Ontario health premium
Last updated
The Ontario health premium is collected through the income tax system. It is not a separate OHIP bill, and it does not by itself decide whether someone can receive insured health services. At taxable income of $20,000 or less the premium is zero. It then rises, in steps, to a maximum of $900.
The Ontario income tax calculator uses the 2026 payroll formula: each band is the lesser of a cap and a base plus a percentage of income over a threshold. The premium is not reduced by the Ontario tax reduction. It is included in the tax line on a pay stub rather than shown as its own deduction by every employer.
Methodology
The bands are the CRA T4032-ON formula for 2026. Ontario.ca describes the same range, from zero to $900 above $200,600 of taxable income.