What is it like working two jobs?

What would working two jobs mean for my taxes?

• I am currently working one part-time job, averaging about 16 hours a week at minimum wage (10.25). I've been offered another part time job. I'm not sure what it pays yet but I will probably be working maybe 20 extra hours a week, for a total of 36 hours with both jobs. I make about 7800 a year at my current job. If I get paid minimum wage x 20 hours a week, my total earnings will be $17,640 a year. What would this mean for my taxes? Would they just be taken out of my second job's paycheque as normal? I currently receive GST and OST every few months, would that stop? And would I be paying taxes at taxtime instead of getting a refund? Extra info, if this helps: I am 20, female Married (for the past two months) My husband is a US citizen, I'm Canadian. He's just started working a fulltime job. I'll be putting in his application for sponsorship to Canada in May.

• Answer:

  The tax on earnings of $17,640 per year is the same whether you work one, two, three or more jobs. It's the total income that determines the tax, not how many jobs you work. When you work two jobs, the required deductions are typically too high for CPP and EI, and too low for income tax. Your refund at tax time is typically less (which is a good thing because you haven't loaned money to the government interest free). If you're worried about a lower refund, then just save some of the money you make from your second job. Your GST and OST credit will be reduced, because your income is higher, but it will depend to a large extent on what hubby is making. Bottom line, you're always better off tax-wise to have more income.