If you are setting up a business with employees in Canada, you’ll need to set up a payroll system. That means knowing about Canada’s specific laws regarding payroll. To get your payroll up and running, you’ll need to know about the following things:
- Will you pay your employees weekly, bi-weekly, semi-monthly or monthly?
- If you have staff aged between 18-70, and you operate outside of Quebec, you are obliged to contribute to the Canada Pension Plan (CPP)
- You will usually need to set up payments based on a 40 hour work week and make accommodations for overtime if that occurs.
- If you plan to dismiss an employee you must provide notice adhering to labor laws regarding severance pay.