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RRSP Withdrawal Tax in New Brunswick (2026)

CRA withholds 10% / 20% / 30% at source for withdrawals up to $5,000 / $5,001–$15,000 / over $15,000 — federal only (no provincial withholding outside Quebec). Final tax at filing depends on your New Brunswick marginal rate (other income + brackets).

Withholding at Source (New Brunswick)

Withdrawal amount Federal (CRA) Total withheld
Up to $5,000 10% 10%
$5,001 – $15,000 20% 20%
Over $15,000 30% 30%

Source: CRA S3-F10-C3 and Regulation 103. Withholding is a prepayment — your final tax at filing is your combined federal + New Brunswick marginal rate.

Tax on Every RRSP Withdrawal Amount (New Brunswick, 2026)

Assumes RRSP withdrawal is your only income — e.g. retiree with no employment or CPP/OAS yet. 2026 basic personal amount shelters the first ~$16,129 federally.

Withdrawal Withheld Actual tax Effective rate Refund / (Owing) Net in hand
$300 $30 $0 0.0% $30.00 $300
$1,000 $100 $0 0.0% $100.00 $1,000
$2,000 $200 $0 0.0% $200.00 $2,000
$3,000 $300 $0 0.0% $300.00 $3,000
$4,500 $450 $0 0.0% $450.00 $4,500
$5,000 $500 $0 0.0% $500.00 $5,000
$8,000 $1,600 $0 0.0% $1,600.00 $8,000
$10,000 $2,000 $0 0.0% $2,000.00 $10,000
$15,000 $3,000 $126 1.0% $2,874.42 $14,874
$20,000 $6,000 $1,092 5.0% $4,907.70 $18,908
$25,000 $7,500 $2,262 9.0% $5,237.70 $22,738
$30,000 $9,000 $3,432 11.0% $5,567.70 $26,568
$35,000 $10,500 $4,602 13.0% $5,897.70 $30,398
$40,000 $12,000 $5,772 14.0% $6,227.70 $34,228
$50,000 $15,000 $8,112 16.0% $6,887.70 $41,888
$60,000 $18,000 $10,901 18.0% $7,099.00 $49,099
$70,000 $21,000 $14,351 21.0% $6,649.00 $55,649
$75,000 $22,500 $16,076 21.0% $6,424.00 $58,924
$100,000 $30,000 $24,701 25.0% $5,299.00 $75,299
$150,000 $45,000 $44,670 30.0% $329.80 $105,330
$200,000 $60,000 $66,442 33.0% ($6,441.86) $133,558
$300,000 $90,000 $116,603 39.0% ($26,602.58) $183,397

$20,000 Withdrawal on Top of Other Income (New Brunswick 2026)

What a $20,000 RRSP withdrawal actually costs in New Brunswick when stacked on your existing income. Effective rate rises as marginal rate climbs into higher brackets.

Other income: $0

$1,092

5.0% effective

Withheld $6,000 → refund $4,908

Other income: $30,000

$4,680

23.0% effective

Withheld $6,000 → refund $1,320

Other income: $60,000

$6,900

35.0% effective

Withheld $6,000 → owe $900

Other income: $100,000

$7,369

37.0% effective

Withheld $6,000 → owe $1,369

Run the numbers with your exact amount, other income, and year: Open RRSP Withdrawal Tax Calculator →

RRSP Withdrawal Tax in Other Provinces

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Frequently asked questions

How much withholding tax is deducted on an RRSP withdrawal in New Brunswick?

In New Brunswick, CRA withholds federal-only at source: 10% on withdrawals up to $5,000, 20% on $5,001–$15,000, and 30% above $15,000. No provincial withholding applies — your provincial tax is settled at filing.

What is the final tax rate on an RRSP withdrawal in New Brunswick?

The final tax equals your combined federal + New Brunswick marginal rate times the withdrawal. With no other income in 2026, a $20,000 withdrawal actually costs $1,092 (5.0% effective). At $60,000 other income it climbs to $6,900 (35.0%).

Is RRSP withdrawal taxable income in New Brunswick?

Yes — fully added to your taxable income for the year and taxed at your combined federal + New Brunswick marginal rate. The withholding is a deposit, not the final bill.

Does New Brunswick have its own RRSP withholding?

No. New Brunswick does not have a separate withholding — only CRA withholds federally (10% / 20% / 30%). Your New Brunswick provincial tax is calculated and settled when you file your T1 return. Quebec is the only province with a combined federal + provincial withholding.

Last updated May 1, 2026Tax year 2026

Data sources: CRA (canada.ca)

This tool is general information only, not financial advice.

Reviewed by CA Tax Tools Editorial Desk

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