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The employer EI rate is zero

Created on  | Last modified on 

Summary

The employer EI rate is zero

Cause

Setup, Canadian Payroll, Income Taxes, EIR codes, employer percentage field isn’t a percentage.

  • Take the rate and multiply by 100.
  • Example, employer percentage is 1.4 and enters 140 in this field not 1.4.
  • When you enter 1.4, payroll calculates and processes a 0.00 amount.
  • The system labels this field as a percent, but it isn’t.

Resolution

If EIR shows zero, verify that the Employer Percentage in Setup > Canadian Payroll > Income Taxes is correct.

  1. Enter 140 (not 1.4) for a 1.4 per $100 rate.
  2. Confirm earnings on the Calc Base tab.
  3. Save your changes.
  4. Recalculate payroll.

 NOTE: If using multiple EI rates (for example, EIR1, EIR2), verify each rate is correct. The system doesn’t auto-update, so update the Employer Percentage field manually as needed.