Recent changes – Social programs and benefits
1 For more information including the amounts paid by the provinces, visit the Removing the consumer carbon price from Canadian law effective April 1, 2025 page.
Employers
The employer HSF contribution rate is generally 1.65% for employers whose total worldwide annual payroll for all associated corporations is $1M or less. The rate is reduced to 1.25% for employers in the primary and manufacturing sectors. When the payroll exceeds $1M, the rate increases gradually up to 4.26% when the payroll reaches $7.5M.29
Individuals
Every individual, other than a trust, resident in Quebec has to pay an HSF contribution. All of the individual's income (i.e., business income earned in Quebec, pension income, property income and capital gains) is subject to the contribution except, among others, employment income, taxable support payments received, the grossed-up portion of dividends received from taxable Canadian corporations as well as any OAS benefits. Certain deductions can reduce the amount subject to the contribution. The contribution must be included in the calculation of instalments to be paid by individuals.
Income subject to contribution30 | 2025 contribution | ||
$0 | – | $18,130 | No contribution |
$18,130 | – | $33,130 | 1% of income > $18,130 |
$33,130 | – | $63,060 | $150 |
$60,060 | – | $148,600 | $150 plus 1% of income > $63,060 |
$148,600 | and more | $1,000 | |
29 Threshold for 2025, indexed annually.
30 Indexed annually.