Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$8,818
Federal tax deduction
- $1,063
Provincial tax deduction
- $332
CPP deduction
- $303
EI deduction
- $139
Total tax
- $1,838
Net pay
* $6,980
Marginal tax rate
30.6%
Average tax rate
20.8%
79.2%
Net pay
20.8%
Total tax
Total tax
Net pay
The Taxberg
$6,980
Net pay
$498
Tax the employer pays
$1,838
Tax you pay
Total tax paid
$2,336
Did you know your employer also pays tax on your salary? It costs the employer $498 to pay you $8,818. In other words, every time you spend $10 of your hard-earned money, $2.65 goes to the government.
Real tax rate
25.1%
So, with you and the employer both paying tax, what used to be a 20.8% tax rate now rises to 25.1%, meaning your real tax rate is actually 4.3% higher than what it seemed at first.
Summary
If you make $8,818 a year living in the region of Ontario, Canada, you will be taxed $1,838. That means that your net pay will be $6,980 per year, or $582 per month. Your average tax rate is 20.8% and your marginal tax rate is 30.6%. 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 $30.56, hence, your net pay will only increase by $69.44.
Bonus Example
A $1,000 bonus will generate an extra $694 of net incomes. A $5,000 bonus will generate an extra $3,472 of net incomes.
Compare average tax
Tax per region
Region
Net pay
Average tax
Rank
Quebec
CAD 7,458
15.4%
1
British Columbia
CAD 7,312
17.1%
2
Ontario
CAD 6,980
20.8%
3
Nunavut
CAD 6,977
20.9%
4
Yukon
CAD 6,859
22.2%
5
Northwest Territories
CAD 6,818
22.7%
6
Newfoundland and Labrador
CAD 6,584
25.3%
7
Nova Scotia
CAD 6,576
25.4%
8
New Brunswick
CAD 6,525
26.0%
9
Prince Edward Island
CAD 6,491
26.4%
10
Alberta
CAD 6,475
26.6%
11
Saskatchewan
CAD 6,433
27.0%
12
Manitoba
CAD 6,408
27.3%
13
Show more
North America
Country 
Net pay
Average tax
Rank
USA
CAD 8,056
8.6%
1
Canada
CAD 6,980
20.8%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
CAD 8,818
0.0%
1
Hong Kong
CAD 8,818
0.0%
2
Pakistan
CAD 8,378
5.0%
3
Thailand
CAD 8,335
5.5%
4
Taiwan
CAD 8,038
8.9%
5
Philippines
CAD 7,993
9.4%
6
South Korea
CAD 7,799
11.6%
7
Indonesia
CAD 7,792
11.6%
8
Malaysia
CAD 7,781
11.8%
9
New Zealand
CAD 7,770
11.9%
10
India
CAD 7,443
15.6%
11
Singapore
CAD 7,283
17.4%
12
Vietnam
CAD 7,204
18.3%
13
Japan
CAD 7,165
18.7%
14
Kazakhstan
CAD 6,984
20.8%
15
China
CAD 6,629
24.8%
16
Show more
Latin America
Country 
Net pay
Average tax
Rank
Puerto Rico
CAD 8,117
8.0%
1
Colombia
CAD 8,113
8.0%
2
Ecuador
CAD 7,985
9.5%
3
Guatemala
CAD 7,972
9.6%
4
Costa Rica
CAD 7,892
10.5%
5
Panama
CAD 7,848
11.0%
6
Brazil
CAD 7,829
11.2%
7
Mexico
CAD 7,819
11.3%
8
Peru
CAD 7,716
12.5%
9
Chile
CAD 7,266
17.6%
10
Uruguay
CAD 7,046
20.1%
11
Argentina
CAD 5,722
35.1%
12
Show more
Africa
Country 
Net pay
Average tax
Rank
South Africa
CAD 8,412
4.6%
1
Morocco
CAD 7,697
12.7%
2
Cameroon
CAD 7,058
20.0%
3
Ivory Coast
CAD 7,041
20.2%
4
Mozambique
CAD 7,008
20.5%
5
Kenya
CAD 6,913
21.6%
6
Angola
CAD 6,623
24.9%
7
Ghana
CAD 6,616
25.0%
8
Nigeria
CAD 6,171
30.0%
9
Uganda
CAD 6,141
30.4%
10
Zambia
CAD 6,141
30.4%
11
Senegal
CAD 6,137
30.4%
12
Show more
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
CAD 8,377
5.0%
1
Qatar
CAD 8,377
5.0%
2
Bahrain
CAD 8,113
8.0%
3
Oman
CAD 8,113
8.0%
4
Saudi Arabia
CAD 7,936
10.0%
5
Kuwait
CAD 7,848
11.0%
6
Israel
CAD 7,658
13.2%
7
Egypt
CAD 6,926
21.5%
8
Lebanon
CAD 6,877
22.0%
9
Turkey
CAD 5,400
38.8%
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.