Manual calculation for EI

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Manual calculation for EI

To calculate your employee's EI premiums using the manual calculation method, follow these steps:

Step 1: Enter the employee's insurable earnings $__________

Step 2: Enter the employee's EI premium rate for the year (See EI premium rates and maximums for current and prior year rates) __________

Step 3: Multiply the amount in step 1 by the rate in step 2 = $__________

The result is the EI premiums to be deducted for your employee.


Note


The employee's maximum EI premium amount cannot be more than the maximum EI premium amount for the year ($889.54 for 2021). The maximum for Quebec is $664.34 for 2021. You stop deducting EI premiums when you reach the maximum EI premium amount.

Your EI premium payable is 1.4 times* the amount of EI premiums payable by each employee.

*The rate may be less than 1.4.


Example


EI premiums you deducted from your employees in the month
$195.50
Plus your share of EI premiums (× 1.4)
$273.70
Equals the total amount you remit for EI premiums
$469.20

If you have a wage-loss replacement plan, you can ask for a reduction in your contribution rate. For more information, see How to reduce the EI premium rate if you provide your employees with a short-term disability plan.

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Date modified:
2021-12-30