Income tax calculator Malaysia
Find out how much your salary is after tax
Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 1,205,006
Employees' Provident Fund (EPF)
- RM 132,552
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 291,435
Total tax
- RM 424,319
Net pay
*
RM 780,687
Marginal tax rate
38.6%
Average tax rate
35.2%
64.8%
Net pay
35.2%
Total tax
Total tax
Net pay
The Taxberg
RM 780,687
Net pay
RM 157,575
Tax the employer pays
RM 424,319
Tax you pay
Total tax paid
RM 581,894
Did you know your employer also pays tax on your salary? It costs the employer RM 157,575 to pay you RM 1,205,006. In other words, every time you spend RM 10 of your hard-earned money, RM 4.83 goes to the government.
Real tax rate
42.7%
So, with you and the employer both paying tax, what used to be a 35.2% tax rate now rises to 42.7%, meaning your real tax rate is actually 7.5% higher than what it seemed at first.
Summary
If you make RM 1,205,006 a year living in Malaysia, you will be taxed RM 424,319. That means that your net pay will be RM 780,687 per year, or RM 65,057 per month. Your average tax rate is 35.2% and your marginal tax rate is 38.6%. 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 38.59, hence, your net pay will only increase by RM 61.41.
Bonus Example
A RM 1,000 bonus will generate an extra RM 614 of net incomes. A RM 5,000 bonus will generate an extra RM 3,071 of net incomes.
North America
Country
Net pay
Average tax
Rank
USA
MYR 773116
35.8%
1
Canada
MYR 663589
44.9%
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.