EI Premium Rates 2026 Canada: Employee & Employer Contributions
Everything you need to know about Employment Insurance deductions for 2026 - rates, maximums, and how it affects your take-home pay.
2026 EI Numbers at a Glance
1.63%
Employee Rate
$1,123
Max Premium
$68,900
MIE
EI premiums are another mandatory deduction that comes off every paycheque. The good news? EI rates are lower than CPP. The bad news? You still have to pay them. Here's exactly what you'll contribute in 2026.
2026 EI Premium Rates
| Component | Employee | Employer |
|---|---|---|
| Premium Rate | 1.63% | 2.28% |
| Maximum Insurable Earnings (MIE) | $68,900 | |
| Maximum Annual Premium | $1,123.07 | $1,572.30 |
Once you earn $68,900 in the year, you stop paying EI premiums. For most people earning under that amount, you'll pay throughout the year.
Quebec Has Different Rates
If you work in Quebec, your EI rates are lower because Quebec runs its own parental insurance program (QPIP).
Quebec 2026 EI Rates:
- Employee Rate: 1.30% (vs 1.63% elsewhere)
- Maximum Premium: $895.70
- QPIP Premium: Additional 0.494% (employee)
Quebec residents pay QPIP instead of the federal parental benefits portion of EI.
How to Calculate Your EI Premium
EI is simpler than CPP - no basic exemption:
EI Premium = Income × 1.63%
Capped at $1,123.07 (when you hit $68,900 in earnings)
Example Calculations
Earning $50,000/year:
- EI premium: $50,000 × 1.63% = $815.00
- Monthly deduction: ~$68
Earning $80,000/year:
- EI premium: Maximum $1,123.07
- You hit the cap at $68,900 of earnings
- After ~October, no more EI deductions for the year
EI Rates Over Time
| Year | Rate | MIE | Max Premium |
|---|---|---|---|
| 2026 | 1.63% | $68,900 | $1,123.07 |
| 2025 | 1.64% | $65,700 | $1,077.48 |
| 2024 | 1.66% | $63,200 | $1,049.12 |
| 2023 | 1.63% | $61,500 | $1,002.45 |
| 2022 | 1.58% | $60,300 | $952.74 |
Self-Employed and EI
Unlike CPP, self-employed individuals are NOT required to pay EI premiums. However, you can opt in to get access to EI special benefits (maternity, parental, sickness, compassionate care).
Should You Opt In?
Consider opting in if you're planning to have children or might need sickness benefits. You must register at least 12 months before making a claim. Once you opt in, you can't opt out.
Combined Payroll Deductions 2026
Here's what total mandatory deductions look like for different income levels:
| Annual Income | CPP | EI | Total |
|---|---|---|---|
| $40,000 | $2,171 | $656 | $2,827 |
| $60,000 | $3,362 | $984 | $4,346 |
| $80,000 | $4,304 | $1,077 | $5,381 |
| $100,000 | $4,304 | $1,077 | $5,381 |
Note: This doesn't include income tax deductions.
The Bottom Line
EI premiums for 2026 are 1.63% of your income up to $68,900, with a maximum contribution of $1,123.07. Combined with CPP, that's over $5,000 in mandatory deductions before you even get to income tax.
Understanding these deductions helps you budget accurately. Your gross salary and your net pay are very different numbers.
Related Guides:
Know Your Actual Take-Home Pay
Waypoint Budget helps you budget based on what actually hits your bank account - not your gross salary.