The 2003 social security programs parametersLinkedIn
There, in black and white
NB Bulletin Vol. 5 N. 10, December 2002
As mentioned in our latest bulletin of December 2002¸ we are pleased to inform you about the latest developments regarding the main parameters of the major social security programs for 2003.
Régime d´assurance maladie du Québec
The current contribution rate will remain unchanged for the year 2003. This rate is set at 4.26% for companies with a total payroll of more than $5 million and at 2.70% for those with a total payroll of less than $1 million and which are eligible for the reduction program. For eligible companies which have a total payroll of more than $1 million but less than $5 million¸ the rate is a function of total payroll and ranges from 2.70% to 4.26% of total payroll according to the following formula:
Commission de la santé et de la sécurité du travail (CSST)
The maximum earnings for the income replacement benefit will increase from $52¸500 to $53¸500 for the year 2003.
Commission des normes du travail (CNT)
The current contribution rate will remain unchanged for the year 2003¸ and is set at 0.08% of earnings subject to contribution. The earnings subject to contribution will increase from $52¸500 to $53¸500 for 2003.
Since July 1st¸ 2000¸ an additional contribution of 0.12% of earnings subject to contribution must also be paid by employers of the clothing industry governed by a decree.
Employment Insurance (EI)
As mentioned in our previous bulletin¸ the government of Canada announced on November 28¸ 2002¸ a 10-cent Employment Insurance employee premium rate reduction effective January 1st¸ 2003.
The employee premium rate for the upcoming year will be reduced from $2.20 to $2.10 per $100 of insurable employee earnings. For employers¸ the premium rate will be reduced from $3.08 to $2.94¸ namely¸ 1.4 times the employee rate outlined above. The maximum insurable earnings will remain at $39¸000 for 2003.
Employer contributions can be reduced further for employers offering a salary continuation program (SCP) registered with the Employment Insurance Commission. There are four types of SCPs each offering a unique Employment Insurance premium rate reduction.
¹ Premium rate reduction per $100 of insurable employee earnings.
Please feel free to contact us for additional information.
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