2016 Employment Insurance (EI) Maximum Insurable Earnings
Maximum Insurable Earnings For 2016:
On September 24, 2015, the Canada Revenue Agency announced the maximum insurable earnings and Employment Insurance (EI) premiums for 2016. The rate remains unchanged at 1.88% for employees, and 2.632% (1.4 times of 1.88%) for employers. Contributors who earn more than $50,800 in 2016 are not required or permitted to make additional contributions to EI.
Below is the comparison:
| 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | |
| Maximum Insurable Earnings | $50,800 | $49,500 | $48,600 | $47,400 | $45,900 | $44,200 |
| Basic Exemption | Nil | Nil | Nil | Nil | Nil | Nil |
|
EMPLOYER CONTRIBUTION |
||||||
| Maximum employer contribution | $1,337.06 | $1,302.84 | $1,279.15 | $1,247.57 | $1,175.96 | $1,101.46 |
| Contribution rate | 2.632% | 2.632% | 2.632% | 2.632% | 2.562% | 2.492% |
|
EMPLOYEE CONTRIBUTION |
||||||
| Maximum employee contribution | $955.40 | $930.60 | $913.68 | $891.12 | $839.97 | $786.76 |
| Contribution rate | 1.88% | 1.88% | 1.88% | 1.88% | 1.83% | 1.78% |
Please note that this applies to each job. For example, during the year, if you switch employers, each employer will deduct the EI premium without considering the amount of EI premiums paid with the previous employer. The employee will receive the refund of any over-payments when income tax and benefit return is filed with the Canada Revenue Agency.
(This posting is for personal educational purposes only. Please consult your tax advisor for your specific situation).
Associated Links:
Related news to maximum insurable earnings;