Thursday, January 3, 2008
What's New for Payroll?
Canada Pension Plan (CPP)
* CPP pensionable earnings ceiling increased to $44,900 for 2008 (up from $43,700 in 2007)
* Employer and Employee contribution rates for 2008 will remain unchanged at 4.95%
* Maximum employer and employee contribution to the plan for 2008 increased to $2,049.30, and the maximum self-employed contribution will be $4,098.60 (maximums in 2007 were $1,989.90 and $3,979.80)
Employment Insurance (EI) rates
* Employer premiums have been reduced to $2.42 per $100 of insurable earnings (from $2.52 in 2007)
* Employee premiums have been reduced to $1.73 per $100 of insurable earnings (from $1.80 in 2007)
* Maximum insurable earnings have increased to $41,100 (from $40,000 in 2007)
* Maximum contributions have been reduced to $995.44 for employers and to $711.03 for employees
For a complete listing of what’s new for payroll in 2008, please visit the CRA site or ask your accountant:
http://www.cra-arc.gc.ca/tax/business/topics/payroll/whatsnew-e.html ¶ 1/03/2008
* CPP pensionable earnings ceiling increased to $44,900 for 2008 (up from $43,700 in 2007)
* Employer and Employee contribution rates for 2008 will remain unchanged at 4.95%
* Maximum employer and employee contribution to the plan for 2008 increased to $2,049.30, and the maximum self-employed contribution will be $4,098.60 (maximums in 2007 were $1,989.90 and $3,979.80)
Employment Insurance (EI) rates
* Employer premiums have been reduced to $2.42 per $100 of insurable earnings (from $2.52 in 2007)
* Employee premiums have been reduced to $1.73 per $100 of insurable earnings (from $1.80 in 2007)
* Maximum insurable earnings have increased to $41,100 (from $40,000 in 2007)
* Maximum contributions have been reduced to $995.44 for employers and to $711.03 for employees
For a complete listing of what’s new for payroll in 2008, please visit the CRA site or ask your accountant:
http://www.cra-arc.gc.ca/tax/business/topics/payroll/whatsnew-e.html ¶ 1/03/2008