You signed up for paid duty every weekend this year — construction sites, special events, film productions — and earned an extra $28,000 on top of your regular salary. That's real income that showed up on your T4, and you deserve to have it count toward your mortgage. But here's the catch: not every lender treats paid duty the same way, and the way your service pays it can make or break your qualification. How Paid Duty Shows Up on Your Income Documents The critical distinction is how your police service administers paid duty payments: Scenario A: Paid through your regular employer Your paid duty earnings appear on the same T4 as your regular salary. To a lender, it just looks like you earned more total employment income. This is the easiest scenario — lenders use your T4 total and may not even ask about the breakdown. Scenario B: Paid through a separate paid duty fund Some services administer paid duty through a separate entity. You get a second T4 from the paid duty organization. Lenders will see this as secondary employment income and require: 2 years of T4s from the paid duty entity A letter from the paid duty coordinator confirming ongoing availability Evidence that paid duty will continue (not being phased out) Lender Treatment Difficulty Level Same T4 as regular pay Automatically included in T4 average Easy ✓ Separate T4 from service Secondary employment — 2yr history needed Moderate Separate T4 from external fund Second employment — full documentation Harder Back to the complete police mortgage guide Maximizing Paid Duty for Mortgage Qualification 1. Build Your 2-Year Track Record If you're planning to buy in 12-18 months, start tracking and consistently working paid duty now. Two years of consistent paid duty T4s ($20K+ each year) creates a strong case for inclusion. 2. Get the Right Documentation Ask your paid duty coordinator for a letter stating: How long you've been working paid duty Your average annual earnings from paid duty That paid duty opportunities remain available and ongoing The number of shifts available per month 3. Choose the Right Lender Work with a broker who knows which lenders are police-friendly. Some monoline lenders and credit unions in Ontario are very familiar with police income structures and include paid duty readily. 4. Consider the All-In T4 Approach If your paid duty is on your main T4, emphasize the T4 averaging approach. A lender that averages your total T4 income will automatically include paid duty without needing separate documentation. What If Paid Duty Is Inconsistent? If you earned $30,000 in paid duty one year and $12,000 the next, lenders will typically average the two ($21,000) or use the lower number. The inconsistency isn't a disqualifier — it just means the lender uses a conservative average. Pro tip: If your paid duty income is trending upward, look for a lender that uses the most recent T4 rather than a 2-year average. Your Paid Duty Deserves to Count We know which lenders include paid duty income and how to document it properly. Let us handle the details. Get Your Free Assessment → Ready to Get Started? Contact us today for personalized mortgage advice and competitive rates. Get Pre-Approved Call (416) 822-7357 Frequently Asked Questions What If Paid Duty Is Inconsistent? If you earned $30,000 in paid duty one year and $12,000 the next, lenders will typically average the two ($21,000) or use the lower number. The inconsistency isn't a disqualifier — it just means the lender uses a conservative average. Pro tip: If your paid duty income is trending upward, look for a lender that uses the most recent T4 rather than a 2-year average.
