Products & Services Banner Picture - Financial service professional team at work, hands close with business reports and paperwork

Ontario to raise payroll exemption on employer health tax | Benefits Canada

Posted by Benefits Alliance

November 20, 2018

Categories: Government Benefits, Group Benefits, Group Retirement Savings

Ontario’s smallest companies will be saving on their employer health tax come Jan. 1, 2019.   The province’s 2018 economic outlook and fiscal review, presented by Finance Minister Vic Fedeli on Thursday, proposed an increase to the amount of payroll eligible for exemption from the employer health tax from $450,000 to $490,000 for organizations with 10 or fewer employees.

 

Here is what President Gil McGowan had to say.  “It’s more of an accounting thing than a change for us from a benefits perspective,” says Gil McGowan, president of the Benefits Alliance Group Inc. “The savings for the average company is going to be $63 a month. It’s going to help a small company, like 10 employees. They’re going to save $750, $760 a year. It’s not a giant deal, but it’s still a savings.”

 

See the recent article published in Benefits Canada