Problem
Review the following situations and determine what earnings & benefits are subject to Canada / Quebec Pension Plan and Employment insurance. After you have determined the pensionable and insurable earnings calculate the CPP/QPP and EI employee deductions. Use rates from 2022 to determine your calculations. Only the earnings provided should be included in your calculations. You do not need to calculate vacation or any other amounts.
Jane works in Ontario and is paid on a bi-weekly basis. She has the following type of earnings & benefits. Determine which are pensionable and insurable and then calculate the CPP and EI deductions.
• Regular $1800
• Vacation Payout $500
• Night Shift Premium $50
• Group Life - Employer paid Taxable benefit $15.