Important Payroll Information for VSB Employees for 2018

Friday, December 15, 2017

As we approach the new year, we wanted to remind all staff of important payroll and benefit changes for 2018.

Every January Canada Pension Plan (CPP) and Employment Insurance (EI) are deducted from every pay until an individual has contributed the maximum deduction.  An employee who has attained age 65 may opt out by completing a CPT30 Form.  The original must be mailed to the CRA and a copy provided to payroll.

In 2018 the maximum employee paid deduction for:

  • CPP is $2593.80
  • EI is $858.22

Once your year to date deductions reach those rates then you will no longer have CPP or EI deducted from your pay in 2018.  However if you are a member of the Municipal Pension Plan then you will see your contributions increase when your gross pay exceeds $55,900.

Municipal Pension Plan will be deducted at  8.5% (while you pay CPP or earn up to $55,900 gross) and then increase to 10%.

Personal Income Tax Exemptions for 2018 (Employee Action!)

Every January Canada Revenue Agency (CRA) updates forms for individuals to complete if they are entitled to claim additional exemptions from the BASIC amounts which for 2018 are:

  • TD1 (federal exemption) is $11,809 
  • TDBC1 (provincial exemption) is $10,412 

EMPLOYEE ACTION: Please be sure to complete the forms for both federal and provincial income tax and return to payroll on or before December 29, 2017 if you want to decrease or increase income tax deducted.  These are also the forms used if you wish to contribute additional income tax on each pay.  It is your responsibility to maintain the accuracy of the exemptions that are being processed on your behalf.  Payroll only makes changes with a new form otherwise only the increased exemption is added to whatever you have previously submitted to Payroll.

School Supply Tax Credit Form (Employee Action!)

CRA introduced a new school supply tax credit for Teachers and Early Childhood Educators who spend personal income on supplies for their classroom.  The school district has designed a  form for teachers and ECE educators to download and fill out.  Please ask your administrator to sign the form for you and retain for your own personal income tax filing in the Spring 2018. 

Medical Services Plan (MSP) changes for 2018 (Take note!)

MSP has reduced its single and multiple rate effective January 1 2018 by 50%.  Therefore you will notice a decrease to any payroll deduction or employer taxable benefit beginning January 2018. 

  • The definition of "single" is 1 adult.  Even if you are a single parent family, you will be in the "single" category as dependent children are no longer charged MSP.
  • The definition of "multiple" is 2 adults with or without dependent children.

Premium Assistance for families with an income of less than $26,000 will no longer pay any premiums.

There has also been an increase eligibility for Premium Assistance for any individual who had a net income less than $42,000 on their 2016 Notice of Assessment.  If you were already in receipt of a premium assistance then you do not need to take any action.  For employees who believe they qualify based on their 2016 Notice of Assessment, then you may apply for Premium Assistance by completing the form at:  Please return the completed form to the Benefits team in Employee Services at the Education Centre for processing.

Pacific Blue Cross Reasonable & Customary Limits

  • We recommend that you regularly check with Caresnet for reasonable & customary limits for paramedicals (current is effective October 1 2016)
  • All claims for paramedical services must include the number of minutes the service provided effective January 1 2017 otherwise you will be reimbursed at the minimum reasonable & customary rate.  Please ensure your practitioner includes the number of minutes for your visit on their receipt.

T4, T4A, T2200 slips (Employee Action!)

EMPLOYEE ACTION:  As soon as the final pay is confirmed in December, Payroll begins the task of preparing T4's, T4A's and T2200.   PeopleSoft  delivers an electronic T4 through employee self service.  Please provide your consent to choose electronic delivery versus printed.  The advantages to you are:

·         Receive your T4 slip 2-3 weeks earlier than waiting for a printed copy to be delivered

·         Easily print yourself and save the envelope

·         Easily email to your tax preparer or upload to your tax software

·         Available 24/7

·         Future years are available to 2015 if you were employed by VSB. 

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We hope to have the 2017 electronic T4's available  February 9, 2018 but will confirm that closer to the date in a separate email broadcast.

If you wish to continue to receive a printed copy from payroll then you will receive it on or before February 28, 2018.  If you chose this option and then later misplace your T4 then you will have to access another copy through employee self-service as we will not be reprinting copies for individuals.

New year leave entitlements and payouts (Take note!)

· Many payouts occur in December and January or February based on Collective Agreements – review your CA to see what applies to you and what the maximum hours are to be banked or carried over

· PeopleSoft provides the ability for CUPE 15 and PASA employees to bank their gratuity award and for IUOE, CUPE 15, PASA to bank their supplemental vacation award.  Check PeopleSoft Employee self-service for your leave balances and new year awards

· All CUPE 15 medical appointment time is awarded in January for twelve (12) hours for 2018 regardless of 10/12 month status.

Questions or concerns about your pay or benefits?

Please contact 604-713-5201 or email   Please include your employee ID, what job you perform for the VSB (or union group) and a brief explanation of what you need or description of your discrepancy. 

We appreciate your patience through high volume periods like calendar year end where staff are processing payouts, new year entitlements and performing reconciliations in preparation for T4 and T2200 slips.

We hope you enjoy a wonderful winter break and look forward to welcoming you back to work in 2018.