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Employer Β· 2026Canada Β· CAD

Cost of Hiring an Employee in Canada 2026

Total employer cost beyond gross salary β€” social contributions and statutory benefits.

Employer social rateTieredon top of gross salary
Annual capTieredcontribution ceiling
Cost loading+6.2%at CA$100,000 gross
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Employer cost calculator for Canada

Calculate hiring cost
Enter a gross salary to see the full employer cost

Annual gross: CA$100,000

Employer social rateTiered
Annual capTiered

Employer cost in Canada

6.2% on top of gross salary

ESTIMATE
Total employer cost
CA$106,149.45

~ CA$8,846 /mo Β· +6.2% vs gross

Gross salaryCA$100,000
Employer social contributions6.2%+CA$6,149
Total costCA$106,149
Estimated from the main employer social contribution components (pension, health, unemployment). Statutory bonuses, 13th-month pay and industry-specific levies are not included unless noted in the country data.

Employer rates as of 2024-11. View source

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What this rate covers

Mandatory employer social contributions in Canada, by component.

CPP (base)5.95%
CPP2 (additional)4%
Employment Insurance (EI)2.3%
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Compare hiring cost across countries

Employer contribution rate at CA$100,000 gross, head to head.

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Frequently asked questions

How much does it cost to hire an employee in Canada?

On a CA$100,000 gross salary in Canada, total employer cost is about CA$106,149 β€” roughly 6.2% on top of gross in mandatory social contributions, before bonuses and statutory benefits.

What are employer social contributions in Canada?

Employers in Canada pay Tiered of gross salary toward mandatory social funds β€” pension, health, unemployment and related schemes β€” separately from the employee's own deductions.

Is there a cap on employer contributions in Canada?

Partly. In Canada, some contributions are capped while others continue on the full salary, so the marginal rate steps down as salary rises.

Does this include income tax?

No. This page shows employer-side social contributions only. For employee income tax, social security and take-home pay, use the country tax calculator.

05

Tax calculator for employees

Canada income tax calculator

See take-home pay, income tax and employee social contributions.

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