2

I am from Calgary, Alberta, and I am wondering how much % of my hourly wage will be paid to my EI (employment insurance).

Is the percent rate different for every worker, if not, what is the fixed rate in Canada which every worker must pay from their income into EI?

I have tried checking the CRA Employment insurance web page (http://www.cra-arc.gc.ca/tx/bsnss/tpcs/pyrll/clcltng/ei/menu-eng.html), but cannot find how much money is actually taken off of a pay cheque and put into one's EI.

Thank you for any help. All help is greatly appreciated.

1 Answer 1

2

From the page you referenced, first click the link "EI premium rate and maximum". There you'll find the calculation itself, but not the percentage rate.

Then from that page, near the bottom, click the link "EI premium rates and maximums". It's almost the same title as the prior page, so a little confusing, but that pluralized version has the data you were looking for. Partial quote:

Year    Max. Annual   Rate   Max. Annual   Max. Annual
        Insurable     (%)    Employee      Employer
        Earnings             Premium       Premium

2015    $49,500       1.88   $930.60       $1,302.84
2014    $48,600       1.88   $913.68       $1,279.15
2013    $47,400       1.88   $891.12       $1,247.57
2012    $45,900       1.83   $839.97       $1,175.96
...

The same rates are applied across Canada, except in the province of Quebec. That province has a different set of rates because they administer their own Parental Insurance Plan. In particular, self-employed workers in Quebec can opt into QPIP (even if they wouldn't qualify to participate in EI) and potentially collect parental benefits. Typical non-self-employed workers in Quebec pay into both EI (at the reduced rates for Quebec) as well as QPIP.

6
  • Great answer - I found it very organized. However, I am still a little confused - for every $15.00 I make, will I have to pay $0.28 in EI (15 * 0.0188)?
    – Kelsey
    Mar 26, 2015 at 5:43
  • 1
    Yes, ignoring the $0.002 you rounded off, that's correct. Then, once you have paid a total of $930.60 into EI during the year, you won't pay any more until the next year begins. Your employer will also pay additional EI premiums on your behalf (i.e. not deducted from your pay) that are 1.4 times what you pay in. Mar 26, 2015 at 12:38
  • 1
    Worth noting: If you happen to have two or more jobs during a year (whether at the same time and/or one after the other), each employer must deduct EI until your $930.60 limit is attained separately for the job, but you can claim a refund of any amounts you paid over $930.60 combined when you file your income tax return. Mar 26, 2015 at 12:41
  • Okay, thank you. You seem to have a lot of wisdom on the CRA! And just to clarify, if I were earning $50,000.00 annually, would I no longer be able to pay EI?
    – Kelsey
    Mar 26, 2015 at 14:40
  • 1
    You're welcome. If you were earning $50,000 annually, you would pay EI on the first $49,500, and none on the amount above. High income earners often see their EI deductions maxing out before year's end, and thus enjoy slightly higher paychecks until the new year. (A similar situation happens with CPP deductions.) Mar 26, 2015 at 14:56

You must log in to answer this question.

Not the answer you're looking for? Browse other questions tagged .