Retirement Income Tax Calculator
Tax on CPP, OAS, pensions, RRIF and investments, with the age and pension credits, OAS clawback and pension splitting, by province.
Want this number lower?
The Lower My Tax report takes these numbers, tests every legal way to cut the bill, and shows the saving of each in dollars, with what to do and by when.
The short version
- Tax on a retiree's income: CPP, OAS, employer pension, RRIF, interest, dividends and capital gains, for every province except Quebec, using the 2026 rules.
- Includes what ordinary income tax calculators leave out: the age amount, the pension income amount, the OAS clawback and pension income splitting.
- Example, Ontario, 73: CPP $15,000, OAS $9,150, RRIF $30,000 and $2,000 of interest. Income tax about $6,720, an average rate of about 12%.
- Add a $45,000 pension and bigger RRIF and the same person pays about $24,200 of tax plus about $2,520 of OAS clawback, and every extra $100 costs about $44.
- Nothing you enter leaves your browser.
Retirement Income Tax Calculator
Retirement income is taxed like any other income, except for the five or six special rules that make it nothing like any other income. Seniors get extra credits that shrink as income rises, OAS is clawed back past a threshold, and pension income can be shared with a spouse. Most online calculators ignore all of that and quote a number that's off by a few thousand dollars. This one doesn't.
What It Takes Into Account
| Rule | 2026 amount | Read more |
|---|---|---|
| Federal age amount (65+) | $9,208, reduced by 15% of net income over $46,432 | Age amount |
| Pension income amount | Up to $2,000 federally, plus a provincial amount | Pension income amount |
| OAS clawback | 15% of net income over $95,323 | OAS clawback |
| Pension splitting | Up to half of eligible pension income | Pension income splitting |
| Dividend gross-up and credit | Eligible dividends grossed up 38% | Dividends |
Want the household view, both spouses at once?
Give the assistant both spouses' incomes, ages and province. It finds the pension split that costs the least tax overall and checks the OAS clawback for each of you.
Splitting Example
Ontario, both 72. One spouse has CPP $12,000, OAS $9,150, a pension of $30,000, RRIF $27,000 and $3,000 of interest. The other has CPP $6,000 and OAS $9,150.
| Higher-income spouse | Lower-income spouse | Household | |
|---|---|---|---|
| No split | about $14,840 | $0 | about $14,840 |
| Split $28,500 of pension and RRIF | about $5,860 | about $3,830 | about $9,690 |
About $5,150 a year saved, from one election on form T1032. Enter each spouse separately above, using the two splitting boxes, to try your own numbers.
How to Use the Result
- Tax on your next $100 includes the age amount shrinking and the OAS clawback. It's the number to use when deciding whether to take more from a RRIF this year; see the RRIF minimum calculator.
- Owing every April? CPP, OAS and RRIF minimums usually have little or no tax withheld; see is CPP taxable?
- Thinking about withdrawals before 71? See RRSP withdrawals.
Everything else about retirement taxes is on retirement taxes in Canada.
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How much tax do retirees pay in Canada?
It depends on total income and province. A retiree with about $56,000 of CPP, OAS, RRIF and interest in Ontario pays about $6,700 of income tax in 2026, because the age amount and pension income amount reduce the tax. Higher incomes lose the age amount and part of OAS.
Do seniors get extra tax credits in Canada?
Yes. From 65, the age amount (up to $9,208 federally in 2026, reduced above $46,432 of net income) and the pension income amount (up to $2,000 of eligible pension income) reduce tax, with matching provincial credits.
Is RRIF income eligible for the pension credit?
Yes, from age 65. Employer pension and life annuity payments qualify at any age. CPP, OAS and RRSP lump-sum withdrawals do not.
Does the calculator include the OAS clawback?
Yes. Enter your OAS and it applies the 15% recovery tax on net income over the threshold, deducts it, and includes it in your marginal rate.
Are provincial senior credits included?
The provincial age amount and pension income amount are included. Smaller provincial extras, such as Saskatchewan’s senior supplementary amount, and refundable provincial credits for seniors, are not.
Does this calculator include CPP and OAS?
Yes. Enter CPP, OAS, pensions, RRIF payments and other income, and it works out income tax, the OAS clawback and your after-tax income for 2026, including the age and pension amounts.
Sources: CRA, Line 30100, age amount; OAS recovery tax; provincial age and pension amounts from TaxTips.ca 2026 credit tables. Checked October 2026. Examples come from our 2026 rules engine and are rounded. Not included: GIS (not taxable), disability and medical credits, provincial low-income reductions other than Ontario's and B.C.'s, and Nova Scotia's extra age supplement, so the result can be a little high for some low-income seniors.
Last reviewed October 5, 2026 against CRA and Government of Canada sources. How we check our facts.