(Sep. 14/12) The government announced today that the maximum insurable earnings for employment insurance (EI) will increase from $45,900 to $47,400 in 2013. In addition, EI employee premiums will increase by five cents and employer premiums will jump seven cents.
The new rates
With these changes:
CRFA lobbied the government to limit EI premium increases and ensure long-term, stable premium rates. In the spring budget, government announced a maximum premium increase of five cents per $100 of earnings – a lower maximum than the previous limits of 15 cents and 10 cents – until the EI Operating Account is in balance. (The account is currently $9 billion in deficit.)
The government also followed through on its promise to announce maximum insurable earnings earlier in the year so businesses have more time to plan for 2013. Small businesses that expand their payroll will continue to receive an EI credit of up to $1,000 in 2013.