Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 1,102
Employees' Provident Fund (EPF)
- RM 147
Social Security Organization (SOCSO) contribution
- RM 6.30
Employment Insurance System (EIS) contribution
- RM 2.70
Total tax
- RM 156
Net pay
* RM 946
Marginal tax rate
14.1%
Average tax rate
14.1%
85.9%
Net pay
14.1%
Total tax
Total tax
Net pay
The Taxberg
RM 946
Net pay
RM 193
Tax the employer pays
RM 156
Tax you pay
Total tax paid
RM 349
Did you know your employer also pays tax on your salary? It costs the employer RM 193 to pay you RM 1,102. In other words, every time you spend RM 10 of your hard-earned money, RM 3.16 goes to the government.
Real tax rate
26.9%
So, with you and the employer both paying tax, what used to be a 14.1% tax rate now rises to 26.9%, meaning your real tax rate is actually 12.8% higher than what it seemed at first.
Summary
If you make RM 1,102 a year living in Malaysia, you will be taxed RM 156. That means that your net pay will be RM 946 per year, or RM 78.84 per month. Your average tax rate is 14.2% and your marginal tax rate is 14.1%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of RM 100 in your salary will be taxed RM 14.09, hence, your net pay will only increase by RM 85.91.
Bonus Example
A RM 1,000 bonus will generate an extra RM 859 of net incomes. A RM 5,000 bonus will generate an extra RM 4,296 of net incomes.
North America
Country 
Net pay
Average tax
Rank
Canada
MYR 1085
1.6%
1
USA
MYR 1007
8.7%
2
NOTE* Deductions are calculated based on the tables of Malaysia, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.