The employer is currently required to withhold a premium of 1.88% on insured earnings to a maximum earnings ceiling of $49,500. Dallas Reimer earns $1,000 per week. What amount of Employment Insurance (EI) will be deducted from Dallas's pay each week?
A) $18.80
B) $0
C) $839.97
D) $25.62

Question

Quizplus · Accepted Answer

Dallas Reimer earns $1,000 per week, which is within the maximum earnings ceiling of $49,500 annually. The weekly EI deduction is calculated as 1.88% of $1,000, which equals $18.80.

The Employer Is Currently Required to Withhold a Premium of 1.88