• There’s a payroll deduction that’s being deducted before EI is calculated
• One income isn’t calculating EI while another is calculating EI

Before starting:

• Compare the tax calculations to the CRA Payroll Deduction Online Calculator (PDOC)
• When comparing to the CRA website, ensure that the calculations are based off of the Gross Pay and not Net Pay
• If the calculations in Sage 50 match the PDOC calculator results, there may not be anything wrong
  • Speak with a certified accountant / CRA to validate the employee setup

Steps:

1. Go to Setup, Settings, Payroll, then Incomes.
2. Verify that the required Incomes have the Calc EI checked.
3. Select Setup, Settings, Payroll, then Deductions.
4. Verify that deduct after EI is checked or unchecked as needed.
   • If it isn't checked, the deducted amount won't be included in the EI calculation
5. Verify if the Tax table is set up to the correct province (Quebec has different EI rates compared to the rest of Canada).

• Go into the Employee Records, Taxes tab
• Change tax table if wrong