Salary rate
Annual
Month
Biweekly
Weekly
Day
Hour
Withholding
Salary
$8,412
Federal tax deduction
- $1,007
Provincial tax deduction
- $294
CPP deduction
- $280
EI deduction
- $133
Total tax
- $1,714
Net pay
* $6,698
Marginal tax rate
30.6%
Average tax rate
20.4%
79.6%
Net pay
20.4%
Total tax
Total tax
Net pay
Summary
If you make $8,412 a year living in the region of Ontario, Canada, you will be taxed $1,714. That means that your net pay will be $6,698 per year, or $558 per month. Your average tax rate is 20.4% 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.
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.