Question 1

How much of my salary do I actually take home in Canada?

Accepted Answer

It depends on your province, your pay frequency, and your RRSP contributions, but most Canadian employees keep somewhere between roughly 70% and 80% of a typical salary after federal and provincial income tax, CPP, CPP2 and EI come off. This calculator works out the exact figure for your situation using the 2026 federal and provincial payroll-deduction rules, and shows you every deduction line by line.

Question 2

What gets deducted from a Canadian paycheque?

Accepted Answer

Five things for most employees: federal income tax, provincial or territorial income tax, the Canada Pension Plan (CPP) contribution, the new second CPP contribution (CPP2) once your earnings pass the first ceiling, and the Employment Insurance (EI) premium. RRSP or pension contributions made through payroll come off too, but those are your own savings — they also lower your income tax. This tool separates all of them so you can see exactly where each dollar goes.

Question 3

Does contributing to an RRSP increase my take-home pay?

Accepted Answer

An RRSP contribution lowers the income tax withheld from your pay, so the cash you give up is always less than the amount you contribute — the difference is the tax you'd otherwise have paid. The calculator's RRSP slider shows, for any contribution level, your new take-home pay, the tax you save, and the true net cost of saving. It's a way to explore the trade-off, not advice on how much to contribute.

Question 4

How much of a raise do I actually keep?

Accepted Answer

Less than the full amount, because a raise is taxed at your marginal rate — and between the two CPP ceilings a raise also carries extra CPP2. The 'raise impact' section shows how much of a $1,000, $2,500, $5,000 or $10,000 raise lands in your pocket after deductions, which is usually a surprise the first time you see it.

Question 5

Is this calculator accurate?

Accepted Answer

It applies the current (2026) federal and provincial payroll-deduction rules — the same source-deduction math employers use. CPP and EI are computed to the exact cent, and every figure is independently cross-checked against a second, from-scratch calculation of the same rules. It is an independent, unofficial estimate — not affiliated with or endorsed by any government agency — so treat the result as a close estimate, not a guarantee, and verify anything important against your pay stub or an official payroll calculator. It's educational, not a tax return or payroll advice, and your employer's actual withholding can differ with extra credits or deductions.

Canadian Take-Home Pay Calculator

Your pay

Where your pay goes

Your tax rates

What an RRSP contribution does

How much of a raise you'd keep

Show me the math