2022 Surplus Distribution FAQ

The surplus is mainly due to: 

• Strong investment market performance which resulted in achieving better financial results than budgeted combined with continuous improvements made to the system.

Employers who fulfilled their payroll reporting responsibilities for 2021 and owed a WCB premium for 2021 are eligible to receive a share of the surplus distribution.

Employers who did not report their payroll for 2021 or who did not owe WCB premiums for 2021 are not eligible. However, if an employer subsequently submits their 2021 payroll, the WCB will process the surplus distribution which will be applied to their account.

The WCB is returning $95 million in surplus funds. Each eligible employer will receive a credit to their account of 50 per cent of their 2021 actual premium.

The 50 per cent surplus distribution will be calculated against an employer’s 2021 premium; the premium is determined by multiplying the WCB rate by every $100 of payroll.

Employers aligned to an Industry-Based Safety Program do not have their safety levies included in the 2021 premium used for the surplus distribution calculation. 

Eligible employers will receive a credit to their account, applied against their 2022 premium. These credits are reflected in the May WCB Account Statements.

Future surplus distributions will depend on the WCB’s funded position. The Board of Directors reviews the WCB’s funded position annually and determines if a surplus distribution is warranted.

Yes, the surplus distribution is taxable since it is a return of a 2022 tax deductible expense.