Btakes home $3,925 more per year
$327 per month · same gross — the difference is all deductions
Line by line
Amounts per year. Green deltas favour B, red favour A.
| Line item | A · Ontario | B · Alberta | B − A |
|---|---|---|---|
| Income | |||
| Gross income | $160,000 | $160,000 | ±0 |
| Taxable incomeafter the CPP enhanced deduction | $158,873 | $158,873 | ±0 |
| Payroll programs | |||
| CPP + CPP2 | $4,646 | $4,646 | ±0 |
| EI premium | $1,123 | $1,123 | ±0 |
| Income tax | |||
| Federal taxafter credits | $27,902 | $27,902 | ±0 |
| Provincial taxafter credits | $12,553 | $12,563 | +$10 |
| Ontario surtaxa tax on Ontario tax | $3,185 | — | −$3,185 |
| Ontario health premium | $750 | — | −$750 |
| Bottom line | |||
| Total deductions | $50,159 | $46,234 | −$3,925 |
| Take-home | $109,841 | $113,766 | +$3,925 |
| Effective deduction rateshare of gross lost to tax, CPP and EI | 31.4% | 28.9% | −2.5 pts |
| True marginal rateon the next $100 | 45.0% | 38.0% | −7.0 pts |
Download comparison (PDF)This ledger, then a full statement for A and for B.
A — $160,000 in Ontario
Keeps $550 of the next $1,000. Both maps share one axis.
Hover or tap a segment to inspect it.
Hover or tap a segment to inspect it.
B — $160,000 in Alberta
Keeps $620 of the next $1,000. Both maps share one axis.
Hover or tap a segment to inspect it.
Hover or tap a segment to inspect it.
Where the $3,925 comes from at $160,000
Federal tax ($27,902), CPP and EI ($5,770) are identical in both provinces — they depend only on your income.
So the whole difference is provincial tax: $16,488 in Ontario against $12,563 in Alberta.
The lines that differ most: Ontario's surtax adds $3,185; Alberta's brackets charge $1,313 more on the same $158,873 of taxable income (8% up to 12%, against 5.05% up to 12.16% in Ontario); and Alberta's credits are worth $1,303 more — mostly the basic personal amount, $22,769 at 8% against $12,989 at 5.05%.
| Provincial tax | Ontario | Alberta | Pays more |
|---|---|---|---|
| Tax on the brackets | $13,443 | $14,756 | Alberta +$1,313 |
| Less credits: basic personal amount, CPP, EI | − $890 | − $2,193 | Ontario +$1,303 |
| Ontario surtax | $3,185 | $0 | Ontario +$3,185 |
| Ontario Health Premium | $750 | $0 | Ontario +$750 |
| Provincial income tax | $16,488 | $12,563 | Alberta +$3,925 |
Your next dollar in each province
On a $1,000 raise from $160,000 you would keep $550 in Ontario and $620 in Alberta.
Ontario
45.0%
true marginal · bracket rate 38.2% (26% federal + 12.16% provincial)
Higher than the bracket rate because Ontario's surtax adds 56% on top of the Ontario tax on each new dollar.
Alberta
38.0%
true marginal · bracket rate 38.0% (26% federal + 12% provincial)
Nothing beyond the two bracket rates acts on the next dollar here.
Who keeps more at every salary
Take-home in Ontario and Alberta on the same salary, checked every $100 from $0 to $500,000.
- Up to $20,200, take-home is identical: credits cancel all provincial tax in both.
- From $20,200 to $28,500, Alberta keeps more — up to $251 a year (at $24,400).
- From $28,500 to $40,100, Ontario keeps more — up to $309 a year (at $32,800).
- From $40,100 up, Alberta keeps more — $25,177 a year by $500,000, and still growing.
| Salary | Ontario | Alberta | Keeps more |
|---|---|---|---|
| $130,000 | $93,002 | $94,658 | Alberta +$1,656 |
| $140,000 | $98,661 | $101,058 | Alberta +$2,397 |
| $150,000 | $104,320 | $107,458 | Alberta +$3,138 |
| $160,000 | $109,841 | $113,766 | Alberta +$3,925 |
| $170,000 | $115,344 | $119,966 | Alberta +$4,622 |
| $180,000 | $120,847 | $126,166 | Alberta +$5,319 |
| $190,000 | $126,105 | $132,083 | Alberta +$5,978 |
What sets each province apart
The 2026 rules behind the numbers above.
Ontario
- 5 brackets, from 5.05% up to 13.16% above $220,000. The $150,000 and $220,000 thresholds are never indexed, so more earners reach them each year.
- A surtax on top: 20% of Ontario tax above $5,818, plus another 36% above $7,446 — it starts at about $98,600 of income and steps up at about $115,100.
- The Ontario Health Premium: up to $900 a year, in steps from $20,000 of taxable income; the schedule is not indexed.
- A basic personal amount of $12,989, credited at 5.05% — worth $656. On low incomes the Ontario tax reduction and the LIFT credit (up to $875) cancel Ontario tax; LIFT shrinks by 5% of income above $32,500.
Alberta
- 6 brackets, from 8% up to 15% above $370,220. Budget 2025 added the 8% bracket on the first $61,200; credits are now valued at 8% too.
- A basic personal amount of $22,769, credited at 8% — worth $1,822 — the largest of the three provinces.
- No surtax, no health premium and no low-income tax reduction: what the brackets and credits say is what you pay.
This compares income tax, CPP and EI only. Sales tax differs too — Alberta has no provincial sales tax, B.C. charges 7% PST and Ontario's HST is 13% — and so do housing, car insurance and everything else a move changes.