Overview
Organizations may need to update or create CRA Payroll (RP) accounts if their Employer EI rate changes. The EI rate is always managed within the RP account.
There are two main scenarios:
Update an Existing CRA Payroll Account – when the EI rate changes but continues to apply to the same RP account.
Create a New CRA Payroll Account for a Reduced EI Rate – when Service Canada has approved a reduced EI rate and issued a new RP account number.
1. Updating an Existing CRA Payroll Account (Reduced EI Rate)
Use this process if the EI rate has changed but the current RP account is still valid for all employees.
Steps
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Access CRA Payroll Setup
Go to: Payroll Administration > Canada > Setup CRA Payroll Account
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Or use Global Search → type CRA Setup → select Payroll > Canada > Setup CRA Payroll Account
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Select the Payroll Account
If multiple RP accounts exist, locate the correct one.
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Click Edit on the left side of the record.
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Update Employer EI Rate
In the CA Config section, open Employer Reduced Rate Category.
Rate Category: Select the correct category (1–4) from your Service Canada letter, allocate on the CRA table.
Start Date: enter the effective date if later in the year.
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Where to find your reduced category:
Look at your Service Canada confirmation letter for the reduced EI rate rate.
Go to the CRA website (link: https://www.canada.ca/en/employment-social-development/programs/ei/ei-list/ei-employers/premium-reduction-program/2025-rates-multiples.html) or reference the table below
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How to use the table:
Find your Rate (%) from the Service Canada letter.
Match that rate to the corresponding Category (1–4) in the table.
Confirm the Multiple and Eligibility Months column.
Select that category in ZonePayroll when updating your EI rate.
📌 Example:
If your organization is approved under Category 3 (Weekly Indemnity Plans) in 2025, the CRA table shows a Multiple of 1.173 for 12 months of eligibility.
This means the employer portion of EI will be calculated at 1.173% in 2025
In ZonePayroll, you would select Category 3 and confirm the start date of Jan 1.
Validate the New Rate
Run a sample pay run to confirm the updated EI rate calculates correctly.
Roll back the test run after verification.
2. Creating a New CRA Payroll Account (Reduced EI Rate)
Use this process if Service Canada has approved a reduced EI rate for your organization and provided a new RP number (e.g., RP0002).
⚠️ Important: Once created, you must assign the new RP account to all eligible employees to ensure correct EI calculations.
Steps
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Copy an Existing CRA Account
Open an existing CRA Payroll Account in Edit mode.
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From the Save dropdown, choose Save and Copy.
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Update Basic Account Information
Enter a new name for the account.
Enter the new RP number from your Service Canada letter under Branch / Account No.
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Ensure all other fields match the original account.
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Update the CA Config Section
Select the correct reduced rate under Employer Reduced Rate Category.
Enter the start date if effective mid-year (leave blank if January 1).
Confirm the Remitter Type.
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Validate the New RP Account and Rate
Assign the account to a test employee.
Run a sample pay run to confirm the reduced EI rate is applied.
Roll back the test run after verification.
⚠️ Warning: Possible Payroll Remittance Adjustments
Depending on the type of EI rate change and when in the year it takes effect, you may need to adjust your upcoming CRA payroll remittances.
You may only use a reduced EI rate if you have an official confirmation letter from Service Canada.
Applying a reduced rate without this letter may lead to CRA penalties or reassessments.
✅ Next Steps
Confirm all eligible employees are assigned to the correct RP account.
Review future remittances carefully to ensure adjustments are applied correctly.