EI Deduction Checker
See how your EI premium is calculated and whether the deduction on your pay stub looks correct.
Written and reviewed by Rocco Clayfield, Founder & DirectorLast reviewed
Short answer
Employment Insurance (EI) premiums are mandatory deductions taken from most employees' pay in Canada outside Quebec. Your premium is calculated as a percentage of your insurable earnings up to an annual maximum insurable earnings amount set by the federal government. Your employer also pays a premium on your behalf at a higher rate. Once your insurable earnings reach the annual maximum, no further EI premiums should be deducted for that calendar year.
The Employment Insurance (EI) deduction is one of the three standard statutory deductions on a Canadian pay stub, alongside income tax and CPP. EI premiums fund the federal EI program, which provides temporary income replacement for workers who lose their jobs or need to take leave for qualifying reasons such as illness, parental leave, or caregiving.
Your EI premium is deducted as a percentage of your insurable earnings each pay period. Insurable earnings generally correspond to your gross employment income, subject to an annual maximum insurable earnings (MIE) ceiling. Once you reach that ceiling, EI deductions stop for the rest of the calendar year.
EI premiums are set annually by the Employment Insurance Commission and confirmed by the federal government. Because the rate and maximum change each year, always check the CRA website for current figures. If your pay stub shows EI amounts that seem inconsistent with your earnings or that continue past what you expect, this page can help you understand what to look for.
What this page helps you check
- Whether an EI line appears on your pay stub as an eligible employee
- Whether the EI amount is proportional to your insurable earnings
- Whether the YTD EI total is approaching but not exceeding the annual maximum premium
- Whether EI deductions stopped after the maximum insurable earnings ceiling was reached
- Whether your reported insurable earnings match your gross pay
- Whether a change in employment type or contract status may have affected your insurability
- Whether you have a reduced EI rate through a registered employer plan
- Whether your T4 Box 24 insurable earnings match your expectations
How EI Premiums Are Calculated
Your EI premium is calculated by multiplying your insurable earnings for the pay period by the employee premium rate. The rate is set annually, and the same rate applies to all insurable earnings up to the maximum insurable earnings (MIE) for the year. Once your cumulative insurable earnings reach the MIE, your employer must stop deducting EI premiums.
Your employer also pays an EI premium on your earnings, at a higher rate than the employee contribution. You do not see this on your pay stub as a deduction from your pay, but it is a cost your employer bears as part of the total cost of employing you. Some employers with approved wage-loss replacement plans qualify for a reduced EI rate, which is passed through to employees — if this applies to you, your premium may be lower than the standard rate.
What Counts as Insurable Earnings
Most regular employment income counts as insurable earnings, including salary, hourly wages, overtime pay, commissions, and certain taxable benefits. Some types of payments are excluded, such as certain retiring allowances, some types of investment income, and payments made to workers classified as self-employed independent contractors.
Your pay stub may show insurable earnings as a separate line, or the figure may only appear on your T4 at year-end in Box 24. If your insurable earnings look lower than your gross pay without an obvious reason, it may be worth asking payroll what has been excluded and why.
EI and Multiple Employers
If you work for more than one employer during the year, each employer deducts EI independently. This can result in over-contributions if your combined insurable earnings across all jobs exceed the annual maximum. Over-contributed EI premiums are refundable when you file your income tax return, so you will get the excess back, but confirming the situation before filing avoids surprises.
Unlike CPP, there is no form you file mid-year to coordinate EI across employers. The reconciliation happens through your tax return.
EI on Your T4 and Tax Return
Your total EI premiums for the year appear in Box 18 of your T4. Your total insurable earnings appear in Box 24. Both figures should align with your year-end pay stub YTD totals. EI premiums generate a non-refundable federal tax credit, which reduces the income tax you owe when you file your return. If Box 18 on your T4 is blank despite regular EI deductions throughout the year, ask your employer to review the T4.
2026 rates at a glance
Confirmed from official sources as of June 2026. Rates change every January — always check the linked official source for the current figures before relying on them.
EI premiums (2026)
| Maximum Insurable Earnings (MIE) | $68,900 |
| Employee rate — outside Quebec | $1.63 per $100 (1.63%) |
| Maximum employee premium — outside Quebec | $1,123.07 |
| Employee rate — Quebec(lower because of QPIP) | $1.30 per $100 (1.30%) |
| Maximum employee premium — Quebec | $895.70 |
Quebec works differently
Common red flags worth checking
These do not automatically mean there is an error. They are simply lines worth a closer look, or worth asking payroll to explain.
