2026 Payroll Changes: What Markham Business Owners Need to Know About CPP and EI

Page summary

CPP max rises to $4,230.45, EI to $1,123.07. Plus the new CPP2 enhancement. Budget for these payroll cost increases now.

• Article details: Payroll; published December 3, 2025; 9 min read.
• As an employer in Markham or anywhere across Ontario, your payroll system affects everything from employee satisfaction to your bottom line. And every January, the numbers change. Understanding these changes is critical for maintaining accurate payroll, managing cash flow, and ensuring compliance with federal and provincial regulations.
• The good news? 2026 brings one welcome change: a federal tax reduction. The challenging news? CPP and EI contribution rates are increasing, which means higher costs for both you and your employees. This comprehensive guide walks you through every change you need to know about—and the action items you need to complete before January 1, 2026.
• Why 2026 Payroll Changes Matter for Your Business
• If you're uncertain about any aspect of these changes or want a professional review of your payroll processes, contact ARMalik Professional Corp today. Our Markham-based CPA team is ready to help you navigate 2026 payroll changes with confidence.
• Ready to ensure your payroll is 2026-compliant? Schedule a consultation with ARMalik Professional Corp today. We'll review your current processes, calculate your exact impact, and ensure your systems are ready for January 1.

Related pages

• Blog: Browse more Canadian tax and accounting articles.
• Tax Planning & Advisory: Get advice before tax decisions become filing problems.
• Contact ARMalik: Ask a Markham CPA about how this topic applies to your situation.

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