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How Much to Save for Maternity Leave Canada 2026

Updated

Savings Target Quick Reference

Situation Suggested Savings
No employer top-up $15,000-$25,000
Partial top-up (6-12 weeks) $10,000-$18,000
Full top-up (17+ weeks) $5,000-$12,000
Extended 18-month leave Add $10,000-$20,000

Understanding EI Benefits

2025 EI Maternity/Parental Rates

Benefit Type Rate Maximum Weekly
Maternity (birth parent) 55% $668
Standard parental 55% $668
Extended parental 33% $401

Leave Duration Options

Option Duration Weekly Rate
Maternity only 15 weeks 55% (max $668)
Standard parental 40 weeks (35 shareable) 55%
Extended parental 69 weeks (61 shareable) 33%
Total (standard) 55 weeks 55%
Total (extended) 84 weeks 33%

Calculate Your Income Gap

Step 1: Current Monthly Income

Income Monthly Net
$50,000/year ~$3,400
$65,000/year ~$4,200
$80,000/year ~$5,000
$100,000/year ~$6,100
$120,000/year ~$7,100

Step 2: EI Benefits

Gross Salary EI Weekly (55%) Monthly EI Gap vs Net
$50,000 $528 $2,290 ~$1,100
$65,000 $668 (capped) $2,895 ~$1,300
$80,000 $668 (capped) $2,895 ~$2,100
$100,000 $668 (capped) $2,895 ~$3,200
$120,000 $668 (capped) $2,895 ~$4,200

Step 3: Multiply by Months

Income Monthly Gap 12-Month Shortage
$50,000 $1,100 $13,200
$65,000 $1,300 $15,600
$80,000 $2,100 $25,200
$100,000 $3,200 $38,400
$120,000 $4,200 $50,400

Employer Top-Up Impact

Common Top-Up Structures

Employer Type Top-Up Duration
Federal government 93% 17 weeks
Some large corps 75-100% 6-17 weeks
Many employers None N/A
Negotiated Varies Varies

Savings With Top-Up Example

$80,000 salary, 17-week top-up to 93%

Period Income Monthly Gap
Weeks 1-17 93% salary ~$350
Weeks 18-55 55% EI only ~$2,100
Period Duration Shortage
With top-up 4 months ~$1,400
EI only 9 months ~$18,900
Total 13 months ~$20,300

Extended Leave Costs

18-Month Leave (Extended Parental)

Benefit Change Impact
Rate drops to 33% Much lower benefits
More weeks Longer without income
Income Monthly EI (33%) Gap vs Net
$50,000 $1,375 ~$2,025
$80,000 $1,740 ~$3,260
$100,000+ $1,740 ~$4,360

18-Month Savings Needed

Income 18-Month Gap
$50,000 ~$36,000
$80,000 ~$59,000
$100,000 ~$78,000

These numbers show why most higher earners choose 12-month leave.

Baby Expenses to Add

First Year Baby Costs

Category Estimate
Nursery setup $1,500-$5,000
Gear (stroller, car seat) $1,000-$3,000
Diapers & supplies $1,200-$2,000
Formula (if needed) $0-$3,000
Clothing $600-$1,500
First year total $4,000-$15,000

Add to Leave Savings

Category Target
Income gap $15,000-$25,000
Baby expenses $5,000-$10,000
Emergency buffer $5,000
Total savings $25,000-$40,000

Building Your Mat Leave Fund

Timeline to Save

Months Before Monthly Savings Needed ($20K goal)
24 months $833
18 months $1,111
12 months $1,667
9 months $2,222

Where to Save

Account Best For
HISA Accessible, earning interest
TFSA HISA Tax-free interest
Joint account Shared planning

Other Income Sources

Canada Child Benefit

Income Monthly CCB (1 child <6)
Under $36,502 ~$620
$50,000 ~$570
$75,000 ~$480
$100,000 ~$370
$150,000 ~$130

Provincial Benefits

Province Program
Quebec QPIP (higher benefits)
BC BC Family Benefit
Alberta Alberta Child Benefit
Ontario Ontario Child Benefit

Reducing Leave Expenses

Ways to Lower Costs

Strategy Savings
Reduce discretionary spending $200-$500/month
Buy used baby items $1,000-$3,000
Accept hand-me-downs Varies
Meal prep before leave $200-$400/month
Pause subscriptions $50-$150/month

Budget on Leave

Category Pre-Leave On Leave
Dining out $400 $100
Entertainment $200 $50
Shopping $300 $100
Transportation $400 $200
Monthly savings - $650

Savings Checklist

Before Leave

Task Timeline
☐ Calculate income gap 12+ months before
☐ Check employer top-up 12+ months before
☐ Start saving ASAP
☐ Open HISA 12+ months before
☐ Build emergency fund 6+ months before
☐ Research baby costs 6 months before
☐ Apply for EI When leave starts