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Marginal Tax Rate Calculator 2025

See your marginal tax rate for every bracket. Know how much tax you'll pay on your next dollar earned.

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2025 Tax Brackets - Ontario

Income RangeFederalProvincialCombined
$0 - $52,886You're here14.50%5.05%19.55%
$52,886 - $57,37514.50%9.15%23.65%
$57,375 - $105,77520.50%9.15%29.65%
$105,775 - $114,75020.50%11.16%31.66%
$114,750 - $150,00026.00%11.16%37.16%
$150,000 - $177,88226.00%12.16%38.16%
$177,882 - $220,00029.00%12.16%41.16%
$220,000 - $253,41429.00%13.16%42.16%
$253,414+33.00%13.16%46.16%

Understanding Marginal Tax Rates

Your marginal tax rate is the tax you pay on your next dollar of income. It's not the rate on all your income—that's your effective rate. Knowing your marginal rate helps with decisions like RRSP contributions (which save tax at your marginal rate) or whether to earn extra income.

How Marginal Tax Rates Work in Canada

Canada uses a progressive tax system with multiple tax brackets. Each bracket has a different rate, and you only pay that rate on income within that bracket—not on all your income.

2025 Federal Tax Changes

For 2025, the federal government reduced the lowest tax bracket rate from 15% to 14% effective July 1, 2025. This means the effective rate for 2025 is 14.5% on the first $57,375 of taxable income. Starting in 2026, the full-year rate will be 14%.

Disclaimer: This calculator provides estimates based on 2025 tax rates. Your actual tax situation may vary. Consult a tax professional for personalized advice.