Income tax calculator Malaysia
Find out how much your salary is after tax
Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 120,384
Employees' Provident Fund (EPF)
- RM 13,267
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 12,495
Total tax
- RM 26,094
Net pay
*
RM 94,290
Marginal tax rate
34.2%
Average tax rate
21.7%
78.3%
Net pay
21.7%
Total tax
Total tax
Net pay
The Taxberg
RM 94,290
Net pay
RM 16,603
Tax the employer pays
RM 26,094
Tax you pay
Total tax paid
RM 42,696
Did you know your employer also pays tax on your salary? It costs the employer RM 16,603 to pay you RM 120,384. In other words, every time you spend RM 10 of your hard-earned money, RM 3.55 goes to the government.
Real tax rate
31.2%
So, with you and the employer both paying tax, what used to be a 21.7% tax rate now rises to 31.2%, meaning your real tax rate is actually 9.5% higher than what it seemed at first.
Summary
If you make RM 120,384 a year living in Malaysia, you will be taxed RM 26,094. That means that your net pay will be RM 94,290 per year, or RM 7,858 per month. Your average tax rate is 21.7% and your marginal tax rate is 34.2%. 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 34.16, hence, your net pay will only increase by RM 65.84.
Bonus Example
A RM 1,000 bonus will generate an extra RM 658 of net incomes. A RM 5,000 bonus will generate an extra RM 3,292 of net incomes.
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.