Vacation Pay Calculator
Calculate your vacation pay entitlement by province — 4% or 6% based on years of service, 2026 Canadian rules.
📋 Vacation Pay Rates by Province (2026)
| Province | Standard Rate | Higher Rate | Threshold |
|---|---|---|---|
| Ontario | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| British Columbia | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| Alberta | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| Quebec | 4% (2 weeks) | 6% (3 weeks) | After 3 years |
| Manitoba | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| Saskatchewan | 4% (2 weeks) | 6% (3 weeks) | After 10 years |
| Nova Scotia | 4% (2 weeks) | 6% (3 weeks) | After 8 years |
| New Brunswick | 4% (2 weeks) | 6% (3 weeks) | After 8 years |
| PEI | 4% (2 weeks) | 6% (3 weeks) | After 8 years |
| Newfoundland | 4% (2 weeks) | 6% (3 weeks) | After 15 years |
| Yukon | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| NWT | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
| Nunavut | 4% (2 weeks) | 6% (3 weeks) | After 5 years |
⚠️ These are minimum entitlements. Your employer may offer more generous terms. Always check your employment contract or collective agreement.
📐 How It's Calculated
Vacation pay = Gross wages × Rate
Minimum rate: 4% (2 weeks) for most provinces
After qualifying years: 6% (3 weeks)
Gross wages include overtime, commissions, and bonuses. Vacation pay is earned on all taxable earnings.
💡 Key Rules
- ✅ Vacation pay applies to all wages
- ✅ Includes overtime & commissions
- ✅ Accrues even during probation
- ✅ Must be paid out on termination
- ✅ Can be paid each cheque or lump sum
- ❌ Vacation pay ≠ vacation time off
About the Vacation Pay Calculator
This calculator applies the minimum vacation pay rates set out under each province's employment standards legislation. The standard Canadian rate is 4% of gross wages (2 weeks) for most employees. After a qualifying period — which ranges from 3 years in Quebec to 15 years in Newfoundland — the rate increases to 6% (3 weeks). These are statutory minimums: your employer or collective agreement may provide better terms.
Vacation pay applies to all gross wages, including regular pay, overtime, commissions, stat holiday pay, and bonuses. It does not apply to expenses reimbursements or severance. If you receive vacation pay on each paycheque (shown as "VacEachPay" on Payworks stubs), the total amount is the same as if it were banked and paid out before vacation — it's just a timing difference, not a benefit change.
One important distinction: vacation pay (the dollar amount) is separate from vacation time (the weeks off). An employer can owe you 4% of your wages as vacation pay, and separately you're entitled to a minimum number of weeks off per year. If you leave a job, all accrued but unpaid vacation pay must be paid out on your final paycheque in every Canadian province.