Which statement best describes funding for the Québec Parental Insurance Plan?

• A. It is funded entirely by government subsidies
• B. It is funded by employees, employers, and self-employed persons
• C. It is funded only by employee payroll deductions
• D. It is funded solely by employer contributions

Answer: (B)

Funding for the Québec Parental Insurance Plan is provided through premiums on insurable earnings paid by both employees and their employers, with self-employed individuals able to participate by paying both portions. In practice, employees have deductions from their pay, employers remit a matching contribution, and self-employed people who opt in contribute the equivalent amounts to be eligible for benefits. This shared funding model means the plan isn’t financed solely by government subsidies, nor by employees alone, nor by employers alone.