What does Budget 2026 change for your paycheque?
Not much. The federal Budget, tabled November 5, 2026, does not change federal income tax rates, tax brackets or the basic personal amount. It does not change CPP, CPP2 or EI premiums, and it does not change TFSA limits. Your take-home pay is not different because of this Budget.
The changes are in benefits, credits, tax filing and business deductions. Almost all of them are proposed: they need legislation before they apply. This post sorts what is proposed from what is already set.
What stays the same
- Federal tax rates, brackets and the basic personal amount: no change in the Budget's tax measures.
- CPP and CPP2: no new change. The base CPP rate cut announced in the Spring Economic Update 2026 stands. The Budget books the savings from it. See our CPP 2027 post for the numbers.
- EI: the 2027 employee rate is $1.64 per $100 of insurable earnings, as announced September 14, 2026. The Budget projects $1.63 for 2028. The 2028 rate is set in fall 2027. See our EI 2027 post.
- TFSA: no change to limits in the Budget's tax measures.
Use the paycheque calculator or the payroll deductions calculator for take-home pay. They use 2026 rates until January 1, 2027.
Benefits and credits that would change
| Measure | What is proposed | When |
|---|---|---|
| Build Canada Workers Benefit (the workers benefit) | Maximum rises from $1,709 to $1,859 (single) and from $2,943 to $3,143 (family). Minimum earnings to qualify falls from $3,000 to $500. Phase-out thresholds drop from $28,104 to $27,104 (single) and from $32,064 to $30,731 (family). The disability supplement also changes. | 2027 tax year |
| Advance payments of the workers benefit | Cut from 50% to 25% of the estimated benefit for 2027, then ended from 2028. | From July 2027 |
| Canada Groceries and Essentials Benefit | A one-time 50% increase for 2026-27: up to $339 for a single person and up to $679 for a couple with two children. | Early 2027 |
| Canada Caregiver Credit | Becomes fully refundable: up to $1,260 for 2027, indexed after that. The credit amounts themselves are unchanged. | 2027 tax year |
| EI for apprentices in full-time training | Minimum regular benefit weeks go from 14 to 18. Temporary measure. | See the Budget |
These amounts come straight from the Budget documents. Your own amount depends on your income and family. The CRA notifies you of your benefits once they are law.
Filing and instalments
Proposed: the personal tax deadline moves to May 15. The Budget proposes that the T1 filing date and the balance-due date both become May 15 for all individuals, starting with the 2027 tax year. That means the first May 15 deadline would be in spring 2028. Your 2026 return, filed in spring 2027, keeps today's dates: April 30 for most people, and June 15 to file for the self-employed (with any balance still due April 30).
Proposed: a higher instalment threshold. The amount of tax owing before you must pay instalments would rise from $3,000 to $7,500 ($1,800 to $4,500 for Quebec residents). It would apply to tax years starting on or after January 1, 2028.
RRSP for life: the Budget announces an intention to merge RRSP and RRIF rules. You would not have to convert at 71, and minimum withdrawals after 71 would stay as they are. This is a consultation only, with comments due January 8, 2027. It is not law, and our RRSP calculator does not change.
Small business and other measures
- Productivity Mega Deduction: a proposed deduction for investments acquired on or after September 15, 2026.
- Canada Growth Incentive: proposed, covering up to $15 million of capital gains.
- Canada Creative Credit: details are due in the Spring Economic Update 2027.
- Fuel excise tax: suspended to the end of January 2027, then 50% to the end of March, with standard rates back on April 1, 2027.
- NSF fees: proposed cap of $10.
- GST/HST: qualifying massage therapy would be exempt.
- Federally regulated workplaces: Bill C-39 has been introduced, and it is not law. It would update the Canada Labour Code and strengthen enforcement on misclassification and wage theft.
What is law and what is not
A Budget is a plan. Most measures above need a bill to pass Parliament before they apply, and some may change on the way. Our calculators only use rates that are in force, so none of the proposed changes above are in them. We update the tools and posts when a measure becomes law and the CRA publishes the figures.
Sources
- Budget 2026, Department of Finance Canada
- Budget 2026: key measures
- Budget 2026 Tax Measures: Supplementary Information
- Budget 2026, Chapter 3 and Chapter 6
Estimate only. Not tax advice. Check amounts with the CRA or a tax professional.