Payroll FAQs From Employees: 2023 Year-End and 2024 First Pay Period Questions

Written by Jonathan

Jan 9, 2024 ~4min read

Payroll isn’t only a hassle for business owners — sometimes, employees are left with big question marks trying to navigate their taxes. If they come to you with questions at year-end or in their first pay period, you’ll be prepared with these FAQs: 

Payroll FAQs from Employees for 2023 Year-End

1. Why do I have two T4 Slips (either from the same employer or different employers)?

You might have multiple T4 slips for any of these reasons: 

  • You made an income in multiple provinces within the same tax year
  • You have a wage-loss replacement plan that changed in that tax year
  • You made an income from two different employers 

If you have multiple T4 slips, make sure all the earnings add up to what you made. 

2. What does box 40 signify on my T4?

Box 40 of your T4 shows your taxable benefits for the tax year, like group insurance, company accommodation, and RRSP contributions. 

3. What does box 14 on my T4 signify? Why does it seem too high or low?

Box 14 shows your employment income for the tax year. It includes all your gross wages before taxes, so the amount might seem high. Here’s what box 14 includes: 

  • Salary, wages, pay in lieu of termination
  • Vacation
  • Bonuses
  • Tips
  • Director’s and management fees
  • Honorariums
  • WLRP payments
  • Supplementary unemployment benefits like maternity or compassionate leave

If Box 14 seems too low, you may have multiple T4 slips adding up to your full year’s income. 

4. Can I submit an online tax slip to the CRA?

Yes. You can submit online tax slips through the agency’s “Submit documents” service.

5. My tax slip has incorrect information: what do I do? 

If your tax slip amounts are inaccurate, you’ll have to request a change to your return from the CRA. 

6.  Can I change my tax claim amounts or deduct taxes from my 2023 pay?

Yes, to both! You can deduct more taxes from your 2024 pay using a TD1 form. You can also change your tax claim amounts by making an online adjustment with the CRA.

7. Why is my income in box 14 higher than in boxes 24 and 26? 

Box 14 is your employment income, box 24 is your CPP pensionable earnings, and box 26 is your EI insurable earnings. 

In 2023 the maximum insurable earnings (MIE) for CPP was $66,600, and for EI, $61,500. For 2024, the MIE for CPP is $68,500 and EI is $63,200. If you made more income than those amounts, box 14 would be higher. 

8. Are  T4s and T4As the same?

A T4 is your Statement of Remuneration for regular income. A T4A is your Statement of Pension, Retirement, Annuity, and Other Income. 

9. What if I lose my tax slip? 

Send a request for a new tax slip to your employer. Most will have them saved on a software or internal records system. 

10. Is it mandatory to print my online tax slips?

Not anymore. Now that you can file your taxes electronically, you’ll always have access to your slips through your payroll software or employer. However, some people prefer keeping paper records. It’s entirely up to you. 

11. Why are so many of my tax slip boxes empty?

This isn’t automatically a red flag. Only boxes that pertain to your income scenario will be filled. Contrarily, if you feel a box is missing, contact your employer. 

12. I have a question about my payroll documents: who should I contact?

Contact your employer’s accounting or payroll team if you have any questions. 

13. Can you help me file my tax return?

You can contact the CRA for support in filing your tax return. 

Payroll FAQs from Employees 2024 First Pay Period

1. Is there a limit to how much I can put into my TFSA in 2024?

Yes, you can put up to $7,000 in your TFSA in 2024. 

2. Why does my paycheque seem lower now in January than in December?

CPP and EI start over every January, so you may have maxed out your contributions in 2023. Here are the CPP and EI contribution maximums for 2024: 

  • EI: $1,049.12
  • CPP: $3,867.50
  • QPP: $4,348.00
  • Québec EI: $1,167.94
  • QPIP: $464.36

3. Why are my vacation, sick, and PTO balances zero?

Remember, PTO and sick time start over each year with new balances. Vacation is transferred to your previous year’s bank. 

4. Will the minimum wage increase in 2024?

Canada’s federal minimum wage for federally regulated businesses in 2024 is $16.65. Here is a list of minimum wage by province. The government will automatically revise it on April 1, 2024 to reflect inflation, based on the average annual increase of the Consumer Price Index (CPI), as reported by Statistics Canada. This federal minimum wage applies to workers and interns in federally regulated private sectors, including banks, postal and courier services, and interprovincial air, rail, road, and marine transportation.

5. What is the RRSP annual contribution limit for 2024?

The RRSP maximum contribution for 2024 is $31,560. 

6. Why do I need new TD1s every year?

New TD1s are necessary to demonstrate any significant life changes that may affect your taxes. Some examples include recent college enrollment or having a child. 

7. How do I avoid paying the additional tax this year?

Make sure you leave the “Additional Tax to be deducted” TD1 box blank to avoid paying it.

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