Salary After Taxes and contributions
The federal personal income tax that is administered by Canada Revenue Agency (CRA). Almost all Canadians are required to file taxes each year. All payroll taxes are witheld from their monthly salary. Income taxes are calculated on specific tax brackets as a progressisve tax.
A financial advisor can can help you understand the taxes structure and also how to invest so to maximize the your overall financial position.
Canada has a progressive income tax the higher the income the higher tax rate is applied. The rates are marginal that means the a tax rate is not applied to the total amount of salary but in specific brackets. These brackets also called marginal tax rates that applied each threshold of the income
|Federal tax rate|
After the federal tax you have also to pay also provincial tax or territorial which is different from state to state.
|Provincial tax rate|
At provincial and federal are provided tax credits. These are amounts that used to reduce the level of taxes that you have to pay, the two categories are refundable and non-refundable.
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Your amount that you have to pay as income tax can be reduced by tax credits.