Gross salary and take-home pay are not the same. Gross salary is the total amount you earn before taxes and deductions, while take-home pay is the amount you actually receive after taxes. Understanding the difference helps you better plan your finances and avoid surprises. Explore all Alberta payroll topics in our take‑home pay hub.

What is gross salary?

Gross salary is the total income you earn before any taxes, benefits, or deductions are applied. Employers often advertise salaries in gross terms, which can make income seem higher than what you actually receive.

What is take-home pay?

Take-home pay, also called net salary, is the amount you receive after taxes and deductions are subtracted from your gross salary. This is the money that actually goes into your bank account. Find out more about how taxes affect take-home pay in Alberta.

Why the difference matters

Many people budget based on gross salary, which can lead to financial stress when actual take-home pay is lower than expected. Knowing your estimated take-home pay allows you to plan rent, savings, and expenses more accurately.

Estimate your take-home pay

If you want to quickly estimate how much of your salary you’ll actually take home, you can use our take-home pay calculator to see both annual and monthly estimates based on an average tax rate. In Alberta, the main reason for this difference is income taxes and payroll deductions.