No EI line on your pay stub as an eligible employee
Most employees are insurable under the EI Act and should have EI deducted. A missing EI line could indicate a payroll setup error or an incorrect classification of your employment status.
EI deductions continue past the annual maximum
Once your cumulative insurable earnings reach the annual maximum, EI deductions should stop for the year. Continued deductions could mean the payroll system has not been correctly configured, or your earnings are being calculated differently than expected.
EI deducted on earnings that should be excluded
Certain types of payments are not insurable. If EI is being applied to a payment that should be excluded, the insurable earnings figure on your T4 may be overstated, which could affect benefit calculations.
EI deducted at the full rate when a reduced rate should apply
Employers with registered wage-loss replacement plans may qualify for a reduced EI premium rate, with the savings shared with employees. If you understand your employer has such a plan but your stub shows the standard rate, ask HR to confirm.
T4 Box 24 insurable earnings do not match Box 14 employment income
These figures often differ for legitimate reasons, but a large unexplained gap between the two boxes is worth querying with your employer before you file your tax return.
EI amount suddenly doubles or drops sharply without a pay change
An unexplained spike or drop in EI in a single pay period, without any change to your pay rate or hours, could reflect a correction or a payroll error. Ask payroll for a breakdown of how the amount was calculated.
Want this checked on your real pay stub?
Upload your pay stub or payroll document and get a plain-English breakdown with possible questions to ask payroll.
What to ask payroll or HR
Calm, specific questions get clearer answers. You can copy any of these, or build a full message with the Payroll Message Generator.
- “Can you confirm that I am classified as an insurable employee under the EI Act?”
- “Why does my insurable earnings figure differ from my gross pay on this pay stub?”
- “My YTD EI total seems to have passed the annual maximum premium — why are deductions still appearing?”
- “Does our workplace have a registered wage-loss replacement plan that qualifies for a reduced EI rate?”
- “I have two jobs this year and I am concerned about over-contributing to EI — can you explain how the year-end reconciliation works?”
- “Can you confirm that Box 24 on my T4 will reflect the correct insurable earnings amount?”
Frequently asked questions
Is EI deducted from every paycheque?
Yes, for eligible employees, EI is deducted each pay period until your cumulative insurable earnings reach the annual maximum insurable earnings. After that point, no further EI premiums should be deducted for the rest of the calendar year.
Can I opt out of EI?
Most employees cannot opt out of EI. Some specific groups — such as certain self-employed individuals or workers in excluded employment categories — may not be required to contribute. If you believe your employment may be excluded, check the CRA website or speak with a tax professional.
Do I need to pay EI if I am self-employed?
Self-employed individuals are generally not required to pay EI, but they may voluntarily opt in to access certain special benefits. If you opt in, premiums are remitted through your annual tax return.
What does EI do for me?
EI provides temporary income support if you lose your job through no fault of your own, or need time off for qualifying reasons such as illness, pregnancy, parental leave, or caregiving. Your eligibility and benefit amount depend on your insurable earnings, hours worked, and regional unemployment conditions.
Where does EI appear on my T4?
Your total employee EI premiums for the year are in Box 18 of your T4 slip. Your total insurable earnings are in Box 24.
What if I over-contributed to EI working multiple jobs?
If your combined insurable earnings across all employers exceed the annual maximum, you may have over-contributed. You can claim a refund of the excess through Schedule 10 on your federal income tax return.
Is EI the same in Quebec?
Not exactly. Quebec residents pay a reduced federal EI premium and a separate QPIP (Quebec Parental Insurance Plan) premium. Both appear on a Quebec pay stub. For Quebec-specific details, visit our QPIP Deduction Checker.
Are EI premiums tax-deductible?
EI premiums generate a non-refundable federal tax credit that reduces the income tax you owe. They are not deducted from your income directly, but the credit lowers your overall tax bill when you file your return.
Official sources for this page
Every figure here is derived from these. Where a number matters to you, read it at the source — PayStub IQ Canada explains the rules, it does not set them.
- EI premium rates and maximums — Canada Revenue Agency
- EI regular benefits: how much you could receive — Employment and Social Development Canada
Get told when Canadian payroll rates change
Seven provinces and territories have already published a minimum wage increase for the next few weeks, and every federal and provincial figure is re-indexed each January. One short email when a rate actually changes. Nothing else, ever.
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Helpful guidance, not advice
PayStub IQ Canada provides educational payroll explanations based on the information visible in your document. It does not provide legal, tax, accounting, payroll, CRA, Revenu Québec, or employment standards advice. For official decisions or corrections, contact your employer, payroll department, CRA, Revenu Québec, your provincial or territorial employment standards office, or a qualified professional.