# Self-Employed Tax Calculator 2026

> Income tax and both halves of CPP on self-employment income in Canada for 2026, by province, with the June 15 filing deadline.

URL: https://paycheck-math.com/ca/self-employed-tax-calculator/  
Breadcrumbs: Home > Canada > Self-Employed Tax Calculator  
Language: en-CA  
Rates checked: 2026-10-29  

Self-employed Canadians pay income tax on net business income plus both halves of CPP: 11.9% up to the YMPE of $74,600 and 8% up to $85,000. On $70,000 of profit in Ontario that is $10,384.82 of income tax and $7,913.50 of CPP for 2026. The return is due June 15, but the balance is due April 30.

## Result with default inputs

Inputs: year=2026, province=ON, age65=false, disability=false, children=0, cwb_claim=true, employment=0, tax_deducted=0, cpp_paid=0, ei_paid=0, union_dues=0, interest=0, eligible_dividends=0, other_dividends=0, capital_gains=0, pension=0, oas=0, cpp_benefits=0, ei_benefits=0, other_income=0, self_employment=70000, rental=0, rrsp=0, fhsa=0, child_care=0, tuition=0, medical=0, donations=0, instalments=0

**Balance owing: $18,298.32**

- Taxable income: $65,378.25
- Total tax: $10,384.82
- Average tax rate: 14.84%
- Tax on your next 1,000: 29.65%

| Line | Item | Amount |
| --- | --- | --- |
|  | **Total income** |  |
| 13500 | Net business income | $70,000.00 |
| 15000 | **Total income** | $70,000.00 |
|  | **Net income and taxable income** |  |
| 22200 | CPP/QPP on self-employment (employer half) | −$3,291.75 |
| 22215 | Enhanced CPP/QPP contributions | −$1,330.00 |
| 23600 | **Net income** | $65,378.25 |
| 26000 | **Taxable income** | $65,378.25 |
|  | **Federal tax** |  |
|  | Federal tax 14% on $58,523 | $8,193.22 |
|  | Federal tax 20.5% on $6,855 | $1,405.33 |
| 40400 | **Federal tax on taxable income** | $9,598.55 |
| 30000 | Basic personal amount | $16,452.00 |
| 31000 | Base CPP/QPP on self-employment | $3,291.75 |
| 33800 | Non-refundable credits: 14% of $19,744 | −$2,764.13 |
| 42000 | **Net federal tax** | $6,834.42 |
|  | **Ontario tax** |  |
|  | Provincial tax 5.05% on $53,891 | $2,721.50 |
|  | Provincial tax 9.15% on $11,487 | $1,051.08 |
|  | **Provincial tax on taxable income** | $3,772.58 |
|  | Provincial credits: 5.05% of $16,281 | −$822.18 |
|  | Ontario Health Premium | $600.00 |
| 42800 | **Provincial or territorial tax** | $3,550.40 |
|  | **Refund or balance owing** |  |
| 42000 | Net federal tax | $6,834.42 |
| 42100 | CPP/QPP contributions on self-employment | $7,913.50 |
| 42800 | Provincial or territorial tax | $3,550.40 |
| 43500 | **Total payable** | $18,298.32 |
| 43700 | Total income tax deducted | −$0.00 |
| 48200 | **Total credits** | $0.00 |
| 48500 | **Balance owing** | $18,298.32 |

_Estimate from the CRA rates for the selected tax year, for a single filer who lived in one province all year. Spouse and dependant amounts, pension splitting, carry-forwards and provincial benefits paid outside the return are not included._


To compute other inputs, call the JSON API: `https://paycheck-math.com/api/v1/calculate?path=%2Fca%2Fself-employed-tax-calculator%2F&year=2026&province=ON&age65=0` or open the page URL with the same query parameters.

## Worked example (2026, Ontario)

Lives in Ontario, $70,000 of net self-employment income. The calculator above opens with these figures; change them to see your own return, line by line like the T1.

| Line | T1 return | Amount |
| --- | --- | --- |
| 13500 | Net business income | $70,000.00 |
| 15000 | Total income | $70,000.00 |
| 22200 | CPP/QPP on self-employment (employer half) | −$3,291.75 |
| 22215 | Enhanced CPP/QPP contributions | −$1,330.00 |
| 23600 | Net income | $65,378.25 |
| 26000 | Taxable income | $65,378.25 |
|  | Federal tax 14% on $58,523 | $8,193.22 |
|  | Federal tax 20.5% on $6,855 | $1,405.33 |
| 40400 | Federal tax on taxable income | $9,598.55 |
| 30000 | Basic personal amount | $16,452.00 |
| 31000 | Base CPP/QPP on self-employment | $3,291.75 |
| 33800 | Non-refundable credits: 14% of $19,744 | −$2,764.13 |
| 42000 | Net federal tax | $6,834.42 |
|  | Provincial tax 5.05% on $53,891 | $2,721.50 |
|  | Provincial tax 9.15% on $11,487 | $1,051.08 |
|  | Provincial tax on taxable income | $3,772.58 |
|  | Provincial credits: 5.05% of $16,281 | −$822.18 |
|  | Ontario Health Premium | $600.00 |
| 42800 | Provincial or territorial tax | $3,550.40 |
| 42000 | Net federal tax | $6,834.42 |
| 42100 | CPP/QPP contributions on self-employment | $7,913.50 |
| 42800 | Provincial or territorial tax | $3,550.40 |
| 43500 | Total payable | $18,298.32 |
| 43700 | Total income tax deducted | $0.00 |
| 48200 | Total credits | $0.00 |
| 48500 | Balance owing | $18,298.32 |

