CA Tax Tools

CPP & EI Calculator

Calculate Canada Pension Plan (CPP) contributions — including CPP2 — and Employment Insurance (EI) premiums based on your annual employment income.

01INPUTS

Income & Location

02RESULTS

CPP Contributions

CPP1 Rate5.9%
Max Pensionable Earnings$74,600
Basic Exemption$3,500
CPP1 Contribution$4,230
CPP2 Rate4.0%
CPP2 Contribution$16
Total CPP$4,246

EI Premiums

EI Rate1.6%
Max Insurable Earnings$68,900
EI Premium$1,123
Total CPP + EI Deductions$5,370

Your employer also contributes $4,246 CPP on your behalf (equal to your CPP contribution).

03BREAKDOWN

Deduction Breakdown

See your full payroll breakdown per paycheque → Payroll Deductions Calculator

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CPP & EI Explained

CPP1: 5.95% on earnings between the basic exemption ($3,500) and the Year's Maximum Pensionable Earnings ($74,600 in 2026). Your employer matches this contribution.
CPP2 (since 2024): An additional 4% on earnings between $74,600 and $85,000 (2026). This creates a second, higher tier of CPP benefits.
EI: 1.63% on insurable earnings up to $68,900 (2026). Your employer pays 1.4× your premium. Quebec residents pay 1.30% because QPIP (Quebec Parental Insurance Plan) covers part of what EI covers elsewhere.

Frequently asked questions

How much CPP do I pay in 2026?

For 2026, CPP1 is 5.95% on earnings between the $3,500 basic exemption and the YMPE of $74,600. Your employer matches this contribution dollar-for-dollar. The maximum employee CPP1 contribution for 2026 is approximately $4,225.

What is CPP2?

CPP2 is the second-tier CPP contribution introduced in 2024. It applies at 4% on earnings between the first earnings ceiling (YMPE $74,600 in 2026) and the second ceiling (YAMPE $85,000 in 2026). Your employer also matches CPP2 contributions, and the additional contributions translate into a higher CPP retirement benefit.

Why is the EI rate different in Quebec?

Quebec residents pay a lower EI rate of 1.30% (vs 1.63% elsewhere) because they contribute to the Quebec Parental Insurance Plan (QPIP), which covers maternity and parental benefits that EI provides outside Quebec.

What is the EI maximum insurable earnings for 2026?

For 2026, EI maximum insurable earnings (MIE) is $68,900. Employees pay EI premiums of 1.63% (1.30% in Quebec) on insurable earnings up to this ceiling. Employers pay 1.4× the employee premium.

Sources

Last updated April 2026. Reflects 2026 tax year rates.

Related Calculators

Last updated May 1, 2026Tax year 2026

Data sources: CRA (canada.ca)

This tool is general information only, not financial advice.

Reviewed by CA Tax Tools Editorial Desk

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