Total revenue before expenses and tax.
✓ Calculated from category breakdown below.
Deductible business expenses. Or expand below to enter by category.
T4 salary, pension, or other income. Enter 0 if fully self-employed.
Break down expenses by category (optional)
Adjustments: T4 employment & tax instalments (optional)
Enter the total of Box 26 from all T4 slips. If you had multiple employers, add the Box 26 amounts together. Enter 0 if no T4 employment. Separate from “Other taxable income” above — used only for CPP room calculation.
Add Box 16 from all T4 slips. Providing this lets Sidehub reconcile actual employment CPP rather than assuming payroll deductions were exact. Especially useful with multiple employers.
Add Box 16A from all T4 slips. Enter 0 if none was deducted. Leave blank to treat as $0.
Enter income-tax instalments or other payments already made toward this self-employment liability. Do not enter normal T4 payroll income-tax withholding.
This calculator covers income tax + CPP on your self-employment income. Sidehub Pro tracks income tax, GST/HST, and instalments together — one place, all year long.
Start a free Pro trial →You’re signed in to Sidehub Pro — your tracked numbers are pre-filled above.
← Back to dashboard- Sole proprietors and unincorporated self-employed individuals
- Federal and provincial income tax, 2026 brackets (incl. Ontario surtax and Health Premium)
- Self-employed CPP at 2026 rates, with deduction and non-refundable credit treatment
- Basic Personal Amount credits applied automatically
- CPP room already consumed by T4 employment income (enter T4 Box 26 in the adjustments section)
- All provinces and territories except Quebec
- GST/HST registration or remittance
- Employment Insurance (EI)
- RRSP deductions, capital gains, or investment income
- Childcare, tuition, disability, and other personal credits
- Taxpayer-specific provincial credits and adjustments
- CRA instalment interest or penalties
- Incorporated businesses
How self-employed tax works in Canada
Self-employed Canadians report business income on Form T2125. Unlike employees, nothing is withheld at source — you set aside and remit your own taxes.
Tax is assessed on net business income: gross revenue minus legitimate, deductible business expenses. Common deductible expenses include vehicle costs for business use, a portion of phone and internet, software, supplies, home-office expenses, and professional fees. Personal expenses are not deductible.
Net business income is taxed at federal and provincial rates using the same progressive brackets that apply to all Canadians. Self-employed individuals also owe CPP contributions on eligible net business income — unlike employees who split CPP 50/50 with their employer, self-employed people pay both portions (approximately 11.9% on earnings between the $3,500 basic exemption and the 2026 YMPE of $74,600). Half of CPP paid is deductible from income; half generates a non-refundable tax credit.
GST/HST is a consumption tax entirely separate from income tax and CPP. If your total gross self-employment revenue from taxable supplies exceeds $30,000 in any four consecutive calendar quarters, you are generally required to register and begin charging GST/HST. Use the GST/HST Quick Method Calculator for remittance planning.
Frequently asked questions
Both. Enter 0 for other taxable income if you are fully self-employed. Enter your T4 salary or other income if self-employment is on the side — the calculator computes incremental tax on your SE income given that your other income has already consumed the lower brackets.
Profit (net business income): gross revenue minus deductible business expenses. Tax is not assessed on gross revenue.
Yes. Self-employed CPP contributions are estimated using 2026 rates and limits, and shown separately in the breakdown. If you also have T4 employment income, enter your T4 pensionable employment earnings (Box 26) in the Adjustments section — the calculator accounts for CPP room already consumed by your day job so self-employment is not charged a second time.
No. GST/HST is a separate obligation. If your gross revenue is at or approaching $30,000, use the GST/HST Quick Method Calculator to estimate remittance separately.
No. This calculator is for sole proprietors and unincorporated self-employed individuals. Incorporated businesses are subject to corporate income tax and different rules for income extraction.
Self-employed income is subject to both income tax and CPP, and nothing is withheld at source. If you also have a T4 salary, self-employment income is taxed at your marginal rate (the highest bracket you have reached). The combination of marginal income tax plus self-employed CPP typically results in a set-aside rate of 25–40% or more.
No. This calculator provides estimates for planning purposes only. Confirm with CRA or a qualified Canadian tax professional for your specific situation.
GST/HST Registration Threshold Checker
Once your gross self-employment revenue approaches $30,000, most Canadians must register for GST/HST. Check whether that applies to your situation.