Salary, wages, gratuities, bonuses, vacation pay, and commissions

What’s in this article?


What is this?

Employment income can consist of amounts you receive as salary, wages, commissions, bonuses, tips, gratuities, vacation pay, and honoraria. Employment income is taxable and subject to CPP/QPP contributions, PPIP premiums (if applicable), and EI premiums.

If you received employment income, your employer will issue a T4: Statement of Remuneration Paid slip. The T4 slip shows your income before deductions, CPP/QPP, EI, PPIP, RRSP contributions, and other amounts deducted such as income tax. Employment income is usually shown in box 14 of your T4 slip. Amounts such as commissions and bonuses may also be shown in the Other information area of your T4 slip.

Note: Tips and gratuities may or may not be reported on a T4 slip. However, if you received tips and gratuities, you must report it on your income tax return. It is your responsibility to track and report all your employment income. If you are a resident of Quebec, you must declare all your tips and gratuities to your employer so that it can be included on your slip.

If you received employment income from more than one job, you will receive a T4 from each employer. All T4s must be reported on your income tax return.

Some types of income might be reported on slip T4A: Statement of Pension, Retirement, Annuity, and Other Income. Click this link for more information on a T4A slip.


Am I eligible?

If you received a T4 slip from your employer, you must report it on your tax return. If you received more than one T4 slip, enter information for each slip separately on your return.


Where can I learn more?