Bonus Tax Calculator (2026)
Got a bonus and watched a big slice vanish? Enter your salary and bonus to see exactly how much is withheld and what actually lands in your account.
You keep from the bonus
$0
How much a bonus is really taxed
There's no separate bonus tax rate. A bonus is added to the income you already earn, so it's taxed at your marginal rate — the top bracket your salary reaches. For most people that means keeping somewhere between 55% and 75% of the bonus after federal tax, provincial tax, and whatever CPP and EI room is left before the annual caps.
The paycheque can still look worse than that. Payroll uses the CRA bonus method to decide withholding, and it sometimes takes more than your true rate. Anything over-withheld comes back as a refund at tax time, so the number this calculator shows is the real cost of the bonus, not the scary paycheque version.
Common questions
How much are bonuses taxed in Canada?
At your marginal rate — the same as the top slice of your salary — because the bonus stacks on income you already earn. For most Canadians that's 25–45% once federal tax, provincial tax, CPP and EI are counted. There's no special bonus rate.
Why was my bonus taxed so much on the paycheque?
Payroll often uses the CRA bonus method, which annualizes the bonus and can withhold at a rate higher than your average. Any excess comes back as a refund at tax time — withholding is an estimate, not the final tax.
How do I calculate the take-home on a bonus?
Work out your tax with and without the bonus; the difference is the cost. This calculator does that — enter base salary and bonus, and it shows the income tax, CPP and EI on the bonus and what you keep.