Pay Raise Calculator (2026)
A $6,000 raise doesn't put $6,000 in your pocket. Enter your salary before and after to see the real take-home increase — and how much of the raise the higher bracket claims.
Take-home increase per year
$0
How much of a raise you keep
The whole raise is taxed at your marginal rate — the bracket your income has already climbed into — so you keep less of it than of your base salary. On most mid-range Ontario salaries that works out to keeping roughly two-thirds of the gross raise once federal tax, provincial tax, CPP and EI are taken out.
It never leaves you worse off. Canada taxes each bracket only on the income inside it, so crossing into a higher bracket never reaches back and taxes your whole salary. The calculator shows the gross raise, the net raise, and the share you actually keep.
Common questions
Why do I keep less than half of my pay raise?
A raise sits on top of the income you already earn, so every dollar is taxed at your marginal rate. Add CPP and EI until you hit their annual caps, and in Ontario the surtax, and keeping 60–70% of a raise is normal. You only dip below half in the top combined brackets.
How much of a $5,000 raise do I actually take home?
It depends on your salary and province. On a mid-range Ontario salary a $5,000 raise typically nets about $3,200–$3,400 — around 65% of the gross. Enter your before and after figures above for your own number.
Does a raise ever leave me with less money?
No. The system is marginal, so a higher bracket only applies to income above the threshold, never your whole salary. A raise always increases take-home pay — just by less than the gross.