Commission Tax Calculator (2026)
Commission lands on top of your base pay, so it's taxed at your highest rate. Enter your base and your commission to see the tax that comes off and the amount you keep.
You keep from commission
$0
What tax comes off commission
Commission isn't taxed on its own schedule — it's added to your other income and taxed at your marginal rate. If your base salary already sits in the 9.15% Ontario bracket, your commission is taxed from there upward, plus federal tax and any CPP and EI room left before the caps. On a typical salary that's an effective 30–40% off the commission.
If you're paid commission only, set the base to zero and enter your total commission — the calculator then treats the whole amount as your income and applies the brackets from the bottom up. Either way, what you see is the real cost, not the sometimes-heavier amount payroll withholds up front.
Common questions
How much is commission taxed in Ontario?
At your marginal rate — the top bracket your total income reaches — because it's added to your base pay. On a mid-range salary that's an effective 30–40% off once federal tax, Ontario tax, CPP and EI are included. There's no flat commission rate.
What is the tax rate on commission income?
The same brackets that apply to salary. If commission pushes you into a higher bracket, only the portion above the threshold is taxed at the higher rate. The calculator applies the right marginal rate for you.
Is commission taxed differently from salary?
The tax is the same; withholding can differ. Employers may withhold commission using the bonus method or a flat estimate, so the paycheque can look over-taxed. It settles to your real rate at year end, with any excess refunded.