India
CAD 10,063
21.0%
15
China
CAD 9,091
28.6%
16
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Latin America
Country 
Net pay
Average tax
Rank
Puerto Rico
CAD 11,723
8.0%
1
Colombia
CAD 11,716
8.0%
2
Ecuador
CAD 11,532
9.5%
3
Guatemala
CAD 11,514
9.6%
4
Costa Rica
CAD 11,398
10.5%
5
Panama
CAD 11,334
11.0%
6
Peru
CAD 11,143
12.5%
7
Mexico
CAD 10,871
14.6%
8
Brazil
CAD 10,709
15.9%
9
Chile
CAD 10,494
17.6%
10
Uruguay
CAD 10,175
20.1%
11
Argentina
CAD 8,268
35.1%
12
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Africa
Country 
Net pay
Average tax
Rank
South Africa
CAD 11,585
9.0%
1
Morocco
CAD 10,333
18.9%
2
Mozambique
CAD 9,937
22.0%
3
Ivory Coast
CAD 9,760
23.4%
4
Cameroon
CAD 9,668
24.1%
5
Kenya
CAD 9,628
24.4%
6
Angola
CAD 9,491
25.5%
7
Ghana
CAD 9,392
26.3%
8
Nigeria
CAD 8,835
30.6%
9
Uganda
CAD 8,687
31.8%
10
Senegal
CAD 8,645
32.1%
11
Zambia
CAD 8,354
34.4%
12
Show more
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
CAD 12,098
5.0%
1
Qatar
CAD 12,098
5.0%
2
Bahrain
CAD 11,716
8.0%
3
Oman
CAD 11,716
8.0%
4
Saudi Arabia
CAD 11,461
10.0%
5
Kuwait
CAD 11,334
11.0%
6
Israel
CAD 11,060
13.2%
7
Egypt
CAD 9,936
22.0%
8
Lebanon
CAD 9,815
22.9%
9
Turkey
CAD 7,474
41.3%
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.