Canada vs United States: Tax Comparison

Compare income tax rates and take-home pay between Canada and United States

You'd keep $7,664 more in United States

United States

21.1% tax

Canada · Ontario

28.8% tax

$639/mo difference

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Side-by-side breakdown

United States

2025

21%

Income

Gross Salary$100,000
Standard deduction-$15,750
Taxable Income$84,250

Taxes & Contributions

10% bracket-$1,193
12% bracket-$4,386
22% bracket-$7,870
Social Security tax-$6,200
Medicare hospital insurance tax-$1,450
Total Taxes-$21,099
NET ANNUAL PAY$78,901
Per Month$6,575
Effective Rate21.1%

Canada · Ontario

2025

29%

Income

Gross Salary$100,000
Canadian Pension Plan (CPP) - Enhanced portion-$561
Taxable Income$99,439

Taxes & Contributions

Federal bracket 1-$5,990
Federal bracket 2-$8,469
Federal bracket 3-$4,371
Basic Personal Amount (BPA)+$244
CPP Base Contribution Credit+$67
Ontario bracket 1-$1,871
Ontario bracket 2-$3,390
Ontario bracket 3-$2,829
Ontario Basic Personal Amount+$244
Canadian Pension Plan (CPP) - Base portion-$1,642
Employment Insurance (EI)-$755
Total Taxes-$28,763
NET ANNUAL PAY$71,237
Per Month$5,936
Effective Rate28.8%

Tax rate by income level

Canada
United States

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