CPP & EI Calculator Canada 2025
Calculate your Canada Pension Plan and Employment Insurance contributions for 2025.
CPP Contributions in Canada 2025
The Canada Pension Plan is a mandatory retirement savings program for most employed Canadians. In 2025 the employee CPP contribution rate is 5.95% of pensionable earnings between $3,500 and $68,500. The maximum employee contribution is $3,867.50 per year. Your employer matches your contribution dollar for dollar.
CPP2 Enhanced Contributions 2025
Since 2024 Canada introduced a second additional CPP contribution called CPP2. Employees pay an additional 4% on earnings between $68,500 and $73,200. This enhanced contribution will result in higher CPP retirement benefits in the future. The maximum CPP2 contribution for employees in 2025 is $188.
EI Premiums in Canada 2025
Employment Insurance premiums in 2025 are 1.66% of insurable earnings up to a maximum insurable amount of $63,200. The maximum employee EI premium is $1,049.12 per year. Employers pay 1.4 times the employee premium which works out to $1,468.77 per year at the maximum.
What Does EI Cover in Canada?
Employment Insurance provides temporary financial assistance to Canadians who lose their job through no fault of their own, are sick or injured, pregnant or have recently given birth, caring for a newborn or newly adopted child, or caring for a seriously ill family member. EI benefits are typically 55% of your average insurable weekly earnings up to a maximum amount.
CPP for Self Employed Canadians
Self employed Canadians must pay both the employee and employer portions of CPP contributions. This means the self employed CPP rate is 11.9% of net self employment income up to a maximum of $7,735 per year. While this is a significant expense self employed CPP contributions are partially tax deductible which reduces the overall impact.
Frequently Asked Questions
When do I stop paying CPP in 2025?
You stop paying CPP contributions once you reach the maximum contribution of $3,867.50 for the year. This typically happens around October or November for someone earning $68,500 or more annually. Once you reach the maximum your employer will stop deducting CPP from your paycheque for the rest of the year.
Can I opt out of CPP in Canada?
Most employees cannot opt out of CPP contributions. The only exceptions are employees who are 65 to 70 years old who are already receiving CPP or QPP retirement pension and have filed an election to stop contributing. Quebec residents contribute to QPP instead of CPP which has similar but slightly different rates.
How much CPP will I receive when I retire?
The amount of CPP you receive at retirement depends on how much you contributed and for how long. The maximum CPP retirement pension in 2025 is $1,364.60 per month if you start at age 65. The average Canadian receives significantly less than the maximum. You can check your estimated CPP amount by logging into your My Service Canada account.
Do I pay EI if I am self employed?
Self employed Canadians do not have to pay EI premiums. However you can voluntarily opt into the EI program to access special benefits such as maternity, parental, sickness and caregiving benefits. If you opt in you pay only the employee portion of premiums at 1.66% of your self employment income.