Ontario Payroll rates and HR information updatesOntario Payroll rates and HR information updates

Ontario Provincial Payroll Information

This page provides provincial payroll information for the province of Ontario. Click one of the links below to move directly to the corresponding section. To view Federal information, please click here.

Choose a Topic:

Minimum Wage  Hours of work  Worker's Compensation  Leaves  Statutory Holidays  Minimum Age  Pay Statements  Terminations  Vacationable Earnings  Provincial Health 

 

  • TD1 - Basic Personal Amount - Every person employed in Ontario and every pensioner residing in Ontario can claim the personal exemption amount of $10,354 for 2018.
  • Federal Basic Exemption - The Federal Basic Exemption amount is $11,809 in 2018.

Note: This information is meant to serve as a guide only. Readers are encouraged to consult the full legislation of the Ontario Employment Standards Act. Here are some online resources:


Minimum Wage in Ontario

The province of Ontario has various wage rate standards as follows:

Parties Applicable (requirements) Wage Rate (as of January 1, 2018)
General $14.00 (up from $11.60). It will increase to $15.00 per hour on January 1, 2019.
Students under 18 and working not more than 28 hours per week or during a school holiday $13.15 (up from $10.90). It will increase to $14.10 per hour on January 1, 2019.
Serving liquor on licensed premises $12.20 (up from $10.10). It will increase to $13.05 per hour on January 1, 2019.
Homeworkers $15.40 (up from $12.80). It will increase to $16.50 per hour on January 1, 2019.
Hunting and fishing guides working less than five consecutive hours in a day $70 per day (up from $58.00). It will increase to $75.00 per day on January 1, 2019.
Hunting and fishing guides working five or more hours in a day whether or not the hours are consecutive $140.00 per day (up from $116.00). It will increase to $150.00 per day on January 1, 2019.

Hours of Work in Ontario

The type of employee excluded from this legislature are management, homemakers, teachers, etc.

Period Rate
Maximum 8.00 hours/day or 48.00 hours/week
Minimum 3.00 hours/shift
* ** Exclude statutory hours from overtime calculation and reduce the work week by the statutory hours
Overtime Any hours over 44.00 hours/week
Overtime Rate 1 and 1/2 times the employee's regular rate of pay
Break Period 1/2 hour per consecutive 5 hours worked
Rest Period 11.00 consecutive hours in 24 hr. period and 24.00 consecutive hours each week or 48 hours every two weeks.

Worker's Compensation in Ontario

The Maximum Assessable Earnings amount for 2018 is $90,300. The deadline for submission is the last day of March.

Included
Bonuses Pay in lieu of notice
Commissions Regular salary or wages/overtime
Call in pay Shift premium
Call back pay Sick pay
Car allowances (if taxable) Sick pay on termination
Clothing allowances (if taxable) Standby pay
Gifts (cash) Short-term disability paid by the employer
Gratuities Temporary lay-off with pay
Long-term disability paid by the employer Travel allowances (if taxable)
Maternity with pay Vacation pay/statutory holiday pay
Moving allowances (if taxable)
 
Taxable Benefits such as:
Board & lodging Loans
Company car RRSP/Stock options (if taxable)
Life insurance  
 
Excluded
Directors' fees Severance pay
Pre-retirement with pay (exclude if sick pay) WCB
Retiring allowance WCB-top up

Leaves of Absence in Ontario

Compassionate Care Leave
Time with Employer Employee must notify the employer in writing - and if the leave is sudden, as soon as possible after starting the leave.
Required Notice A physician’s certificate that the patient has a specified, serious medical condition with a significant risk of death occurring within 26 weeks.
Length of Leave 8 weeks
Paid Six weeks of Employment Insurance benefits may be paid to EI eligible employees.
 
Crime-Related Child Death and Disappearance Leave
Time with Employer 6 consecutive months.
Required Notice Written notice, as soon as possible, that the employee will be taking the leave.
Length of Leave

Up to 104 weeks if a child of the employee dies and it is probable, considering the circumstances that the death was the result of a crime. Where it is probable, considering the circumstances, that an employee’s child disappeared as a result of a crime, the employee would be entitled to a leave of up to 52 weeks.

