Malaysia Salary Calculator

The PCB (Potongan Cukai Bulanan) schedule used by employers follows the Jadual PCB issued by LHDN, which uses a specific lookup methodology that factors in cumulative earnings, reliefs claimed on the TP1 form, and prior months’ deductions. This calculator estimates PCB by annualising the monthly salary, applying standard reliefs, and dividing by 12. Real PCB may differ slightly due to rounding conventions, bonus months, or additional reliefs not modelled here.

Yes. Since 1 October 2025, EPF is mandatory for non-Malaysian citizen employees who hold a valid work pass (domestic workers excluded). Both the employer and the foreign employee contribute 2% of monthly wages each, a lower rate than the 11% / 12-13% that applies to Malaysians and permanent residents under 60. SOCSO First Category (injury and invalidity) also applies to foreign workers, while EIS covers only Malaysian citizens and permanent residents. Switch the Employee input at the top of the calculator between Malaysian, Permanent resident and Foreign worker to see the difference.

SKBBK (Skim Kemalangan Bukan Bencana Kerja), branded Lindung 24 Jam, is a PERKESO scheme that began on 1 June 2026 giving 24-hour cover for accidents outside working hours. It is an employee-only deduction of about 0.75% of wages, taken from the PERKESO table on RM100 wage bands and capped at the RM6,000 ceiling, so a maximum of RM44.65 a month (RM37.15 on a RM5,000 salary). There is no age limit: employees aged 60 and above, who are otherwise covered only by the Employment Injury Scheme, pay it too. Following a Cabinet decision on 8 July 2026, it is voluntary for local employees, who could opt out through PERKESO between 13 July and 31 August 2026, but it remains mandatory for foreign workers. Use the SKBBK toggle to include or exclude it.

The SOCSO (PERKESO) insured wage ceiling is RM6,000 per month, raised from RM5,000 effective 1 October 2024. Employees earning above RM6,000 still contribute based on the RM6,000 bracket, where First Category is a maximum of RM104.15 from the employer and RM29.75 from the employee. Contribution amounts are fixed by the official table rather than a straight percentage.

The EOR (Employer of Record) fee shown when you tick "Include EOR fee" is 15% of total monthly payroll or USD 99, whichever is higher, per employee per month. Total monthly payroll here means gross salary plus all statutory employer contributions. The USD minimum is converted to Malaysian Ringgit at a fixed rate of RM 4.20 per USD (approximately RM 416), and there is no maximum. This is the same commercial model used across our Philippines and Indonesia calculators. Your actual quote may vary based on scope, headcount, and any add-on services like benefits administration or immigration support.

HRD Corp (formerly HRDF) levy is mandatory for employers in covered industries with 10 or more Malaysian employees, at 1% of monthly wages. Employers with 5 to 9 employees may register voluntarily at 0.5%. Sectors covered include manufacturing, services, mining, and more. The levy funds employee training and upskilling programmes.

Beyond the individual (RM9,000), spouse (RM4,000), and child (RM2,000) reliefs modelled here, employees can claim relief for medical expenses (up to RM10,000), lifestyle expenses (RM2,500), education fees (RM7,000), SSPN savings (RM8,000), private retirement scheme (RM3,000), life insurance (RM3,000), and several others. The full list is published annually by LHDN (Inland Revenue Board).

No. Unlike the Philippines, Malaysia does not have a statutory 13th month pay requirement. Bonuses are discretionary and determined by employment contracts or company policy. Some government servants receive a minimum bonus equivalent, but this does not apply to private sector employees by law.