The simple answer is your CPP and EI contributions just back. You may be aware that in 2020, CPP maximum annual pensionable earnings was 58,700. If you earn more than that we did not contribute for the rest of the amount. Similarly, EI maximum annual insurable earnings in 2020 was 54,200 and you didn’t charge …
Why is my January 1st payment significantly low compared to my pay in last December? Read More »
Does a question come to your mind whether you should make a joint (coupled) tax return or file your tax return separately from your spouse? Which option gives more return? In Canada, TAX rules do not allow spouses or common-laws to file joint income tax returns. Each Canadian resident files their own tax return. When …
Coupled Tax Return or Individual Tax Return? Which one is the better option? Read More »
You may be aware that Federal Government decided to change the Federal Tax, CPP and EI. Following chart will show the major differences: How do these changes impact on your paycheck? If you earn $61,600 or above in 2020 you contributed $2,898 for CPP whereas you need to contribute $3,166.45 in 2021. Therefore, annually your …
Did you review your pay rate? Is it up to 2 decimal or 4 decimal? For example, you were hired for a company with a salary of $45,000. You have to work 40 hours per week and 2080 hours (40hrs x 52 weeks) per year. Therefore, the rate was calculated as $21.63 (2 decimal points) …
Paychecks: Magic of Decimal Points before rounding! Read More »
There are 5 ways you may make yourself be benefited if you are eligible! 1. Government of Canada’s First-Time Home Buyer Incentive 2. Federal Tax Credit 3. Federal GST/HST Rebate 4. Provincial GST/HST Rebate 5. Financial Institute’s (Bank) Cash Bonus 1. Government of Canada’s First-Time Home Buyer Incentive In case of buying an existing home, you are …
