Retiring in New Brunswick: provincial tax and senior programs
New Brunswick uses four provincial tax brackets, and several of its senior programs are tied directly to receiving the federal GIS. This page explains the 2026 brackets, how they combine with federal tax on retirement income, and the provincial programs worth knowing about.
New Brunswick income tax in 2026
Retirement income — CPP, OAS, pension and RRIF withdrawals — is taxed by both Ottawa and New Brunswick. These are the 2026 provincial bracket rates; the New Brunswick basic personal amount is $13,664.
| Taxable income | Rate |
|---|---|
| $0 to $52,333 | 9.40% |
| $52,333 to $104,666 | 14% |
| $104,666 to $193,861 | 16% |
| Over $193,861 | 19.50% |
| Income | Federal | New Brunswick | Total | Average | Marginal |
|---|---|---|---|---|---|
| $30,000 | $1,897 | $1,536 | $3,432 | 11.4% | 23.4% |
| $50,000 | $4,697 | $3,416 | $8,112 | 16.2% | 23.4% |
| $75,000 | $9,268 | $6,808 | $16,076 | 21.4% | 34.5% |
| $100,000 | $14,393 | $10,308 | $24,701 | 24.7% | 34.5% |
New Brunswick's 2026 tax brackets
For 2026, New Brunswick charges 9.4% on taxable income up to $52,333, 14% up to $104,666, 16% up to $193,861 and 19.5% above that. The 2026 New Brunswick basic personal amount is $13,664.
Provincial tax applies to the same taxable income as federal tax, so CPP, OAS, workplace pensions and RRIF withdrawals all count. The table and worked example on this page are built from these 2026 figures.
Where the rate steps up
The step from 9.4% to 14% at $52,333 sits close to the 2026 federal step from 14% to 20.5% at $58,523. A retiree whose income crosses both lines sees a noticeable rise in the combined marginal rate over a fairly narrow income range.
That makes the size and timing of RRIF withdrawals, and the choice of CPP and OAS start dates, worth testing. The retirement tax calculator shows the combined rate at any income, and the CPP start-age tool compares starting at different ages.
Pension income splitting lets spouses allocate up to 50% of eligible pension income to each other on their returns. Try it with New Brunswick rates in the pension income splitting tool.
New Brunswick programs for older residents
The New Brunswick Low-Income Seniors' Benefit is an annual payment for residents who receive GIS, or the Allowance or Allowance for the Survivor. It requires an application each year; the 2026 benefit was $629, with applications accepted from April 1 to December 31, 2026, according to the Government of New Brunswick page.
For prescriptions, seniors aged 65 or older who receive GIS can join the New Brunswick Prescription Drug Program Seniors plan. Seniors who do not receive GIS can look at the New Brunswick Drug Plan, an income-based plan whose premiums depend on family income. Our GIS guide explains how GIS eligibility is assessed.
What the tax estimate includes
The worked example on this page uses the 2026 federal and New Brunswick brackets and both basic personal amounts. It leaves out the age amount, the pension income amount, dividend and capital gains treatment and other credits, so for many retirees actual tax is somewhat lower than shown.
Use the figures to compare choices, such as drawing more from a RRIF before OAS starts or after, rather than as a return calculation. Dated official figures are listed on key figures, and the methodology page explains how the calculator works.
What to check locally
- Whether you have applied for GIS, since several New Brunswick programs depend on it.
- That you reapply for the Low-Income Seniors' Benefit each year before the deadline.
- Which drug plan fits your situation once you turn 65, and whether you have other coverage.
- Your combined federal and provincial marginal rate near the $52,333 and $58,523 thresholds.
- Any changes in the next New Brunswick budget.
Next steps
Set New Brunswick as your province in the retirement plan tool to see tax year by year, and browse the provincial benefits hub for how other provinces compare.
Programs to look into
New Brunswick Low-Income Seniors' Benefit
An annual payment for low-income seniors who receive GIS, or the Allowance or Allowance for the Survivor. The Government of New Brunswick page lists $629 for 2026, with applications open April 1 to December 31, 2026.
New Brunswick Prescription Drug Program (NBPDP) Seniors plan
Prescription drug coverage for permanent residents aged 65 or older who receive GIS, hold a valid Medicare card and have no other drug coverage.
New Brunswick Drug Plan
An income-based drug plan for uninsured New Brunswickers, including seniors who do not receive GIS. Premiums and co-payment limits depend on family income.
Eligibility and amounts change. Confirm details with the provincial government before applying.
Frequently asked questions
Is the Low-Income Seniors' Benefit automatic?
What are New Brunswick's 2026 tax brackets?
Which drug plan covers New Brunswick seniors?
Educational estimate, not advice. Results depend on your inputs and the assumptions listed. They are not a prediction of returns or a recommendation. Check benefit amounts in your My Service Canada Account and tax details with the CRA. Read the disclaimer.
Official sources
- CRA — Tax rates and income brackets for individuals (current year)
- CRA — T4127 Payroll Deductions Formulas (January 2026)
- Service Canada — Guaranteed Income Supplement
- CRA — Pension income splitting
- Government of New Brunswick — Low Income Seniors Benefit
- Government of New Brunswick — Eligibility for the Prescription Drug Program
Figures checked October 30, 2026. Rules and amounts change; confirm current details on the official pages above.