2016 Canadian Payroll Deductions: Quick Reference Guide

November 17, 2015 Marlo Hertling

*Subscribe here as we will be updating this resource as new rates become available.

2016 Canadian Payroll Deductions, Federal and Provincial TD1 Changes, CPP Deductions, WCB, WSIB

Get all the 2016 Canadian Payroll deduction information you need from our quick reference guide.

Canada Pension Plan (CPP) & Québec Pension Plan (QPP)

  CPP QPP
Maximum pensionable earnings $54,900 $54,900
Annual basic exemption $3,500 $3,500
Maximum contributory earnings $51,400 $51,400
Contribution rate (%) 4.95 5.325
Maximum employee contribution $2,544.30 $2,737.05
Maximum employer contribution $2,544.30 $2,737.05

 

Employment Insurance (EI) & Québec Parental Insurance Plan (QPIP)

  Federal EI Québec EI QPIP
Annual maximum insurable earnings $50,800 $50,800 $71,500
Premium/contribution employee rate (%) 1.88 1.52 0.548
Premium/contribution employer rate (%) 2.632 2.128 0.767
Annual maximum employee premium $955.04 $772.16 $391.82
Annual maximum employer premium $1,337.06 $1,081.02 $548.41

 

Worker's Compensation Rates (WCB, WSIB, & CSST)

Province/Territory Maximum Assessable Earnings
British Columbia $80,600
Alberta $98,700
Saskatchewan $69,242
Manitoba $125,000
Ontario $88,000
Québec $71,500
New Brunswick $61,800
Nova Scotia $58,200
Prince Edward Island $52,200
Newfoundland and Labrador $62,540
Yukon $84,837
Northwest Territories $88,600
Nunavut $88,600

 

Pension Adjustment Limits

Limit Amount
Money Purchase limit $26,010
RRSP annual contribution limit $25,370
Year's Maximum Pensionable Earnings limit $54,900
DPSP annual contribution limit (1/2 of MP limit) $13,005
Defined benefit limit – [(Maximum pension benefit $2,890.00) X 9] - $600.00 $25,410
TFSA limit $5,500

 

Federal TD1 Changes for 2016

Federal TD1 Field (form) 2016 2015
Basic personal $11,474 $11,327
Child amount $2,121 $2,093
Age amount $7,125 $7,033
Pension income amount $2,000 $2,000
Education amount (full-time) $465/mo $465/mo
Education amount (part-time) $140/mo $140/mo
Disability amount $8,001 $7,899
Spouse or common-law partner amount $11,474 $11,327
Amount for eligible dependent $11,474 $11,327
Caregiver amount $4,667 $4,608
Amount for infirm dependent 18+ $6,788 $6,700

 

Provincial TD1 Changes for 2016

Basic Personal Amount 2016 2015
Alberta (form) $18,454 $18,214
British Columbia (form) $10,027 $9,938
Manitoba (form) $9,134 $9,134
New Brunswick (form) $9,758 $9,633
Newfoundland and Labrador (form) $8,802 $8,767
Northwest Territories (form) $14,081 $13,900
Nova Scotia (form) $8,481 $8,481
Nunavut (form) $12,947 $12,781
Ontario (form) $10,011 $9,863
Prince Edward Island (form) $7,708 $7,708
Québec (form) $11,550 $11,425
Saskatchewan (form) $15,843 $15,639
Yukon (form) $11,474 $11,327

 

Minimum Wage Info

Jurisdiction Hourly Rate Effective Date
Alberta (most employees) $11.20 10/01/2015
Alberta (employees serving alcohol on a licensed property) $10.70 10/01/2015
BC (most employees) $10.45 9/15/2015
BC (employees serving alcohol on a licensed property) $9.20 9/15/2015
Manitoba (most employees) $11.00 10/01/2015
Manitoba (security guard workers) $11.75 10/01/2015
New Brunswick $10.65 4/01/2016
Newfoundland & Labrador $10.50 10/01/2015
Northwest Territories $12.50 6/01/2015
Nova Scotia (most employees) $10.70 4/01/2016
Nova Scotia (inexperienced workers) $10.20 4/01/2016
Nunavut $13.00 4/01/2016
Ontario (most employees) $11.40 10/01/2016
Ontario (students under 18 who work 28 hours or less per week) $10.70 10/01/2016
Ontario (employees serving alcohol on a licensed property) $9.90 10/01/2016
Prince Edward Island $10.75 6/01/2016
Prince Edward Island $11.00 10/01/2016
Québec (most employees) $10.75 5/01/2016
Québec (employees receiving tips) $9.20 5/01/2016
Saskatchewan $10.50 10/01/2015
Yukon $11.07 4/01/2016

Looking for the 2015 Guide? Click here.

Keep On Learning

If you liked this resource, subscribe for email updates to get the latest Canadian Payroll tips and insights from Avanti. Subscribe here.

Previous Article
Payroll is More Than Just Timely, Accurate Pay
Payroll is More Than Just Timely, Accurate Pay

One of the most important, and unmentioned, roles that payroll professionals often play in their organizati...

Next Article
Support Your Local Payroll Professional
Support Your Local Payroll Professional

Pay it forward and support your local Payroll Professional by completing (and sharing) these surveys today.