Unlocking the Potential of Electronic Signature Lawfulness for Payroll Deduction Authorization in Canada

How to eSign a document: electronic signature lawfulness for Payroll Deduction Authorization in Canada

hello everyone I hope you guys are doing great in this video I will be explaining you about payroll deductions in Canada a lot of questions when people move to Canada and then they want to know that how the salary is shaping up you might see oh my God okay I'm getting so and so salary but when the salary actually comes in you see a lot of deductions and not everything works like your salary divided by 12 and although you know that there will be deductions but what kind of deductions we have here are they a little different maybe from what you have in your own country any you have had in your home country so let's understand these deductions and before we move forward I would like to tell you that salary is here um come differently so for instance you will see certain employers paying you weekly some would pay you bi-weekly semi-monthly or monthly so it completely varies um where you're working and what are payroll deductions that's what a major focus is so there are these are the deductions from your salary it could be income tax which goes towards funding public systems or other deductions for your financial support or assistance whenever required um these details are included in your pay stub or your salary slip now it's a pay stub or a salary slip it includes all the information about what salary is coming into your account what is being deducted these are the record of your employment earnings which of course you would have access to okay now the types of payroll deductions in Canada there are three major payroll deductions then you need to understand the Canada Pension Plan of CPP cubic pension plan if you're in Quebec employment insurance premium and income tax deductions apart from these you could have your group pension plan or group retirement plan union dues or your premium for add-on benefits not everyone would have it but yeah the first three everyone would have it now what is the Canada mentioned planets and its understand the Canada Pension Plan it's a government plan that provides a taxable pension to replace part of your income after you retirement so that you can get a pension after you retire so what is the age I'm going to tell you the maximum earning under this plan is 66 600 which means if you earn more than that you cannot contribute anymore that's the maximum you would be contributing no matter what your earning is so if that's a question that's already answered before the exemption amount is 33 500 and the contribution is 5.95 percent equal from employer and employee then while Quebec has its own Pension Plan cubic has its own everything so it's not applicable there now who needs to make CPP or qpp in case of qubit employers are bound to pay by law but certain conditions need to be met which would mean you're in a pensionable employment you're between 18 and 69 years old and you're not considered disabled by CPP or qpp and then you have to make the contribution because it is mandatory you cannot just choose to work out of it uh the standard age to start receiving is the pension is 65 or you can choose to start it as early as 60 or as late as 70 that means you can still contribute more second deduction is EI employment insurance now what is it this provides you temporary financial assistance if you're eligible and if you've lost your job now there'll be conditions I'm going to tell you that what do you mean by lost your job well it has to be no fault of yours first of all but let's see the contributions here the maximum annual in short learning is 61 500. the employee contribution is 1.63 an employer is 1.4 times the employee so they pay more than what you pay that's their contribution and that's why you cannot just leave the work by your own wish because you don't feel like so what does EI cover like I said you cannot just leave the work if you lose your job through no fault your own then you're eligible you can demonstrate you are able and willing to look you're active looking for a job you have been without work and pay for at least seven consecutive days and you've acquired the you have the number of insurable employment hours that makes you eligible so if everything is good then you are eligible for employment insurance if everything is in sync now the third major type of deduction is income tax deduction these are the total amount on your annual earnings minus the total amount on your personal tax credit return or TDI form if the amount is more you feel more deductions are made you can ask your employer to lower the deductions or you can whenever you'll file an income tax you can always have a return it always looks it always feels good when you file something and money comes back so if you feel something like this has happened you will always get the amount find return When You're Gonna Fill it or you can contribute in rrsp or the retirement saving plan so that you have to pay a little less in terms of your attacks these are the slabs starting from 15 if you want fifty thousand one ninety seven let dollars uh less than that and it can go it will move up 20.5 percent 26 29 and it doesn't stop there of course you could be earning more than 221 708 dollars in that case you would be paying 33 percent in case you're earning more than that so a slide would just come up and it will just reflect what I'm saying that means if you're earning more than if you're earning more than that so here we go I really hope the video was informational I try to give you as much information in this simple manner as I could but still if you have some questions with respect to your payroll deductions or understanding the payroll in a better way please feel to reach out to me you can just write in the comments and I'll be happy to help or do whatever I can to make it more simpler for you so thank you so very much for watching the video and have a great day thank you bye