The annual net income is evaluated by subtracting the amounts related to the tax (Canada Tax and British Columbia Tax), the Canadian Pension Plan, the Employment Insurance.
Gross annual income – Taxes – CPP – EI = Net annual salary
Net annual salary / Weeks of work / year = Net weekly income
Net weekly income / Hours of work / week = Net hourly wage
Take, for example, a salaried worker who earns an annual gross salary of $ 45,000 for 40 hours a week and has worked 52 weeks during the year.
$45 000 – Taxes – Surtax – CPP – EI = $35 329.39 / year (net)
$35 329.39 / 52 weeks = $679.41 / week (net)
$679.41 / 40 hours = $16.99 / hour (net)
You simply need to use the same division for the gross income base on the annual gross salary (line 2 and 3).
In British Columbia, the payment cycle is usually every 2 weeks. However, it is quite possible that you need to know the other pay periods that may be following them (based on an entire year of 52 weeks):
Our calculator allows you to gauge the gross/net salary over the period based on the number of weeks worked that you entered in the field “weeks of work”. This way, if you indicate 48 weeks, you will necessarily have a higher periodic salary than if you indicate 52 weeks.
It is to be kept in mind that the following net and gross income calculator is not implied for the calculation of the tax itself. To calculate the same, the website, Income tax calculator for British Columbia in 2019 can fetch you more details.
The net income is the sum total (all sources of revenues also called gross income) where all taxes and other deduction have been subtracted.
All sources of gross income include:
All sources of taxes and deductions include: