Your first teacher pay stub does not match the salary letter
Start with the dates on the pay stub and compare gross pay with the salary letter. A partial pay period, part-time assignment or payroll deduction can explain a difference. Ask board payroll to confirm anything unclear before the lender reviews the documents.
Check the pay period first
A first payment may cover fewer days than a normal pay period. Check the start and end dates on the stub against the start date in your contract. Do not multiply a partial payment to estimate an annual salary.
Compare gross pay with gross salary
The salary in an employment letter is before tax, pension and other deductions. The deposit in your bank account is after them. Use the gross earnings line for the salary comparison, then use the net deposit for your household budget.
Check the assignment details
- Is the job full-time or part-time?
- Does the letter describe annual salary or an annual grid rate prorated for the assignment?
- Did your category, step or workload change during the pay period?
- Does the payment include an adjustment or an earlier amount owed?
What to send to the lender
Provide the original pay stub and current board letter. If the figures need explanation, ask payroll for written confirmation of the pay period, workload or adjustment. Your mortgage professional can tell you whether another full pay period is needed.
Sources and dates
These sources support the general rules discussed here. Lender requirements and individual eligibility still need to be confirmed.
First published . Updated . Source dates are listed above.
Common questions
Can I use the amount deposited in my account as my gross income?+
No. The bank deposit is net pay after deductions. Gross income appears separately on the pay stub and employment letter.
Does an unusual first pay stub mean I cannot get a mortgage?+
Not by itself. Establish why the amount differs, provide the supporting payroll information and confirm whether the lender needs another pay stub.
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Emily & Jeff Mudrick
Mortgage agents, Mudrick Mortgages
Serving teachers across Ontario.
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