Paid No.
 
Critical Illness Leave
Time with Employer 6 consecutive months.
Required Notice A physician’s certificate that the patient has a specified, serious medical condition with a significant risk of death occurring within 26 weeks.
Length of Leave

Up to 37 weeks in a 52-week period to provide care or support to a critically ill minor child who is a family member of the employee, and up to 17 weeks in a 52-week period for an employee to provide care or support to a critically ill adult who is a family member of the employee.

Paid No. Up to 35 EI weeks may be available.
 
Domestic or Sexual Violence Leave
Time with Employer 13 consecutive weeks
Required Notice N/A
Length of Leave

Up to 10 days and up to 15 weeks of leave if the employee or a child of the employee experiences domestic or sexual violence or the threat of domestic or sexual violence.

Paid The first five days of the leave.
 
Family Caregiver Leave
Time with Employer No requirements.
Required Notice Written notice as soon as possible.
Length of Leave

Up to 8 weeks to provide care or support to certain family members for whom a qualified health practitioner has issued a certificate stating that he or she has a serious medical condition.

Paid No.
 
Family Medical Leave
Time with Employer No requirements.
Required Notice Written notice as soon as possible.
Length of Leave

Up to 28 weeks to provide care and support to any critically ill family member of the employee with a significant risk of death occurring within a period of 26 weeks.

Paid No. Up to 26 EI weeks may be available.
 
Organ Donor Leave
Time with Employer 13 weeks
Required Notice At least two weeks or as much notice as is reasonable in the circumstances.
Length of Leave Up to 13 weeks.
Extension of Leave Employees are entitled to extend their leave by up to an additional 13 weeks, if a doctor provides another certificate stating the time period needed to finish recovering.
Paid No
 
Parental Leave
Time with Employer Must have commenced employment at least 13 weeks before the estimated due date.
Required Notice Two weeks written notice.
Length of Leave 61 weeks for employees who took a pregnancy leave, and 63 weeks for employees who did not.
Paid No. EI Weeks may be available.
Benefits Maintained Yes
 
Personal Emergency Leave
Time with Employer One week or longer.
Required Notice An employer may require an employee to provide evidence "reasonable in the circumstances" that they are eligible for personal emergency leave.
Length of Leave

Up to 10 days.

Paid Two days of the leave. The paid days must be taken before any unpaid days of personal emergency leave in a calendar year.
 
Pregnancy Leave
Time with Employer Must have commenced employment at least 13 weeks before the estimated due date.
Required Notice At least two weeks written notice.
Length of Leave 17 weeks with no pay taken no sooner than 17 weeks before the expected birth with a minimum of six weeks after birth.
Paid No. EI Weeks may be available.
Benefits Maintained Yes
 
Reservist Leave
Time with Employer 6 months.
Required Notice As soon as is reasonable and practical.
Length of Leave The period necessary to accommodate the period of service for which the employee is required to be absent from work.
Paid No.
 
Voting Leave
Time with Employer N/A
Required Notice N/A
Length of Leave Three consecutive hours
Paid Yes

Statutory Holidays in Ontario

Holiday 2018 2017
New Year's Day Mon., Jan. 01 Sun., Jan. 01
Family Day Mon, Feb. 19 Mon, Feb. 20
Good Friday Fri., Mar. 30 Fri., Apr. 14
Victoria Day Mon., May. 21 Mon., May. 22
Canada Day Mon., July 02 Sat., July 01
Labour Day Mon., Sep. 03 Mon., Sep. 04
Thanksgiving Day Mon., Oct. 08 Mon., Oct. 09
Christmas Day Tue., Dec. 25 Mon., Dec. 25
Boxing Day Wed., Dec. 26 Tue., Dec. 26

According to the Canadian Labour Standard Code, whenever New Year's Day, Canada Day, Christmas Day or Boxing Day fall on a Saturday or Sunday, the employer must grant his or her employee a holiday with pay on the next working day immediately preceding or following the holiday, providing that the holiday is a provincial requirement. If a statutory holiday is worked on a regularly scheduled day then the employee must receive either their regular pay plus time and a half or for a business like a gas station which is continuously open the employee must receive their regular pay plus be granted a day off with pay on some later date.

