Manitoba

Health and Post-Secondary Education Tax Levy in Manitoba

Manitoba raised its exemption to $2,500,000 on 1 January 2026: the most generous threshold of the five provinces that charge this tax.

Include the payroll of associated employers: the thresholds apply to the group, not each company.

Health and Post-Secondary Education Tax Levy

Payroll
$2,000,000.00
Exemption
$2,500,000.00
Amount taxed
$0.00
Employer health tax
$0.00

Total remuneration of $2,500,000 or less is exempt (the threshold rose from $2.25M on 1 January 2026).

How this is calculated

Total remuneration of $2,500,000 or less is exempt. The threshold rose from $2,250,000 effective 1 January 2026, and the reduced-rate threshold rose from $4.5M to $5.0M at the same time.

Between $2.5M and $5.0M a notch provision charges 4.3% on the amount over $2.5M.

Above $5.0M, 2.15% applies to the total payroll: the first $2.5M is not deducted, so this is a cliff rather than a taper.

The threshold applies to an associated group of employers, not to each corporation separately: splitting payroll across two companies you control does not buy two exemptions.

Comma does not run payroll. It takes the journal your payroll provider produces and keeps the resulting liabilities: including this one: in accounts you can reconcile, so what you owe is a balance rather than something rebuilt at year end.

Where these figures come from

This tool gives an estimate from published rules and rates. It is not accounting, tax or legal advice, and it does not account for every situation: check the source above, or ask your accountant, before you act on it. Nothing you enter is stored or sent anywhere.