How can I calculate my payroll? New to payroll processing in Ontario?
Use this free, simple, yet powerful tax deduction calculator to estimate payroll for your employees – paid salary or hourly – in Ontario.
Fill in the fields below for a quick calculation. Be sure to turn on advanced mode for a more accurate calculation.
Please note that the ADP Canadian Payroll Calculator “(the Calculator”) is designed to provide general guidance and estimates only. The Calculator is not intended to provide tax, legal or other professional advice. While every effort is made to provide current information, tax laws change regularly, and laws may vary depending on the province/territory of the employer and of the employee. You should consult a professional advisor or accountant for advice on any specific requirements or concerns.
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Get your quoteOntario provincial and federal tax brackets (2024)
Your taxable income places you in the following provincial and federal tax bracket:
| Ontario tax bracket | Ontario tax rate |
| First $51,446 or less, plus | 5.05% |
| Over $51,446 up to $102,894, plus | 9.15% |
| Over $102,894 up to $150,000, plus | 11.16% |
| Over $150,000 up to $220,000, plus | 12.16% |
| Over $220,000 | 13.16% |
For the most up to date information, visit Ontario.ca
| Canadian federal tax bracket | Canadian federal tax rate |
| First $55,867 or less, plus | 15% |
| Over $55,867 up to $ 111,733, plus | 20.5% |
| Over $111,733 up to $173,205, plus | 26% |
| Over $173,205 up to $246,752, plus | 29% |
| Over $246,752 | 33% |
For the most up to date information, visit Canada.ca
Employment Income
Income from self-employment
Ontario tax calculator allows self-employed individuals to enter their business, professional fee, and commission earnings for any given year. To ensure accuracy, these amounts must not have been included in previous years’ taxes. Self-employment earnings may include earnings from business, professional practice, or commission.
RRSP Deduction
This is the amount one may deduct from their income account for the year. Although the maximum contribution is not required, it will generate the greatest tax break benefit.
Other Incomes to Understand in Ontario
What is Interest Income?
This includes earnings gained from bank accounts, proceeds from life insurance, annuity payments, or earnings from foreign sources.
Other Income
There are several other earnings that need to be understood before starting the process of filing taxes. One must ensure to include all applicable incomes, including spousal support, awards, and scholarships.
Frequently Asked Questions
What is Ontario's marginal tax rate?
Tax rates in Ontario can range from 5.05% to 13.16% of income, while the combined federal and provincial tax rate is between 15% and 33%. In Ontario, marginal tax rates increase as income increases, therefore, individuals pay higher taxes as their level of income falls into a higher tax bracket.
How much tax is deducted from a paycheque in Ontario?
Income tax deducted from the salary appears in box 22 of the T4 slip. This amount varies based on the federal and provincial (Ontario) tax brackets. In 2023, federal income tax rates range from 15% to 33%, and Ontario income tax rates from 5.05% to 13.16%.
When are taxes due in Canada?
The last date to file 2023 income tax return in 2024 is April 30. For self-employed individuals, tax return deadline is June 17, 2024.
