Best weeks × 55%, capped at $729 — the 2026 Employment Insurance formula, step by step with examples.
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Estimates as of 3 November 2026, for information only — not legal advice or a decision on your claim; Service Canada decides eligibility and the exact amount. 2026 figures from Canada.ca: 55% benefit rate, maximum insurable earnings $68,900, maximum $729 a week (extended parental 33%, $437). Regional rates for 11 October to 7 November 2026.
EI regular benefits are 55% of your average insurable weekly earnings, up to $729 a week in 2026. The average is not taken over the whole year: Service Canada adds up your earnings in your highest-paid “best weeks” — between 14 and 22 depending on unemployment in your region — and divides by that number of weeks. Here is the full formula with worked examples.
The EI formula in one line
Weekly benefit = (earnings in best weeks ÷ number of best weeks) × 55%, max $729.
55% rate$68,900 insurable max$1,325 weekly cap14–22 best weeks
Compare EI with your normal take-home pay
Open the Ontario take-home pay calculator to see your 2026 pay after federal and Ontario tax, CPP and EI premiums — the number EI is really replacing.
Find your qualifying period. Normally the 52 weeks before your claim starts, or the time since your last claim began if that is shorter. Only work in this window counts.
Check you have enough insurable hours. Regular benefits need 420 to 700 hours depending on your region’s unemployment rate (the higher the rate, the fewer hours); sickness, maternity, parental and caregiving benefits need 600 hours everywhere.
Look up your number of best weeks. It depends on the regional unemployment rate when your claim starts — 22 weeks where unemployment is 6% or less, falling one week per percentage point to 14 weeks at 13.1% or more.
Add up insurable earnings in those weeks. Service Canada takes your highest-earning weeks from your Records of Employment, whether or not they are consecutive. Earnings count up to $68,900 a year (about $1,325 a week).
Divide by the number of best weeks — even if you worked fewer weeks than that. This gives your average insurable weekly earnings.
Multiply by 55% and round. The result can’t exceed $729. Low-income families with children may get the family supplement on top.
EI weekly = min($729, 55% × [earnings in best N weeks ÷ N])
Best weeks by regional unemployment rate
The “variable best weeks” rule was introduced in 2013 so that people in areas with lots of short-term work are not penalised for gaps. The same regional rate also sets how many hours you need to qualify:
Regional unemployment rate
Best weeks used
Hours to qualify (regular)
6.0% or less
22
700
6.1–7%
21
665
7.1–8%
20
630
8.1–9%
19
595
9.1–10%
18
560
10.1–11%
17
525
11.1–12%
16
490
12.1–13%
15
455
13.1% or more
14
420
Right now (11 October to 7 November 2026) Toronto’s rate is 6.9%, so claims there use 21 best weeks and need 665 hours; Winnipeg (5%) uses 22; rural Newfoundland and Labrador (11.6%) uses 16. Rates are updated every four weeks, and the rate that applies is the one in force for the week your claim begins.
Irregular earnings: the 20 highest weeks (gold) average $1,171, so the benefit is $644 a week. Zero weeks at the start are simply ignored.
Worked examples
Situation
Best weeks
Earnings counted
Average weekly
EI / week
Steady $52,000 salary (Toronto)
21
$21,000
$1,000
$550
Hourly $28 × 40 h, seasonal, 30 weeks worked (London)
19
$21,280
$1,120
$616
$1,200/week but only 15 weeks of work (Toronto)
21
$18,000
$857
$471
$95,000 salary — above the cap
21
$27,825
$1,325
$729
The first example is the simplest: a steady salary makes every week identical. The second shows why the best-weeks rule matters for seasonal work: the weeks with no work and the weeks with fewer hours don’t drag the average down as long as you have at least 19 good weeks. The third is the trap — 15 weeks of earnings divided by 21 weeks cuts the average by almost a third. The fourth shows the ceiling: earnings above $1,325 a week are not insurable, so the benefit stops at $729.
What counts as insurable earnings?
Insurable earnings are generally the gross pay your employer reports on your Record of Employment: wages and salary, overtime, commissions, most bonuses, taxable benefits paid in cash, tips that are controlled by the employer, and vacation pay paid out during employment. They are the same earnings your EI premiums were deducted from — which is why they stop at $68,900, the same ceiling as the 1.63% premium. Severance and retiring allowances are not insurable earnings, so they never raise your benefit rate (and for claims starting by 9 October 2027 they don’t reduce it either).
What the formula does not include
Your salary on paper. Only what you actually earned in the qualifying period counts. A raise just before a layoff helps only if it shows up in your best weeks.
Your province. The rate and maximum are national; only the unemployment rate of your EI economic region matters (Quebec workers pay a lower premium because maternity and parental benefits come from QPIP).
Tax. The $729 maximum is before income tax, which Service Canada withholds from each payment — see is EI taxable.
Check your take-home pay before and after
The Ontario take-home pay calculator shows your 2026 net pay after tax, CPP and EI premiums — the income your EI benefit is replacing.
Service Canada adds your insurable earnings in your best 14 to 22 weeks (depending on your region's unemployment rate), divides by that number of weeks and pays 55% of the result, up to $729 a week.
What are best weeks for EI?
They are your highest-paid weeks in the qualifying period (usually the last 52 weeks). The number used depends on the regional unemployment rate: 22 weeks at 6% or less, down to 14 weeks at 13.1% or more.
Does EI use gross or net pay?
Gross insurable earnings — pay before tax and deductions — up to $68,900 a year.
What if I worked fewer weeks than my best weeks number?
Your earnings are still divided by the full number of best weeks, so working fewer weeks lowers your average and your benefit.
Is overtime included in the EI calculation?
Yes. Overtime, commissions and most bonuses are insurable earnings and can increase your best weeks, up to the annual maximum.
Benefit rate and maximums: Canada.ca “EI regular benefits: How much you could receive” and the maternity/parental and sickness benefit-amount pages — 55% of average insurable weekly earnings; maximum yearly insurable earnings $68,900 from 1 January 2026 ($65,700 in 2025); maximum $729 a week ($695 in 2025); extended parental 33%, maximum $437.
Best weeks (14 to 22) and the weeks you can be paid come from the regional unemployment rate: Employment Insurance Act, Schedule I, and Service Canada’s “EI Program Characteristics” for 11 October to 7 November 2026 (rates are updated every four weeks).
2026 temporary measures: Canada Gazette Part II, SOR/2026-203 (EI Pilot Project No. 25, in force 11 October 2026) — waiting week waived and separation money not deducted for claims starting up to 9 October 2027; up to 20 extra weeks for long-tenured workers for claims starting up to 12 June 2027; only the most recent separation assessed.
Repayment (clawback): 30% of the lesser of regular benefits or net income above $86,125 (2026 = 1.25 × maximum insurable earnings). Premiums 2026: 1.63% of insurable earnings (Quebec 1.30%), maximum $1,123.07.
Tax withheld is our estimate: the weekly benefit annualized through 2026 federal and Ontario tax brackets with basic personal amounts (and the Ontario Health Premium). Service Canada’s actual deduction and your final tax depend on your total income for the year. Take-home pay while working: 2026 Ontario, from our Canada salary after tax engine.