EI Premiums in Canada for 2025: Rates, What You Pay, and What You Get Back
TaxCalc Canada Editorial
Published May 8, 2025 · Rates verified against ESDC 2025 premium schedule
Every pay stub in Canada shows an EI deduction. Most Canadians see the line, shrug, and move on. Then something happens — a layoff, a new baby, an illness — and suddenly EI becomes the most important program they've never thought about. This guide covers both sides: what you pay, and what you can claim when you need it.
Employment Insurance is one of Canada's mandatory payroll deductions. Unlike income tax, there's no ambiguity about the rate — it's flat until you hit the ceiling. Understanding the numbers helps you anticipate your paycheque and understand what you're entitled to.
Quick Answer
2025 EI premium rate is 1.64% on insurable earnings up to $65,700/year. The maximum employee premium is $1,077.48. Employers pay 1.4× that amount ($1,508.47 per employee). Quebec employees pay 1.32% due to the provincial QPIP plan.
2025 EI Rates at a Glance
| Parameter | 2025 Value |
|---|---|
| Employee premium rate (all provinces except QC) | 1.64% |
| Employee premium rate (Quebec) | 1.32% |
| Maximum insurable earnings | $65,700 |
| Maximum employee premium | $1,077.48 |
| Maximum employer premium | $1,508.47 |
| Employer multiplier | 1.4× |
| Max weekly EI benefit | $695/week |
| Benefit rate | 55% of avg. insurable weekly earnings |
How Your EI Premium Is Calculated
The calculation is straightforward: your annual insurable earnings × 1.64%, capped at $1,077.48. Once you hit that cap, EI deductions stop for the year.
Annual EI premium = min(insurable earnings × 0.0164, $1,077.48)
| Annual Earnings | Annual EI Premium | Per Paycheque (bi-weekly) |
|---|---|---|
| $30,000 | $492.00 | $18.92 |
| $40,000 | $656.00 | $25.23 |
| $50,000 | $820.00 | $31.54 |
| $60,000 | $984.00 | $37.85 |
| $65,700 | $1077.48 | $41.44 |
| $80,000 | $1077.48 | $41.44 |
| $100,000 | $1077.48 | $41.44 |
Earnings above $65,700 are not insurable — EI is not deducted on that portion, and those earnings do not count toward your benefit calculation either. This is different from CPP, which added a second ceiling (CPP2) in 2024.
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What EI Covers and How Much You Get
Regular EI benefits replace 55% of your average insurable weekly earnings, up to a weekly maximum of $695 in 2025. That translates to a maximum of $36,140/year if you receive benefits for a full 52 weeks — which almost never happens since the maximum benefit period is 45 weeks.
How long you can receive benefits depends on two things: your regional unemployment rate and how many insurable hours you worked. In a region with 6% unemployment, you need at least 560 insurable hours and can receive up to 36 weeks of benefits. In a region with 13%+ unemployment, the threshold drops to 420 hours and the maximum extends to 45 weeks.
There is a two-week waiting period before benefits begin. The waiting period is served once per claim — if you return to work briefly and file again within the same benefit period, it does not restart.
Maternity, Parental & Sickness Benefits
EI covers more than job loss. The special benefits program includes:
| Benefit Type | Rate | Max Weeks |
|---|---|---|
| Maternity (birth parent) | 55% | 15 weeks |
| Parental — Standard | 55% | 40 weeks (shared) |
| Parental — Extended | 33% | 69 weeks (shared) |
| Sickness | 55% | 26 weeks |
| Compassionate Care | 55% | 26 weeks |
| Family Caregiver (adult) | 55% | 15 weeks |
All special benefits use the same insurable earnings maximum ($65,700) and the same weekly cap ($695). Lower-income earners who net less than $25,921/year receive an enhanced rate of 80% for parental and maternity benefits via the Family Supplement.
Self-Employed and EI
Self-employed people are exempt from mandatory EI contributions and cannot receive regular benefits if their business slows down. The government takes the view that business risk is the tradeoff for operating independently.
However, self-employed Canadians can voluntarily opt into EI to access the special benefits — maternity, parental, sickness, and caregiving. You pay the same employee rate (1.64%) on your self-employment earnings, and there's a 12-month waiting period before you can claim.
For a broader picture of self-employment costs, see the self-employed tax guide — which covers the double CPP rate and quarterly instalments that make freelancing more expensive than many people budget for.
What Your Employer Contributes
For every dollar you contribute to EI, your employer contributes $1.40. On the 2025 maximum of $1,077.48, your employer pays $1,508.47 — about $430 more than you do. This is often cited when employers argue that hiring is expensive beyond just the salary line.
Employers with approved wage-loss insurance plans (short-term disability coverage) can apply for a reduced employer premium rate through CRA's EI Premium Reduction program. The reduction passes through to employees as well.
Frequently Asked Questions
What is the EI rate in Canada for 2025?
The 2025 employee EI premium rate is 1.64% of insurable earnings, up to maximum insurable earnings of $65,700. The maximum employee premium is $1,077.48. Employees in Quebec pay a reduced rate of 1.32% because Quebec operates its own parental insurance plan (QPIP).
When do EI deductions stop for the year?
EI premiums stop once your insurable earnings reach $65,700 for 2025. At that point you've contributed the maximum of $1,077.48 and no further EI is deducted from your paycheques for the rest of the calendar year. This resets on January 1 of the following year.
How much EI can I receive if I lose my job?
EI pays 55% of your average insurable weekly earnings, up to a maximum weekly benefit of $695 in 2025 (55% × $65,700 ÷ 52). The number of weeks you can receive benefits ranges from 14 to 45 weeks, depending on your region's unemployment rate and how many insurable hours you worked in the past 52 weeks.
How many hours do I need to qualify for EI?
In most regions, you need between 420 and 700 insurable hours worked in the past 52 weeks to qualify for regular EI benefits. In high-unemployment regions, the threshold is lower. New entrants to the workforce and those re-entering after two years away need 910 hours.
Do self-employed people pay EI in Canada?
Self-employed individuals are not required to pay EI premiums and do not receive regular EI benefits. However, they can voluntarily opt in to the EI self-employment program to access special benefits — maternity, parental, sickness, and caregiving. The opt-in rate is the same 1.64% employee rate, and there is a 12-month waiting period before claiming.
Does my employer also pay EI on my behalf?
Yes. Employers pay 1.4 times the employee premium. In 2025, the maximum employer EI contribution per employee is $1,508.47. Employers with an approved wage-loss insurance plan may qualify for a reduced employer multiplier.
Can I get EI if I quit my job?
Generally, no. Voluntarily leaving your job without just cause disqualifies you from regular EI benefits. "Just cause" includes situations like harassment, unsafe working conditions, or being asked to perform illegal acts. If you were laid off, terminated without cause, or had your hours reduced significantly, you are eligible — assuming you meet the insurable hours threshold.
TaxCalc Canada Editorial Team
We research Canadian tax rules so you don't have to read the CRA website at midnight. All rates are verified against official CRA schedules and ESDC data before publishing.