Payroll Processing
Pay runs, CRA source deductions, records of employment, and T4 slips handled on schedule so your staff are paid correctly and your remittances are never late.
Payroll carries more risk than most owners expect. Every pay period you have to calculate income tax, CPP contributions, and EI premiums correctly, remit both the employee and employer portions to the CRA by the due date, and track vacation pay and statutory holiday pay under Alberta employment standards. Late remittances attract a penalty of up to twenty percent of the amount owing, and the CRA treats source deductions as trust funds, which means directors can be held personally liable for amounts the corporation fails to remit.
We run payroll end to end. You send us hours or confirm salaries, we process the pay run, produce pay statements for your employees, and tell you exactly what to remit and when. Direct deposit is set up through your bank or the payroll platform so nobody is chasing cheques. Vacation accruals, bonuses, taxable benefits such as a company vehicle, and any garnishments are all handled inside the same run.
At year end we prepare and file your T4 slips and T4 Summary with the CRA before the last day of February and distribute copies to your employees. When someone leaves we issue the record of employment within the required timeframe so their EI claim is not delayed. If you use subcontractors in construction, we also handle the T5018 reporting the CRA requires.
What's Included
- Payroll processing on your schedule, weekly, biweekly, semi-monthly, or monthly
- CPP, EI, and income tax calculations with remittance amounts and due dates
- Employee pay statements and direct deposit setup
- Records of employment issued through Service Canada when staff leave
- Year-end T4 and T4 Summary preparation and filing, plus T5018 slips for construction subcontractors
FAQ
How often do I have to remit source deductions to the CRA?
Most new and small employers are on a monthly schedule, with remittances due by the fifteenth of the month following the pay. As your average monthly withholding grows the CRA moves you to a more frequent schedule. We track your threshold and tell you before the frequency changes.
Can I pay myself through payroll as the owner?
Yes, if you are an employee of your own corporation. Salary creates RRSP room and CPP contributions, and it is deductible to the corporation. Dividends avoid CPP but do not build RRSP room. The right mix depends on your situation, and we work that out as part of year-end planning.
What is the difference between an employee and a contractor?
The CRA looks at control, ownership of tools, chance of profit, and risk of loss rather than what the agreement says. Misclassifying an employee as a contractor can leave you owing back CPP and EI plus penalties. If you are unsure about a working relationship, we will review it with you before it becomes a problem.
Need help with Payroll Processing?
Tell A4SB about your accounting needs and we can discuss the support that may be relevant to your situation.