EI premium rates and maximums

Each year, we provide the maximum insurable earnings and rate for you to calculate the amount of EI to deduct from your employees.

You must contribute 1.4 times the amount that you deduct from your employees' remuneration.You may qualify to reduce your 1.4 times employer contribution if you provide your employees a short-term disability plan?.

For information on the current and previous rates and maximums, see Chart.

You stop deducting EI premiums when you reach the employee's maximum insurable earnings ($40,000 for 2007) or the maximum employee premium for the year ($720 for 2007). The maximum for Quebec is $584 for 2007.

Different EI rates apply for employees working in Quebec as a result of the establishment of the Quebec Parental Insurance Plan (QPIP).

Note
The annual maximum insurable earnings ($40,000 for 2007) applies to each job the employee holds with different employers (different business numbers). If an employee leaves one employer during the year to start work with another employer, the new employer also has to deduct EI premiums without taking into account what was paid by the previous employer. This is the case even if the employee has paid the maximum premium amount during the previous employment.

EI premium rates and maximums

For information on the current and previous rates and maximums, see Chart.