Methodology and sources
This tool provides planning estimates for Canadian contractors. It is designed to be transparent about assumptions and data quality.
What we calculate
- Net business income from contractor income minus business expenses
- Taxable income by adding other income
- Federal and provincial or territorial personal income tax
- CPP for self-employed earnings based on configured rates and thresholds
- Remaining balance after tax already paid and installments
Primary data sources
- CRA personal income tax rates:canada.ca personal rates
- Quebec and other province or territory schedules are represented using currently available published tables in app data files.
- CPP values follow configured yearly assumptions in the tax engine.
Estimate quality notes
- Warnings in the result indicate whether rates are exact or estimated.
- Where exact values are not yet published for a year, the app uses documented estimate logic.
Update policy
- Rates are reviewed on each tax year rollover and after major CRA table updates.
- High-impact corrections are prioritized and published as soon as validated.
Important disclaimer
This calculator is for planning only and does not replace professional tax advice. Your actual return may vary based on credits, deductions, filing status, and CRA assessments.