Question on trying to balance 2023 T4
E1 9.2 Canadian Payroll
Hello,
the payroll user group is noticing something with most of the 2023 T4s they are working on to confirm values. As an example for an employee with a simple T4 who only had one small payment in 2023.
The T4 details show as this:
Employment Income 260.20
EI Prem 4.23 / Insurable Earnings 258.96
CPP Prem 7.40 / Pensionable Earnings 258.96
There are only 2 PDBAs that make up the Income (Box 14) - Regular for 249.00 and Auto Vac for 9.96. These only total to 258.96 leaving a variance of 1.24.
They were expecting the Employment Income to only be the 258.96.
What they have found is the 1.24 appears to be the amount of the Enhanced CPP calculation - 7.40 X (.01/.0595) = 1. 24 . Whether that is a coincidence or if that is really what is happening.