## Tax and CPP by profit in Ontario (2026)

| Net profit | Income tax | CPP (both halves) | Total | Share of profit |
| --- | --- | --- | --- | --- |
| $30,000 | $2,455 | $3,154 | $5,609 | 18.7% |
| $50,000 | $5,962 | $5,534 | $11,495 | 23% |
| $70,000 | $10,385 | $7,914 | $18,298 | 26.1% |
| $90,000 | $16,080 | $9,293 | $25,373 | 28.2% |
| $120,000 | $25,482 | $9,293 | $34,774 | 29% |
| $160,000 | $42,756 | $9,293 | $52,049 | 32.5% |

Half of the base CPP is deducted on line 22200 and the other half is a credit on line 31000; the enhanced part is deducted on line 22215. If you owe more than $3,000 ($1,800 in Quebec) in two years in a row, the CRA asks for quarterly instalments.

## How the Canadian return is calculated

1. **Total income (line 15000).** Employment income, pensions, OAS, CPP and EI benefits, interest, the grossed-up amount of dividends, half of capital gains, rental and business income.
2. **Net income (line 23600).** Minus RRSP and FHSA deductions, union dues, child care expenses and the enhanced part of CPP (lines 22200 and 22215), and minus any OAS recovery tax.
3. **Federal tax.** Tax on taxable income at 14%, 20.5%, 26%, 29%, 33%, minus non-refundable credits at 14% (basic personal amount up to $16,452, CPP, EI, the Canada employment amount, pension, age, disability, tuition and medical), the donations credit, the top-up tax credit and the dividend tax credit.
4. **Ontario tax (Form 428).** Provincial brackets and credits at 5.05%, the provincial dividend tax credit, the Ontario surtax, tax reduction, LIFT credit and Health Premium.
5. **Refund or balance owing (lines 48400 and 48500).** Total payable (federal and provincial tax, CPP on self-employment, OAS recovery) minus tax deducted, CPP and EI overpayments, the Canada workers benefit and instalments.

## Key 2026 figures

### Federal tax brackets 2026

| Taxable income | Rate |
| --- | --- |
| $0 to $58,523 | 14% |
| $58,523 to $117,045 | 20.5% |
| $117,045 to $181,440 | 26% |
| $181,440 to $258,482 | 29% |
| Over $258,482 | 33% |

### Federal amounts 2026

| Item | Amount |
| --- | --- |
| Basic personal amount | $16,452 (falls to $14,829 between $181,440 and $258,482 of net income) |
| Credit rate (lowest bracket) | 14% |
| Canada employment amount | $1,501 |
| Age amount (65+) | $9,208, reduced by 15% of net income over $46,432 |
| CPP | 5.95% of earnings from $3,500 to $74,600, plus 4% CPP2 up to $85,000 |
| EI premium | 1.63% on insurable earnings up to $68,900 (Quebec 1.3%) |
| RRSP dollar limit | $33,810 |
| OAS recovery threshold | $95,323 |
| Medical expense threshold | 3% of net income or $2,890, whichever is less |
| Dividend gross-up / federal credit | Eligible 38% / 15.0198%; other 15% / 9.0301% |

### Ontario brackets 2026

| Taxable income | Rate |
| --- | --- |
| $0 to $53,891 | 5.05% |
| $53,891 to $107,785 | 9.15% |
| $107,785 to $150,000 | 11.16% |
| $150,000 to $220,000 | 12.16% |
| Over $220,000 | 13.16% |

Basic personal amount $12,989.

Official source: [CRA: federal income tax rates (2025)](https://www.canada.ca/en/revenue-agency/services/tax/individuals/tax-rates-brackets/last-year.html), [CRA: current-year federal and provincial rates](https://www.canada.ca/en/revenue-agency/services/tax/individuals/tax-rates-brackets/current-year.html), [CRA: indexation of personal income tax and benefit amounts](https://www.canada.ca/en/revenue-agency/services/tax/individuals/frequently-asked-questions-individuals/adjustment-personal-income-tax-benefit-amounts.html), [CRA: T4127 payroll deductions formulas (January 2026)](https://www.canada.ca/en/revenue-agency/services/forms-publications/payroll/t4127-payroll-deductions-formulas/t4127-jan/t4127-jan-payroll-deductions-formulas-computer-programs.html), [CRA: CPP contribution rates, maximums and exemptions](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/canada-pension-plan-cpp/cpp-contribution-rates-maximums-exemptions.html), [CRA: EI premium rates and maximums](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/payroll/payroll-deductions-contributions/employment-insurance-ei/ei-premium-rates-maximums.html). Rates checked on Oct 29, 2026.

## Questions people ask

### When is the return due if I am self-employed?

June 15, but any balance owing is due April 30, and interest runs from May 1.

### Do I pay EI as a self-employed person?

Only if you opt in to EI special benefits. Most self-employed people do not.

### Is this the same as the CRA’s calculation?

It follows the T1 return and Form 428 step by step with the CRA’s rates for the year: income, deductions, net and taxable income, federal tax and credits (including the 2025-2030 top-up tax credit), provincial tax and reductions, then refundable credits. It assumes a single filer who lived in one province all year and leaves out spouse and dependant amounts, pension splitting, loss and tuition carry-forwards, foreign income, the alternative minimum tax and provincial tuition credits.

### Which tax year should I choose?

2025 is the return you filed by April 30, 2026. 2026 is the return due by April 30, 2027 (June 15, 2027 if you or your spouse are self-employed, with any balance still due April 30).

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Estimates for information only, not tax, legal or financial advice. Check with an adviser or the official tax authority.