They say that health is wealth and that’s true to a certain extent. Our health allows us to go to work and earn a paycheck to pay our bills. However, you never know when illness could strike. Employment Insurance allows Canadians to sign up for sickness benefits which provides temporary income for a period of up to 15 weeks, in addition to what your employer might provide. Be aware of any plans provided by your employer that allows you to take paid short term sick leave or short term disability benefits.
Qualifying
To qualify for sickness benefits, you must provide proof that you’re diagnosed with a medical condition that keeps you from work. Your doctor or practitioner may provide you with such proof. A formal application must be submitted and vetted. In addition –
- You’re unable to work due to a medical condition.
- Your average weekly earnings have dropped by more than 40%.
- You have accumulated more than 600 insurable hours of work during the last 52 weeks.
Be aware that if you were receiving any income from EI in the last 12 months, the amount of weeks that you can qualify for sickness benefits might be limited.
Amount of Benefits
Employment Insurance will provide you up to 15 weeks of sickness benefits. The amount varies but it’s usually 55% of your average weekly insurable earnings. There is no fixed amount and each person’s application is different.
For 2020, this is capped to a maximum of $573 per week.
If your family net income is less than $25,951, you may qualify for an enhanced benefit during the application process.
Applying for the Benefits
It’s recommended that you apply as soon as possible in order to start receiving benefits. You start your application online. Before you apply, make sure that you have the following:
- Social Insurance Number
- Government Issued ID or Passport
- Direct Deposit Information or Void Cheque
- Your Employment Information
- Dismissal of employment letter if applicable
- Record of Employment for the last 52 weeks
- Mother’s Maiden Name
- Medical Certificate
Medical Certificate – As part of the application process, you have to provide proof of your medical condition. You can visit your local doctor or practitioner upon which they will provide you with a letter, possibly at a cost to you, or you may fill out Service Canada’s official form – Medical Certificate for Employment Insurance Sickness Benefits
Receiving Benefits
After you’ve applied and your application has been accepted, your first payment should be received within 28 days with a 1 week waiting period in between. Bi-weekly reports mut be completed in order to continue receiving payments. The bi-weekly reports confirm your continuous eligibility.
Taxes
EI payments are taxable income and must be reported. Anyone receiving payments from EI will get issued a T4E which must be filed with your income tax return for that particular year.