How much vacation pay do you get in Ontario?
Under Ontario's Employment Standards Act, you get:
- Less than 5 years with your employer: 2 weeks of vacation and 4% vacation pay.
- 5 years or more: 3 weeks of vacation and 6% vacation pay.
Vacation pay is a percentage of the wages you earned in the year — so it applies to full-time, part-time, casual and temporary workers alike. Your contract can give you more, but never less.
Ontario vacation pay examples
| Hourly rate | Yearly wages (40 hrs/wk) | 4% vacation pay | 6% vacation pay | 4% per biweekly cheque |
|---|---|---|---|---|
| $17.95/hr | $37,336 | $1,493 | $2,240 | $57.44 |
| $20.00/hr | $41,600 | $1,664 | $2,496 | $64.00 |
| $25.00/hr | $52,000 | $2,080 | $3,120 | $80.00 |
| $30.00/hr | $62,400 | $2,496 | $3,744 | $96.00 |
So a full-time minimum wage worker earning $17.95 an hour builds about $1,493 in vacation pay a year — roughly two weeks' wages.
What counts toward vacation pay?
Vacation pay is calculated on the wages you earned in your vacation entitlement year, including:
- Regular wages and salary
- Overtime pay — see our Ontario overtime guide
- Public holiday pay and premium pay for working a holiday
- Commissions and non-discretionary bonuses (ones tied to hours, production or efficiency)
It does not include vacation pay itself, discretionary bonuses (like a surprise holiday gift), tips, or expense reimbursements.
When is vacation pay paid?
Your employer can pay it in one of three ways:
- Before you take vacation — the default.
- On each paycheque — if you agree in writing. It must show as a separate line on your pay stub (often "VacEachPay" or "Vac Pay").
- On the payday for the period your vacation falls in — if you're paid by direct deposit or agree to it.
If you get vacation pay on every cheque, you still get vacation time — it's just unpaid when you take it, because you've already been paid for it.
Part-time workers and leaving a job
Part-time and casual employees get the same 4% or 6%, calculated on whatever they earned. Someone working 20 hours a week at $20 an hour earns about $20,800 a year and $832 in vacation pay.
When you leave a job — whether you quit, are laid off or are fired — your employer must pay out all unpaid vacation pay you've earned, usually by your next regular payday or within seven days.
Vacation pay in other provinces
| Province | Starting | Increase |
|---|---|---|
| Ontario | 4% (2 weeks) | 6% (3 weeks) after 5 years |
| Quebec | 4% (2 weeks) | 6% (3 weeks) after 3 years |
| British Columbia | 4% (2 weeks) | 6% (3 weeks) after 5 years |
| Alberta | 4% (2 weeks) | 6% (3 weeks) after 5 years |
| Saskatchewan | 5.77% (3 weeks) | 7.69% (4 weeks) after 10 years |
| Newfoundland and Labrador | 4% (2 weeks) | 6% (3 weeks) after 15 years |
Use our vacation pay calculator for every province and territory.