as per my knowledge,in Canada, here is:
1.) as a payrolled employee, the employer pays EI x 1.4, healthcare tax, and CPP x 2 which will not effect to your net pay. for example:
your rate is $50 per hour, 40 hours per week with bi-weekly pay, so, you get $50 x 40 x 2 = $4000 BEFORE taxes.
assumed that your income tax is $900, your EI is $200, your CPP is $500, so your net pay is $4000 - 900 - 200 - 500 = $2400.
Your employer will pay EI $200 x 1.4 = $280, and CPP = $1000.
after a certain amount of hours that you worked, you will be able to apply for EI benefits, upon Revenue Canada's approval.
2) on the other hand, if you pay EI, CPP, you are self-employeed status so you may NOT be able to apply for the EI benefit under the current EI law.
In your case, you need to:
a) make it clear that if your employer pays EI 1.4 for you ($280), and you only pay $200, not $480 ( $200 + $280).
b) it should state on the employement letter (your offer) and you should not miss this part.
just for your reference. you should consult with your local accountant, and ask the HR in that company.
please let us know your result.
1.) as a payrolled employee, the employer pays EI x 1.4, healthcare tax, and CPP x 2 which will not effect to your net pay. for example:
your rate is $50 per hour, 40 hours per week with bi-weekly pay, so, you get $50 x 40 x 2 = $4000 BEFORE taxes.
assumed that your income tax is $900, your EI is $200, your CPP is $500, so your net pay is $4000 - 900 - 200 - 500 = $2400.
Your employer will pay EI $200 x 1.4 = $280, and CPP = $1000.
after a certain amount of hours that you worked, you will be able to apply for EI benefits, upon Revenue Canada's approval.
2) on the other hand, if you pay EI, CPP, you are self-employeed status so you may NOT be able to apply for the EI benefit under the current EI law.
In your case, you need to:
a) make it clear that if your employer pays EI 1.4 for you ($280), and you only pay $200, not $480 ( $200 + $280).
b) it should state on the employement letter (your offer) and you should not miss this part.
just for your reference. you should consult with your local accountant, and ask the HR in that company.
please let us know your result.
