Deduction from Salary in BC
 

Am I right in saying stoppages from wages are similar based on UK i.e. approx 25% for tax etc??

Based on say $70K/annum?

Cheers


Steve

Re: Deduction from Salary in BC
 

In broad terms yes.

http://britishexpats.com/wiki/Income_Tax_Rates-Canada

But EI and CPP are taken out as a fixed percentage per period until they max out, so they are effectively front weighted and take home pay increases in August or September as a result of reaching the maximum annual deduction threshold for those.


Once you have a better handle on what deductions and credits apply in your own case, you can can fill in a "TD1" form to alter your deductions at source to better reflect your individual circumstances and minimise any rebate or taxes owing when you file your annual return.

Re: Deduction from Salary in BC
 

A single person will lose 24.29% of their gross pay on $70,000 in statutaory dedcutions (tax and NI equivalents). If your OH does not work you can claim her tax allowances and you get more deductions for rug rats.

There may be other non-statuary deductions: contribution to exteneded health benefits, union dues, company pension and so on. You will need to check with the emplyer's HR but generally these deductions are an overall benefit.

Note that in addition to income tax you also have to pay premiums to the province's Medical Services Plan (NHS equivalent). This is $133 a month for a family.

Re: Deduction from Salary in BC
 

I had remembered a $100 ish figure for medical. Does this equate to an NHS type service etc if you need doctor then??

Re: Deduction from Salary in BC
 

Yes and no.

Yes you have the right to see a doctor. It differs though when you need prescriptions (in the UK this is a fixed price)/dentistry or any medical service that is not essential .

In Canada you have to pay for the drugs per pill or whatever it is worth unless you have benefits.

Benefits: You are basically paying into medical insurance which will cover the extras so to speak.

Re: Deduction from Salary in BC
 

Part of my job offer states there is an extended medical benefits plans that I am eligible to join after 3 month period. What will that provide do you think?

Re: Deduction from Salary in BC
 

Likely 80% coverage of prescription drugs, physio, glasses, etc and ambulance fees.

Re: Deduction from Salary in BC
 

Typically benefits are not free (some are so you might not end up paying).

Anyway each benefit plan is different but you will get some type of short/long term disibilty plan as well as medical benefits (see post above).

It is insurance if you get a crappy plan it will cost you less than getting a comprehensive plan.

Re: Deduction from Salary in BC
 

Pretty much. It covers GP, specialist and hospital treatment. The main difference (as ArthurBrit mentions) is that prescription drugs are not subsidized so you pay market prices. Also, some things like physiotherapy are not always covered. Your workplace extended benefits plan wil pick up the majority of these costs.

There is no NHS dentistry - it is all private. However, there will likly be some coverage in your benefits plan.

Re: Deduction from Salary in BC
 

May sound daft but assume this extended benefits from my firm will only be for me and not family?

Re: Deduction from Salary in BC
 

If they are offering a job at a $70k salary level it may well be worth you trying to negotiate immediate eligibility for the benefits package, especially if you have no alternate coverage.

Its not much of a concession for them to make.


If you are not yet eligible for BC provincial coverage (not sure of wait periods out there) you might also try to negotiate a newcomers insurance package to cover medical costs that would normally be picked up by the province too. The wiki has a lost of likely suppliers in the medical insurance section.

Re: Deduction from Salary in BC
 

Should cover dependants. If your other half also has a job with benefits there are usually well established rules for who can claim what from which plan.

Re: Deduction from Salary in BC
 

Good advice. Thank you.

Re: Deduction from Salary in BC
 

Up to a maximum of $nnn per year for physio, glasses, etc etc etc in many cases now:(

Re: Deduction from Salary in BC
 

I wouldn't push that too hard. Some plans do not allow early entrants.

But yes, the plan will almost certainly include your spouse and dependents.