For employers and employees
Payroll Calculator Canada 2026
Work out an employee's net pay and your total cost as an employer for any pay period, with 2026 income tax, CPP, EI and QPIP.
Official 2026 rates, verified October 9, 2026
2026 payroll rates
| Deduction | Employee | Employer | Maximum earnings |
|---|---|---|---|
| CPP | 5.95% | 5.95% | $3,500 to $74,600 |
| CPP2 | 4% | 4% | $74,600 to $85,000 |
| QPP (Quebec) | 6.30% | 6.30% | $3,500 to $74,600 |
| EI | 1.63% | 2.282% | $68,900 |
| EI (Quebec) | 1.30% | 1.82% | $68,900 |
| QPIP (Quebec) | 0.43% | 0.602% | $103,000 |
The calculator spreads annual tax, CPP and EI evenly across the year, which is close to what payroll software does for steady pay. For exact withholding on a single irregular pay, use the CRA's Payroll Deductions Online Calculator.
Frequently asked questions
How do I calculate payroll deductions in Canada?
For each pay, withhold federal and provincial income tax, the employee's CPP (or QPP) and EI premiums, and QPIP in Quebec. Then add the employer's share: CPP matched dollar for dollar, and EI at 1.4 times the employee premium. Remit both to the CRA.
What are the 2026 CPP and EI rates for employers?
CPP: 5.95% of earnings between $3,500 and $74,600, plus 4% CPP2 up to $85,000, matched by the employer. EI: employee 1.63% (1.30% in Quebec) up to $68,900; employer 1.4 times that.
When are payroll remittances due?
Most small employers (regular remitters) must remit by the 15th of the month after the month of pay. Larger employers remit more often.
Does this include vacation pay or benefits?
No. Add vacation pay and taxable benefits to gross pay. Provincial employer taxes such as the Ontario Employer Health Tax and Quebec's employer contributions are not included.
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All rates and amounts on this page are taken from official government sources, including the Canada Revenue Agency, Revenu Québec and provincial and territorial finance ministries. Last verified October 9, 2026.