1. Administering Payroll for Canada End-of-Year Processing
  2. Year-End Balance Feeds

Year-End Balance Feeds

Before you start the end-of-year processing, review the balances required for year-end reporting. Many of the year-end balances are predefined for you, but if required, manually configure additional year-end balance feeds.

Use the Balance Definitions task under Payroll in My Client Groups on the Home page to manually configure the year-end feeds for balances that are reported on the year-end slips.

Note:

Generally, the best practice is to create the year-end feeds using the same date that the balance is created. If you don't create it using the same date and it's the first year that you're configuring the feeds, set up the year-end balance feeds with an effective date prior to December, 31 of the calendar year you're reporting. Once this is configured, you need not make changes in the subsequent years.

Note:
For proper year-end processing and reporting, you must also create the balance feed for the related retroactive element when the element is:

  • User-defined

  • Processed in a payroll run during the year

  • Retroactively enabled

T4 Predefined Balances

This table lists the balances that are automatically fed. You must manually establish feeds for the rest of the balances reported on year-end slips.

T4 Box

Box Definition

Predefined Balance

14

Employment Income

Gross Earnings

Note:

Use the T4 Box 14 Adjustment balance to reduce box 14, if required. For example, to exclude Indian exempt wages.

16

Employee's Canada Pension Plan (CPP) Contributions

CPP Employee Withheld

Note:

If an employee is paid after the CPP Election Date on their tax calculation card, the CPP annual maximum contribution and CPP yearly maximum pensionable earnings are prorated based on the number of months in the year they were subject to CPP.

If the employee contributed over this limit, the CPP Withheld is refunded and the CPP Taxable amount is adjusted to bring the year-to-date values in line with the prorated limits.

16A

Employee's second Canada Pension Plan (CPP2) contributions

CPP2 Employee Withheld

Note:

Only applicable to slips

filed for calendar year 2024 and

after.

17

Employee's Quebec Pension Plan (QPP) Contributions

QPP Employee Withheld

17A

Employee's second Quebec Pension Plan (QPP2) Contributions

QPP2 Employee Withheld

Note:

Only applicable to slips

filed for calendar year 2024 and

after.

18

Employee's Employment Insurance (EI) premiums

EI Employee Withheld

22

Income tax deducted

Federal Tax Withheld

24

EI Insurable earnings

EI Employee Taxable

26

CPP/QPP pensionable earnings

CPP Employee Taxable + CPP2 Employee Taxable + QPP Employee Taxable + QPP2 Employee Taxable

Note:

This includes both CPP/QPP and CPP2/QPP2 Employee Taxable amounts.

55

Provincial Parental Insurance Plan (PPIP)

QPIP Employee Withheld

56

PPIP insurable earnings

QPIP Employee Taxable

T4A Predefined Balances

This table lists the balances that are automatically fed. You must manually establish feeds for the rest of the balances reported on year-end slips.

T4A Box

Box Definition

Predefined Balance

22

Income Tax deducted

Federal Tax Withheld

RL-1 Predefined Balances

This table lists the balances that are automatically fed. You must manually establish feeds for the rest of the balances reported on year-end slips.

RL-1 Box

Box Definition

Predefined Balance

A

Employment income before source deductions

Gross Earnings

Note:

Use balance RL-1 Box A Adjustment to reduce box A, if required. For example, to exclude Indian exempt wages.

Also,if you are using an information element to adjust this balance, you must include the Province and Reporting Type context input values for the adjustment. You also must populate the values for the Province (geography code for the province) and Reporting Type (T4_RL1) in the adjustment.

BA

Quebec Pension Plan (QPP) contribution

QPP Employee Withheld

BB

Additional QPP contribution

QPP2 Employee Withheld

C

Employment Insurance (EI) premium

EI Employee Withheld

E

Quebec income tax (including the health contribution) withheld at source

Provincial Tax Withheld

G

Pensionable salary or wages under the Quebec Pension Plan (QPP)

QPP Employee Taxable

H

Quebec Parental Insurance Plan (QPIP) premium

QPIP Employee Withheld

I

Eligible salary or wages under the Quebec Parental Insurance Plan (QPIP)

QPIP Employee Taxable

O - Code RZ

Amount derived from more than one source

Derived by the Oracle Fusion application

Other Information B-1

Canada Pension Plan (CPP) contribution

CPP Employee Withheld

Note:

If an employee is paid after the CPP Election Date on their tax calculation card, the CPP Withheld and CPP Taxable annual maximum limits are prorated based on the number of months in the year they were subject to CPP. If the employee contributed over this limit, the CPP Withheld is refunded and the CPP Taxable amount is adjusted to bring the year-to-date values in line with the prorated limits.

