How much vacation pay are you owed in Canada? This vacation pay calculator gives you the exact figure: enter your annual gross wages and years of service, and it applies the correct legal rate for your province. Most Canadian employees earn 4% of gross wages (two weeks of vacation), rising to 6% (three weeks) after five years of service, or after just three years in Quebec. The calculator handles the provincial differences automatically.
Vacation Pay Calculator
Your vacation pay:
Vacation Pay Rates by Province
| Province / Territory | First Years | After Threshold | Threshold |
|---|---|---|---|
| Ontario | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Quebec | 4% (2 weeks) | 6% (3 weeks) | 3 years |
| Alberta | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| British Columbia | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Manitoba | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Saskatchewan | 3/52 of wages (3 weeks after 1 year) | 4/52 of wages (4 weeks) | 10 years |
| New Brunswick | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Nova Scotia | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| PEI | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Newfoundland and Labrador | 4% (2 weeks) | 6% (3 weeks) | 5 years |
| Yukon, NWT, Nunavut | 4% (2 weeks) | 6% (3 weeks) | 5 years |
Saskatchewan is the outlier: it grants three weeks after just one year and four weeks after ten years. Quebec reaches three weeks after three years instead of five.
When Is Vacation Pay Paid?
Employers can pay vacation pay on each paycheque (shown as a separate line on your pay stub), in a lump sum before your vacation, or when the vacation is taken. In Ontario, vacation pay must be paid no later than the payday for the pay period in which your vacation starts. If your employer pays it per paycheque, check your stub: it must appear as a distinct line item.
Vacation Pay When You Leave a Job
When your employment ends, your employer must pay out any accrued but unused vacation pay on your final paycheque, including the current year’s accrual plus banked vacation from prior years. In Ontario, vacation pay owing on termination is treated as wages. Our severance pay guide covers how final payouts are taxed.
Part-Time, Casual, and Contract Workers
Part-time and casual employees accrue vacation pay at the same percentage rates, applied to their actual wages. Fixed-term contract workers are entitled to vacation pay on wages earned during the contract. Genuinely self-employed contractors are not covered by employment standards vacation rules.
What Counts Toward Vacation Pay
Gross wages generally include salary, hourly wages, commissions, piece-work earnings, and statutory holiday pay. Overtime is included in most provinces. Taxable benefits are excluded.
Is Vacation Pay Taxed?
Yes. Vacation pay is employment income subject to federal and provincial income tax, CPP/QPP, and EI/QPIP, exactly like regular wages. To see the after-tax effect, run the amount through our payroll deductions calculator.
Worked Example: Vacation Pay on a $52,000 Salary
Say you earn $52,000 a year in Ontario. In your second year with the same employer, your vacation pay rate is 4%, so you accrue $2,080 over the year, the equivalent of two weeks of pay. Once you pass five years of service the rate rises to 6%, and the same salary accrues $3,120, or three weeks. Saskatchewan works differently: three weeks after just one year of service means vacation pay of 3/52 of wages, which comes to $3,000 on a $52,000 salary, and after ten years it is 4/52, or $4,000. Enter your own salary in the calculator above to see the figure for your province and service length.
How to Check Vacation Pay on Your Pay Stub
If your employer pays vacation pay on each paycheque, it must appear as its own line on your pay stub, separate from your regular wages. The check is simple: multiply your gross wages for the pay period by your rate and compare. On $2,000 of biweekly gross wages at 4%, the vacation pay line should read $80. If your employer instead banks your vacation pay until you take time off, ask for the accrued balance; most payroll systems track it, and you are entitled to know it. Our pay stub guide explains how to read every line of a Canadian pay stub.
Common Vacation Pay Errors to Watch For
Three mistakes account for most underpaid vacation pay. The first is staying on the 4% rate after you cross the service threshold that raises it: five years in most provinces, three years in Quebec, and Saskatchewan’s separate scale. The second is overtime earnings being left out of the wage base in provinces that include them. The third is accrued vacation pay going missing from a final paycheque when a job ends, even though it is owed in full. If your stub or final pay does not match the calculator above, raise it with your employer in writing first; provincial employment standards offices can confirm the rule for your situation.
Can You Skip Vacation and Take the Cash
Generally no, at least not for the minimum entitlement. Employment standards law requires you to actually take your vacation time. Some provinces allow you to forgo vacation and take only the pay if both you and your employer agree in writing and the employment standards director approves.
Vacation Entitlements Across Canada: Province by Province
Ontario: 2 weeks after 1 year, 3 weeks after 5 years. British Columbia: 2 weeks after 1 year, 3 weeks after 5 consecutive years. Alberta: 2 weeks after 1 year, 3 weeks after 5 years. Manitoba: 2 weeks after 1 year, 3 weeks after 5 years. Quebec: 2 weeks after 1 to 3 years of uninterrupted service, 3 weeks after 3 years. Saskatchewan: 3 weeks after 1 year, the most generous starting entitlement in the country. Nova Scotia, New Brunswick, Newfoundland and Labrador, and PEI: 2 weeks after 1 year, with 3 weeks after longer service periods that vary by province. Federally regulated: 2 weeks after 1 year, 3 after 5, 4 after 10. When you change jobs, your seniority clock usually resets, so factor that into any move.
Can Your Employer Dictate When You Take Vacation
Yes, within limits. Employers can generally schedule vacations, require advance requests, and black out busy periods. What they cannot do is prevent you from taking your full legal entitlement. Most provinces require that vacation be taken within 10 to 12 months of being earned.
Frequently Asked Questions
How much vacation pay do I get in Canada?
At least 4% of your gross wages (two weeks) in every province. After five years of service (three in Quebec), it rises to 6% (three weeks). Saskatchewan grants three weeks after one year.
Is vacation pay taxed in Canada?
Yes. Vacation pay is employment income subject to income tax, CPP/QPP, and EI/QPIP, exactly like regular wages.
When does vacation pay increase to 6%?
After five years of continuous service with the same employer in most provinces, and after three years in Quebec.
What happens to unused vacation pay when I quit?
Your employer must pay out all accrued but unused vacation pay on your final paycheque, including the current year’s accrual.
Do I get vacation pay on overtime and bonuses?
Overtime is generally included in the wage base in most provinces. Bonuses depend on the province
Can my employer pay vacation pay on every paycheque?
In most provinces, yes, provided you agree in writing; in Ontario an electronic agreement counts. Your pay stub must still show vacation pay as a separate line so the amount can be verified. If you would rather receive the money when you actually take your vacation, tell your employer before you sign the agreement.
Do I keep accruing vacation during maternity or parental leave?
Your years of service keep counting during statutory leaves such as maternity and parental leave in most provinces, so a leave does not delay your move from the 4% rate to the 6% rate. Vacation pay itself is a percentage of wages earned, so it does not grow during an unpaid leave.
Last updated: October 14, 2026 • Author: Paycheck Calculator Team