The following holidays fall under the Retail Business Closing Act: New Year's Day, Good Friday, Victoria Day, Canada Day, Labour Day, Thanksgiving Day, Christmas Day, the 26th day of December, Sunday (Easter Sunday and other holidays only) and any other public holiday as proclaimed by the Lieutenant Governor.

Ontario has no legislation regarding Remembrance Day either as a statutory holiday or as a holiday under the Retail Business Holiday Act.

Minimum Age in Ontario

A child of age 14 is permitted to work at any place other than a factory. A child of 15 is allowed to be employed in construction or factory other than logging operations, if excused from school under the education act. A child of 16 is permitted to work at a surface mine (excluding the working face) or mining plant and in construction. A person of age 18 can work at an underground mine or surface mine, doing work off shore for an oil or gas rig.

Pay Statements in Ontario

For Ontario there is no legislation on the frequency at which pay periods should take place. The employee must receive their pay on an established regular basis. By legislation, pay statements must contain the following (though employers may include additional items):

Pay Statement Inclusions
Dates of pay periods Other earning/payments
Itemized deductions Allowances (living)
Gross earnings Vacation Pay
Net pay Statutory holiday / hours
Overtime hours Bonuses, commissions, allowances
Rate of pay and hours worked Overtime wages

Termination Notice in Ontario

Individual Termination
Length of Employment Notice Required
Under 3 months None
Between 3 months and 1 year 1 week
Between 1 year and 3 years 2 weeks
3 years or more For every year after 3 years an additional week is required up to 8 weeks in total
Group Termination
Number of Employees Notice Required
50 to 199 8 weeks
200 to 499 12 weeks
500 or more 16 weeks

Vacationable Earnings in Ontario

The Vacation Entitlement for Ontario employees who have worked at the same job for one year (12 months) is 2 weeks or 4% of their gross pay.

Inclusions and Exclusions
Included
Work related bonuses (cash) Regular salary/wages/retroactive
Call in pay Shift premium
Call back pay Standby pay
Commissions earned at employer's premises Statutory - Company Holidays (floaters)
Commissions earned by a route salesman Statutory - General Holidays
Overtime pay Sick pay - Sick days (if part of regular wages)
Pay in lieu of notice/Termination pay Allowances - Housing
 
Taxable Benefits:
Board & lodging
 
Excluded
Allowances (Car, clothing, moving, travel) Previously paid vacation pay
Discretionary bonuses (cash) Profit Sharing (if it is a DPSP)
Commissions earned away from employer's premises Severance/Plant severance
Directors' fees Sick pay - Sick days (if a benefit)
Gifts (cash or in kind) Tips and Gratuities
 
Taxable Benefits:
Company car Loans
Life Insurance Provincial Medical

Provincial Health in Ontario

Employer Health Tax (EHT) is a payroll tax on remuneration paid to employees and former employees. Effective January 1, 2014, the EHT exemption increased to $450,000 from $400,000 of Ontario payroll.

The amount of EHT you, as an employer, pay is calculated by multiplying your Ontario payroll for the year - after deducting any tax exemption - by the applicable tax rate. The tax rate is based on the Ontario payroll of the employer before deducting any tax exemption.

Ontario EHT Contributions
Annual Gross Pay
EHT Rate
$0-$200,000
.98%
$200,001-$230,000
1.101%
$230,001-$260,000
1.223%
$260,001-$290,000
1.344%
$290,001-$320,000
1.465%
$320,001-$350,000
1.586%
$350,001-$380,000
1.708%
$380,001-$450,000
1.829%
Over $450,000
1.95%

 


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