Reduced EI Savings - Paying employee portions
I have a reduced EI Rate that I have to issue the savings back to the employees and want to do it on a per-pay-period basis. How do I setup the system?
You can setup the system to repay the employees at reduced EI Premium benefit.
Steps:
- Go to Setup > Payroll Settings > Payroll Categories.
- Click the "+" button.
- Create a benefit category.
- Add all payroll categories to the formula that are subject to Employment Insurance
- Set the formula to be 0.41001 % if your reduced EI Premium is 1.169. Check the CRA if you are not sure: link
- On the "Advanced" tab, turn on the "Maximum per year" flag.
- Set the value based on employee amount. Check the CRA if you are not sure: link
- Assign the category to each employee that is subject to the reduced EI Rate.
- Click the Save button.
- Create an earning payroll category.
- Add the benefit category created above to the formula.
- Assign the category to each employee that has the benefit category on their profile.
Optional-Employer Savings category
- Head to Setup > Payroll settings > Payroll Categories
- Click the "+" button.
- Select the benefit category.
- Add the benefit category created above to the formula.
Assign the Category to Employees
Steps:
- Head to Employees > Master Paycard.
- Select the Benefits tab.
- Check off the category you have added.