Today, we're taking payroll to the next level for those in the Great White North. Forget the basics – we're talking about the real deal. So buckle up, because we're about to break down five essential factors that make up the true cost of compensating your rockstar team in Canada.
A FAIR MARKET WAGE //
Alright, let's start with the basics. A fair market wage is your foundation. You want your team to thrive, right? Do your homework, know your industry standards, and pay your people what they're worth. It's not just about dollars; it's about showing them you value their hustle.
EMPLOYMENT INSURANCE (EI) //
Listen up – Employment Insurance is not an option; it's a must. It's the safety net your employees need when life throws a curveball. Factor in those EI contributions, and don't play fast and loose with it. We're talking about financial security for your team; that's non-negotiable.
CANADIAN PENSION PLAN (CPP) //
Retirement might feel lightyears away, but the CPP is your way of securing your team's future. Don't skip out on those contributions. Your payroll budget should reflect the long game – because happy employees today mean a successful retirement tomorrow.
VACATION PAY //
Vacation is sacred. You owe it to your team to budget for those well-deserved breaks. It's not just about the dollars; it's about promoting a healthy work-life balance. Plan ahead, make it a priority, and watch your team come back recharged and ready to conquer.
WORKERS COMPENSATION BOARD (WCB) //
Safety first, Founders. Accidents happen, and that's where WCB comes in. Budget for those premiums like it's your business lifeline because, well, it is. Protect your team, protect your bottom line – it's that simple.
Verify federal EI and CPP rates through the Government of Canada
Verify provincial Vacation rates through Humi Help Centre
Verify provincial WCB rates through the Association of Workers' Compensation Boards of Canada
THE BOTTOM LINE IS THIS...
Dial in on those payroll deductions to keep your bottom line in check.
ABOUT TAUNYA WOODS RICHARDSON
Taunya is well-known for her straight-shooting, bottom-line-building approach to founder finance. As the Founder of Nail The Numbers, she brings 30+ years of experience in entrepreneurship, finance, and neuroeconomics to our mission of strengthening the minds and bottom lines of Founders across North America.