How this calculator works
Canada mode uses 2026 federal rates, starting at 14% up to $58,523. US mode uses 2024 ordinary-income rates and filing status. Enter deductions only if they have not already been removed. Results are before personal credits, Canadian provincial or territorial tax, US state tax and payroll contributions. Preferential US capital gains are excluded. US return tax tables can differ from continuous bracket estimates.
Formula
Tax in each band = rate x income falling within that band. Total tax = sum of band taxes. Effective rate = total tax / taxable income. Marginal rate is the rate on the next dollar.
Worked example
In Canada 2026, $50,000 taxable income has $7,000 federal tax before credits. At $60,000, tax is $8,193.22 on the first band plus $302.785 on the remaining $1,477, totalling $8,496.005.
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Frequently asked questions
Is all my income taxed at my highest bracket?
No. Each rate applies only to the portion in that band.
Does this subtract the basic personal amount?
No. Canadian personal amounts are generally credits, not an automatic deduction from taxable income here.
What happens at an exact bracket boundary?
Tax remains continuous. The displayed marginal rate describes the next dollar above the boundary.