The Contribution screen, under Company Setup, contains values used to calculate Employment Insurance Premiums, Canada Pension Plan Contributions, Québec Pension Plan Contributions, and Québec Parental Insurance Plan Premiums.
Setting Up Contributions
Contributions Field Descriptions:
Maximum EI Earnings: The maximum amount of annual earnings subject to the Employment Insurance (EI) Premiums.
Maximum CPP Wages: The maximum amount of annual wages subject to Canada Pension Plan (CPP).
CPP Exemption: The annual basic exemptions for CPP.
CPP Rate (%): The employee contribution rate for CPP
EI Rate (%): The Employment Insurance Premium rate for employees (other than Québec).
Employer EI Rate (%): The Employment Insurance Premium rate for employers (other than Québec).
Employer CPP Rate (%): The employer contribution rate for CPP.
Maximum QPIP Earnings – Québec: The maximum amount of annual earnings subject to the Québec Parental Insurance Premiums (QPIP).
EI Rate- Québec (%): The Employment Insurance Premium rate for employees in Québec.
QPIP Rate – Québec (%): The Québec Parental Insurance Plan Premium rate for employees working in Québec.
Employer EI Rate – Québec (%): The Employment Insurance Premium rate for Employers in Québec.
Employer QPIP Rate –Québec (%): The Québec Parental Insurance Plan Premium rate for employers in Québec.
Maximum QPP Earnings – Québec: The maximum amount of annual wages subject to Québec Pension Plan (QPP).
QPP Exemption – Québec: The annual basic exemptions for QPP.
QPP Rate – Québec (%): The employee contribution rate for QPP.
Employer QPP Rate – Québec (%): The employer contribution rate for QPP.
Load 20XX Values: Click this button to load the default values for the tax parameters. Each time you start a New Year, or see the message that there has been an update or there are new tax tables available, you should click the “Load 20xx Values” button to make sure you are using the latest tax parameters available.
Important – While we attempt to maintain up-to-date and accurate tax information, we cannot be responsible for changes or discrepancies in tax values. Please check the appropriate tax guide or publication if you are in doubt as to the accuracy of any tax value.
Making Manual Changes to Contributions:
To manually edit/modify the Contributions, follow these steps:
Make the necessary changes and save.
If, as an employer, you have a reduced EI Employer rate, make sure to manually adjust the EI Employer Rate (%) to reflect your rate. Each time you click on “Load 20XX Values,” you will need to manually change the EI Employer Rate (%), because this will cause all of the fields to revert to the default values.