Employer Payroll Cost Calculator

See the true cost of hiring — including CPP, EI, vacation pay, and WCB.

Employee's Annual Salary

Province

Vacation Pay Rate

WCB / WSIB Rate — per $100 of payroll

Annual Benefits Cost — health, RRSP match

True Cost to Employ

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{{ overheadStr }} above base salary · {{ multiplierStr }}× salary

Base Salary

Employer Overhead

Monthly Cost

Hourly Cost · 2,080 hrs

Cost Breakdown

Base Salary{{ salaryStr }}

Vacation Pay ({{ vacationStr }})+{{ vacationAmtStr }}

Employer CPP (5.95%)+{{ cppStr }}

Employer EI (1.4× employee)+{{ eiStr }}

WCB / WSIB Premium+{{ wcbAmtStr }}

Benefits+{{ benefitsStr }}

Total Employment Cost{{ totalStr }}

Where Your Money Goes

Salary & vacation Statutory (CPP/EI/WCB) Benefits

Note: Employers pay CPP at 5.95% (matching the employee, on earnings up to $71,300) and EI at 1.4× the employee rate (1.4 × 1.64% on earnings up to $65,700). Vacation pay is typically 4% (2 weeks) and WCB/WSIB rates vary widely by industry. Quebec uses QPP/QPIP at different rates. This estimates the typical “loaded” cost — consult a payroll professional for exact figures.

The True Cost of Hiring an Employee

An employee’s salary is only part of what they cost you. As an employer, you’re responsible for several mandatory contributions on top of wages: your share of CPP (5.95%, matching the employee), EI (1.4× the employee’s premium), vacation pay (typically 4%), and WCB/WSIB premiums that vary by industry risk.

Add optional benefits like health coverage or an RRSP match, and the “loaded” cost of an employee typically runs 15–30% above their base salary. Understanding this fully-loaded number is essential for budgeting, pricing your services, and deciding between employees and contractors.

Disclaimer: This calculator provides estimates using 2025 CPP and EI rates and maximums. WCB/WSIB rates vary significantly by province and industry classification. Quebec employers contribute to QPP and QPIP at different rates. Vacation entitlements increase with years of service in some provinces. Consult a payroll professional or accountant for figures specific to your business.

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