Other Information B-2

Additional CPP contribution

CPP2 Employee Withheld

Other Information G-1

Taxable benefit in kind

RL-1 Taxable Benefit Paid in Kind

Other Information G-2

Pensionable earnings under the Canada Pension Plan (CPP)

CPP Employee Taxable

RL-2 Predefined Balances

This table lists the balances that are automatically fed. You must manually establish feeds for the rest of the balances reported on year-end slips.

RL-2 Box

Box Definition

Predefined Balance

J

Quebec Income Tax Deducted

Provincial Tax Withheld

The element that you should feed to the year-end balances is the 'Results' element and not the 'Base' element. However, for elements with a primary classification of Information, you must use the 'Base' element for balance feeds. A Results element isn't created for Information elements.

Refer to the appendix at the end of this document for additional information about the Oracle Fusion balances that map to the individual boxes on the year-end slips.

Example: Balance Feed to T4 Union Dues

This example illustrates a scenario for year-end reporting of the Union Dues balance on the T4 Box 44. This is a feed from a voluntary deduction element. This is an example and may not meet your business requirements. You must feed all balances that meet your business requirements.

Note:
For proper year-end processing and reporting, you must also create the balance feed for the related retroactive element when the element is:

  • User-defined

  • Processed in a payroll run during the year

  • Retroactively enabled

Note:

You must feed retroactive elements to the year-end balances in the same way the base element is, to be included in the box balance.

T4 Union Dues balance

Element Name

Element Primary Classification

Input Value

Balance Name

Add or Subtract

T4 Union Dues Results (user-defined element)

Voluntary Deductions

Pay Value

T4 Union Dues

Add

T4 Union Dues Retroactive (shadow element created for base user-defined element)

Voluntary Deductions

Pay Value

T4 Union Dues

Add

Example: Balance Feed to T4 Code 69 - Indian Exempt Income, Non-eligible Retiring Allowances and T4 Box 14 Adjustment

This example illustrates a scenario for year-end reporting of Indian Exempt balances. This is an example and may not meet your business requirements. You must feed all balances that meet your business requirements.

Note:

For proper reporting at year-end, you must create separate elements for Indian exempt and non-Indian exempt cases. This enables you to create the necessary balance feeds to the year-end box balances reported on year-end slips.

Note:
For proper year-end processing and reporting, you must also create the balance feed for the related retroactive element when the element is:

  • User-defined

  • Processed in a payroll run during the year

  • Retroactively enabled

In this example, the feed is required from a supplemental earnings element to report Indian Exempt wages in the T4, Code 69, and adjust T4 Box 14 (for an Indian exempt percentage-based employee, 100% of Retiring Allowance payment must be reduced from Box 14 and not just the Indian exempt portion).

Note:

You must feed retroactive elements to the year-end balances in the same way the base element is, to be included in the box balance.

Note:

You must use the Results element for the user-defined elements.

Reporting of Indian Exempt Income

Element Name

Element Primary Classification

Input Value

Balance Name

Add or Subtract

T4 Indian Exempt Retiring Allowance Earnings Results (user-defined element)

Supplemental Earnings

Supplemental Indian

T4 Indian Exempt Income, Non-eligible Retiring Allowances

Add

T4 Indian Exempt Retiring Allowance Earnings Results (user-defined element)

Supplemental Earnings

Earnings

T4 Box 14 Adjustment

Subtract

T4 Indian Exempt Retiring Allowance Earnings Results (user-defined element)

Supplemental Earnings

Supplemental Indian

T4 Box 14 Adjustment

Add

T4 Indian Exempt Retiring Allowance Earnings Retroactive (shadow element created for base user-defined element)

Supplemental Earnings

Supplemental Indian

T4 Indian Exempt Income, Non-eligible Retiring Allowances

Add

T4 Indian Exempt Retiring Allowance Earnings Retroactive (shadow element created for base user-defined element)

Supplemental Earnings

Earnings

T4 Box 14 Adjustment

Subtract

T4 Indian Exempt Retiring Allowance Earnings Retroactive (shadow element created for base user-defined element)

Supplemental Earnings

Supplemental Indian

T4 Box 14 Adjustment

Add

Federal Indian Wages (seeded element)

Employee Tax Deductions

Federal T4 Gross

T4 Box 14 Adjustment

Subtract