Has anyone encountered a calculation error for EI for Canadian/Ontario payroll?

I have noticed that the employee EI deduction for Ontario payroll is calculated in QBO Payroll at a rate lower than 1.66% (for fixed salary, bi-weekly pay). Has anyone encountered this error? Any feedback is appreciated. Thanks.


Answer

1 person found this helpful

Hi Christine_B,

We've seen a few reports of the EI calculating at a lower percentage than the new 2018 rate, and our engineering department is working to get it sorted out. If you'd like to be added to the notification list, please give us a call at the number found on the front page of this site, https://community.intuit.com/quickbooks-online-ca.

However, there is another possibility that may be causing the lowered EI amount. If you started using QuickBooks Online Payroll for the account this year, there was an option during setup to enter YTD payroll for the employees before you started running cheques. If the taxes on these YTD amounts didn't come out to the standard percentages, the system will automatically adjust the first few cheques until they balance.

The Payroll Details report can help you check on this. To do this:

  1. Go to the Reports tab and select All Reports.
  2. Choose Manage Payroll.
  3. Click Payroll Details.
  4. Select a date range that includes the beginning of the year to your first pay run.
  5. Choose an employee. This works best if you take one employee at a time.
  6. Click Run Report.

You should see a summary at the bottom for Historical Cheques. You can use the numbers here to calculate the EI percentage from those YTD amounts and see if it was off.

Feel free to reach out if you have any further questions.

Sharon

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IntuitSharon , Community Support Specialist
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