Quebec Economic Outlook and Fiscal Review

The government is announcing a decrease of 0.20 percentage points in the QPP base contribution rate, effective January 1, 2026. In other words, the QPP base contribution rate for 2026 is set at 10.6%, compared to 10.8% for 2025. This reduction will be shared equally between employees and employers, so the applicable base contribution rate for both will be established at 5.3%.

After announcing an 8% reduction in QPIP contribution rates for workers in September 2025, the minister announced an additional reduction effective January 1, bringing the total decrease to 13%. The new contribution rates will be:

• 0.430% for employees (compared to 0,494 % for 2025)
• 0.602% for employers (compared to 0,692 % for 2025)
• 0.764% for self-employed workers (compared to 0,878 % for 2025)

The reduction in social security contribution rates, applicable from January 1, 2026, will result in a maximum savings of $137 for an employee and $297 for a self-employed worker.

The table below shows the results of the decrease in the contribution rates for 2026:

Maximum Contributions to the Base Plan of the Québec Pension Plan and to the Québec Parental Insurance Plan – 2026 (in dollars)

Note: Figures are rounded; their sum may not correspond to the indicated total.

¹ Maximum Quebec Pension Plan contributions are calculated based on a maximum pensionable earnings amount of $74,600 in 2026.
² Maximum Quebec Parental Insurance Plan contributions are calculated based on a maximum insurable earnings amount of $103,000 in 2026.
³ Under the Quebec Pension Plan, self-employed workers pay both the employee and employer portions, as well as their own rate under the Quebec Parental Insurance Plan.

The Act respecting the Régie de l’assurance maladie du Québec will be amended to exempt certain employers in the agriculture, forestry, and fisheries sectors from paying the contribution to the HSF for 2026 and 2027, regardless of the amount of their total payroll.

An employer covered by this measure for the years 2026 and 2027 will be one whose total payroll for those years is attributable in a proportion of more than 50% to activities represented by one of the North American Industry Classification System (NAICS) codes described in the table below:

North American Industry Classification System (NAICS) codes applicable to the temporary contribution holiday to the Health Services Fund – Years 2026 and 2027

(1) The structure of NAICS is hierarchical. It is composed of five levels.
– level 1: sectors (two-digit codes);
– level 2: subsectors (three-digit codes);
– level 3: industry groups (four-digit codes);
– level 4: industries (five-digit codes);
– level 5: Canadian industries (six-digit codes).

No periodic payment of the contribution to the HSF will have to be made during these two years by an employer covered by this measure.

The Act respecting the Régie de l’assurance maladie du Québec will also be amended to provide that an individual with income from the agriculture, forestry, or fisheries sectors will be entitled to deduct, in calculating their total income for a given year—either 2026 or 2027—for the purposes of their HSF contribution, an amount equal to their net business income derived from these sectors.