Employee benefits can sometimes resemble a puzzle, with many terms and policies to navigate. Two of the most fundamental yet frequently asked components are Vacation Time and Vacation Pay. We are going to discover how these benefits work, allowing you to make the most of your well-deserved time off! Vacation Pay - Vacation Pay is the money you would receive while on vacation. Essentially, it is your financial security during your time off. This compensation typically comes from a portion of your regular salary or wage. The primary purpose of vacation pay is to enable you to enjoy your time away, acting as a source of income during...

In the dynamic landscape of employee compensation and motivation, two key contributors emerge: commissions and bonuses. We will explore the distinctions between the two, analyzing their purposes, structures and when and why they come into play. Whether you are an employee, manager or simply curious about the world of incentives, this exploration will help you understand how these strategies shape the workplace. Commission: Often recognized as a performance-driven compensation, it is a dynamic, results-oriented system. Think of commissions as a direct reward for your sales efforts. The more you sell, the higher opportunity you have to earn. They’re typically a percentage of the sales value and can be...

No one wants to fall victim to fraudulent letters or scams and with today’s technologies, these cons can arrive in a number of ways, whether that be through direct mail or email. These letters sound convincing as they can impersonate an attorney, financial institution, or government agency. It is best to be cautious, especially when receiving unexpected communication, and learn how to detect warning signs. It is always a good practice to take a second look at an official letter or email and never click on the link provided or respond to a phone number included, even if your initial take is that the communication is real. If...

As summer is now in full swing, workers will now want to enjoy the warm weather. There are several factors one must plan when they are getting ready for their summer vacations. One of these facets is informing your employer of your upcoming time away from work and discussing how you wish to apply your vacation pay during this period. Employees in Canada receive certain amount of agreed upon paid time off each 12-month period. While this vacation can vary for each worker, it is legislated that every employee is entitled to vacation time off and at minimum two weeks of vacation pay. These two weeks of pay...

When an employee falls sick they have the comfort of knowing they can take the time to recover their health by utilizing sick days. Some provinces have even gone so far as to mandate a set amount of employer-paid sick days, but issues can arise when it comes to tracking this time off. The government of British Columbia (B.C.) recently faced this problem when they introduced new legislation at the beginning of the year that sought to protect worker’s rights and simplify the administrative load for the employer. Two issues have arisen since employer-paid sick leave was introduced for signing into law. The first is in regard to...

As we roll into February, many Canadians are starting to think about putting down their snow shovels and picking up their calculators. That’s right, it’s almost tax season! It might not be the most exciting thing in the world, but we can all agree that its an important and necessary part of the year – and a great excuse to stay inside on the colder nights to come!    The deadline to file your 2021 taxes with the Canada Revenue Agency is technically April 30, however you will have until May 2 this year as April 30 falls on a Saturday. If you or your spouse/common-law partner are...

Many companies provide an automobile allowance to their employees if they are required to use their own vehicle for business purposes. Since each company has different requirements from their employees (for example, the amount of driving they need to do for the role), the question that is often asked of a payroll specialist is “how much should I be giving my employee for car allowance?” The Canada Revenue Agency (CRA) has guides as to what they consider “reasonable”. The CRA says that ALL of the following must apply in order for a car allowance to be considered reasonable, and thus a non-taxable allowance: The allowance is based only...

The B.C government will be implementing a new employer health tax (EHT) in January 2019.  This tax notice is being implemented as part of the plan to eliminate Medical Services Plan (MSP) premiums. For over a decade British Columbia has been the only province to maintain MSP fees and the move to the EHT plan is part of an effort by the B.C. government to make life more affordable for its residents.  By moving to an EHT plan, families will save as much as $1,800.00 per year and individuals will save as much as $900.00 per year.  As administration of MSP premiums is costly and inefficient the transition...

In 2016, the Alberta Government made a commitment to increase the minimum wage to $15.00. Workers will see an increase in their hourly pay from $13.60 to $15.00 starting October 1st, 2018. This is the third and final pledged hike implemented by Premier Notley’s government to increase minimum wage to $15.00. The new wage increase being in effect will also remove any lower minimum wage brackets for liquor servers and adolescents.  Minimum Wage Rates for 2017-2018 Most employees (general minimum wage) - from $13.60/hour to $15.00/hour Salespersons (including land agents and certain professionals) - from $542.00/week to $598.00/week Domestic employees (living in their employer's home) - from $2,582.00/month...

Bill 3 will bring more transparency on the hiring processes for women looking for jobs in the Province of Ontario.  Women will have more information regarding compensation and how it compares to their male counterparts, giving women more negotiating power during the hiring process. The bill is set to become law on January 1st, 2019.  At which point Ontario will: Require all publicly advertised job postings to include a salary rate or range Bar employers from asking a job candidate about their past compensation Prohibit reprisals against employees who discuss or disclose compensation Establish a framework to require larger employers to track and report compensation gaps based on...