How to read your pay stub

Your pay stub shows how your pay was worked out: your hours, your rate, and everything taken off. In BC and Ontario, your employer must give you one each payday. The law calls it a wage statement.

Checking it every payday is the easiest way to catch mistakes early. We checked these facts on October 12, 2026. The CPP, EI, and tax figures below are for 2026 only. Follow the links for the latest details.

What your pay stub must show

In BC, you must get a written or electronic wage statement every payday (wage statements). It must show:

your employer's name and address
the hours you worked, including overtime hours
your wage rate
any vacation pay, statutory holiday pay, or other amounts paid
the amount and purpose of each deduction
your gross and net pay

In Ontario, you must get a wage statement on or before each payday (payment of wages). It must show:

the pay period
your wage rate, if you have one
your gross pay, and how it was calculated (unless you get that information another way, such as in your contract)
the amount and purpose of each deduction
any amounts paid for room or board
your net pay

In both provinces, an electronic pay stub is allowed if you can print a copy.

Gross pay and net pay

Gross pay is everything you earned before deductions. For example, if you worked 20 hours at $19.00 an hour, your gross pay is $380.00. Overtime, holiday pay, and vacation pay are added to it when they apply.

Net pay is what's left after deductions. It's the amount that goes into your bank account. Net pay is usually lower than gross pay, so don't be surprised when your first deposit is smaller than you expected.

The main deductions

Your employer takes these from your pay and sends them to the government. The Canada Revenue Agency (CRA) publishes the rates each year. Here are the 2026 rates for employees in BC and Ontario:

Deduction	What it is for	2026 employee rate
CPP	Canada Pension Plan, for your retirement pension	5.95% of earnings between $3,500 and $74,600 a year. Maximum $4,230.45
CPP2	A second CPP contribution on higher earnings	4% of earnings between $74,600 and $85,000. Maximum $416
EI	Employment Insurance, for benefits if you lose your job	1.63% of insurable earnings up to $68,900. Maximum $1,123.07
Income tax	Federal and provincial income tax	Depends on your income and your TD1 forms

Sources: CPP, CPP2, EI.

A few things to know:

The $3,500 CPP exemption is spread across your pay periods, so a small part of each paycheque has no CPP (calculating CPP).
Under 18? Your employer starts taking CPP in the first pay dated in the month after you turn 18 (starting CPP).
Your employer pays too. It adds its own CPP and EI contributions on top of yours (Starting to work).

Income tax. Canada taxes income in brackets. For 2026, the lowest federal rate is 14% on taxable income up to $58,523. The lowest provincial rate is 5.6% in BC (up to $50,363) and 5.05% in Ontario (up to $53,891). Each rate applies only to the income inside its bracket (2026 tax rates).

Your employer estimates your tax using the TD1 forms you fill out when you start a job: a federal form, plus TD1BC or TD1ON for your province (TD1 forms). If too much tax comes off during the year, you get the extra back after you file your tax return (Starting to work). So file a return each spring, even if you earned a small amount.

Other deductions can include things like union dues, a pension plan, or health benefits. Ask your employer what each one is for.

Some deductions are not allowed:

BC: Your employer can't deduct business costs from your wages (Getting paid).
Ontario: Besides taxes, CPP and EI, a deduction needs a court order or your signed written permission that states the amount or how it is calculated. Even with your permission, your employer can't deduct for faulty work. For a cash shortage, a deduction is allowed only if you were the only person with access to the cash and you agreed in writing (payment of wages).

Vacation pay

BC. Vacation pay is at least 4% of your wages, and 6% after 5 years. If you work 5 calendar days or less for an employer, you don't get vacation pay. It must be paid at least 7 days before your vacation, or on every paycheque if you and your employer agree in writing (annual vacation).

Ontario. You earn vacation pay of at least 4% of your wages from your first day, and 6% after 5 years. It can be paid on each paycheque if you agree in writing or electronically (vacation). If it is, your wage statement must show the vacation pay separately from your other wages (payment of wages).

Look for a line called "Vacation" or "Vac pay." If you don't see one, ask how your vacation pay is being paid.

Year-to-date totals and your T4

Most pay stubs have a year-to-date (YTD) column. It adds up your pay and deductions since January 1.

By the end of February, your employer must give you a T4 slip for the year before (Distribute the slips). The YTD amounts on your last pay stub of the year should match your T4. If they don't, ask your employer first (Starting to work).

Keep your pay stubs somewhere safe. You may need them as proof of income.

Check every payday

Use this quick checklist:

Hours: Do they match your own record of the hours you worked?
Rate: Is your hourly rate right, including any raise?
Extras: Did you get overtime or holiday pay when you should have?
Deductions: Do you understand each one?
Net pay: Does it match what reached your bank account?
Timing: In BC, you must be paid within 8 days after the end of each pay period (Getting paid). In Ontario, your employer must set a regular pay day and pay you on it (payment of wages).

If something is wrong

Check your records. Compare the stub with your schedule, your own notes, and your bank deposit.
Ask your manager or payroll. Be polite and specific: "I worked 24 hours this pay period, but my stub shows 20." Many mistakes are honest ones. Ask by email if you can, so you have a record.
Get help if it isn't fixed.
- BC: Call the Employment Standards Branch at 1-833-236-3700 for help in the language of your choice (contact). Making a complaint is free. If you no longer work there, you must file within 6 months of your last day (complaint process).
- Ontario: Call the Employment Standards Information Centre at 416-326-7160, or toll-free in Ontario at 1-800-531-5551. You can file a claim online, generally within two years (filing a claim).

Next steps

Know your rights: Your rights at work in BC and Your rights at work in Ontario
Earn tips? Read Tips and tip pooling in BC and Ontario
Starting a job? Read Your first week at a new job
Find entry-level jobs in Metro Vancouver and the Greater Toronto Area