Free tool · 2026 tax year
Estimate your federal and provincial tax, contributions and after-tax income in seconds, based on the province or territory where you live.
Each rate only applies to the portion of taxable income within its bracket. Your current bracket is highlighted.
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Informational estimate for the 2026 tax year; not tax advice. Includes the basic personal amount, CPP/QPP, EI and QPIP contributions, the Canada employment amount, the dividend tax credit and, depending on the province, Quebec’s deduction for workers, Ontario’s surtax and health premium, the BC tax reduction and Alberta’s supplemental credit. It does not include other credits (dependants, age, pension, medical expenses, donations, tuition) or the alternative minimum tax.
Official sources, consulted in September 2026: CRA: 2026 tax rates and brackets · CRA: T4127 payroll deductions formulas (2026) · Revenu Québec: 2026 income tax rates
Quick guide
The Registered Retirement Savings Plan is one of the most powerful tools to pay less tax and build your retirement. Here is what you need to know.
Save for retirement while paying less tax today. You can also use it to buy your first home through the Home Buyers’ Plan (HBP), up to $60,000, or to pay for education through the Lifelong Learning Plan (LLP), up to $10,000 a year and $20,000 in total.
Canadian residents with earned income (employment or business) who file a tax return. You can contribute to your RRSP until December 31 of the year you turn 71, and to your spouse’s RRSP until the year your spouse turns 71.
18% of your previous year’s earned income, up to $33,810 for 2026 ($35,390 for 2027), minus your pension adjustment if you have an employer plan. Unused room carries forward; your exact limit is on your notice of assessment and in CRA My Account. Over-contributions above $2,000 are taxed at 1% per month.
Every dollar you contribute is deducted from your taxable income, so you save at your marginal rate: at a 36% rate, contributing $5,000 cuts your tax by about $1,800. You can contribute now and save the deduction for a higher-income year. Try it above in the “RRSP and FHSA deductions” field.
Your investments grow tax-free while inside the plan, but everything you withdraw is added to that year’s income and taxed at your rate at the time. Contribution room you used is not restored when you withdraw, except for the HBP and LLP, which are repaid to the plan (the HBP over up to 15 years).
To deduct it on your 2026 return, contribute by March 1, 2027: contributions made in the first 60 days of the following year count. Your last contribution to your own RRSP is December 31 of the year you turn 71.
By lowering your net income, the deduction can increase income-tested benefits such as the Canada Child Benefit (CCB), the GST/HST credit and, in Quebec, the solidarity tax credit and the Family allowance. Withdrawals do the opposite: they add income and can reduce those benefits or the federal supplement for low-income seniors (GIS), and trigger the Old Age Security (OAS) recovery tax.
Your institution withholds tax at the time of withdrawal: 10% up to $5,000, 20% from $5,000 to $15,000 and 30% over $15,000 (in Quebec: 5%, 10% and 15% federal, plus 14% Quebec). It is only a prepayment: if your rate is higher, you pay the difference when you file. It is best to withdraw in lower-income years, such as retirement. At 71, your RRSP must become a RRIF or an annuity.
Official sources: CRA: RRSP limits · CRA: contributions and deduction limit · CRA: tax withheld on withdrawals · Revenu Québec: payments from an RRSP
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