Canada · North AmericaEmployer of Record (EOR) in Canada
Hire employees in Canada, compliant payroll, taxes, and benefits, without setting up a local entity.
An Employer of Record (EOR) lets you hire employees in Canada without incorporating a local entity. The EOR is the legal employer, running compliant payroll, opening CRA and provincial accounts, and remitting CPP/QPP, EI, and provincial payroll taxes, while you manage the work. Employer-side statutory costs run roughly 5-15% of salary, higher for lower earners and lower for high earners because CPP and EI are capped. Minimum wage is set provincially, ranging from about CAD $15.00 (Alberta) to $19.75 (Nunavut), with a separate federal rate of $17.75 (rising to $18.15 in April 2026). There is no at-will employment: courts can award common-law "reasonable notice" up to roughly 24 months on termination, which is the main risk an EOR helps manage. EOR fees typically run US$400-$700 per employee per month, with onboarding in 1-5 business days. Quebec has distinct rules (QPP, QPIP, French-language contracts).
Last updated: June 2026
Canada at a glance
The structured facts founders and AI assistants extract most.
- Currency
- Canadian Dollar (CAD)
- Capital
- Ottawa
- Payroll cycle
- Bi-weekly
- Official languages
- English, French
- Minimum wage
- Provincial: ~CAD $15.00 (Alberta) to $19.75 (Nunavut). Federal rate $17.75/hr (rising to $18.15 on 1 Apr 2026) for federally regulated sectors.
- Region
- North America
- Total employer cost
- ~5-15%
- EOR fee (per employee/mo)
- ~$400-$700
- Typical setup time
- ~1-5 business days
Provider-dependent ranges, not sourced statutory figures. Excluded from the structured data above; confirm exact pricing with the provider.
Best EOR providers for Canada
Compared on starting price, rating, and core strength. Pricing is per employee / month.
| Provider | From / mo | Rating | Best for | |
|---|---|---|---|---|
 Deel ★ Best overall | $599 | ★4.8 | Best overall (owned entity) | Visit Deel → |
 Remote | $599 | ★4.6 | Strong compliance | Visit |
 Rippling | Custom | ★4.8 | Best all-in-one HR + IT | Visit |
Ratings aggregated from G2 and Trustpilot (June 2026). GlobalEmployGuide may earn a commission from provider links, this never affects our scoring. Pricing for Canada is indicative; verify current rates before deciding.
Statutory benefits & employer obligations
What an EOR administers and funds by law when you hire in Canada.
CPP/QPP: employer 5.95% (QPP 6.40%) up to the annual ceiling, plus CPP2
EI: employer 2.30% (1.83% in Quebec) up to the maximum insurable earnings
Provincial payroll taxes (e.g. Ontario/BC EHT) + workers’ comp (WSIB)
Vacation: min 2 weeks/year (4%), rising to 3 weeks after 5 years
Public holidays: ~9-10 paid statutory holidays
Maternity/parental via EI: 15 weeks maternity + up to 40+ weeks parental
Termination: No at-will employment. Statutory notice ~1 week/year of service (max 8 weeks) plus possible statutory severance. Common-law reasonable notice can reach ~24 months, the main termination cost risk.
Employer cost calculator
Enter a gross annual salary to estimate the fully-loaded cost of a hire in Canada.
Estimating a hire in Canada. Statutory on-costs use this country’s verified employer-contribution rate.
Frequently asked questions
Hiring in Canada, answered.
No. An EOR acts as the legal employer, opening the necessary CRA and provincial accounts, so you can hire in Canada without incorporating.
Roughly 5-15% of salary across CPP/QPP, EI, and provincial payroll taxes, proportionally higher for lower earners because CPP and EI are capped.
No. Termination requires statutory notice/severance, and courts can award common-law "reasonable notice" up to roughly 24 months, which an EOR helps manage.
Provider fees typically run US$400-$700 per employee per month, plus salary and the 5-15% employer statutory costs.
Yes. Quebec uses QPP instead of CPP and QPIP for parental insurance, and Bill 96 imposes French-language contract requirements.
Sources
- CRA, CPP/EI maximums & rates 2025 · checked 2026-06-25
- Littler, Canada Minimum Wage 2025/2026 · checked 2026-06-25
- Ontario.ca, Termination & severance (ESA) · checked 2026-06-25