Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 1,470
Employees' Provident Fund (EPF)
- RM 184
Social Security Organization (SOCSO) contribution
- RM 8.18
Employment Insurance System (EIS) contribution
- RM 3.39
Total tax
- RM 195
Net pay
* RM 1,275
Marginal tax rate
8.1%
Average tax rate
13.3%
86.7%
Net pay
13.3%
Total tax
Total tax
Net pay
Summary
If you make RM 1,470 a year living in Malaysia, you will be taxed RM 195. That means that your net pay will be RM 1,275 per year, or RM 106 per month. Your average tax rate is 13.3% and your marginal tax rate is 8.2%. 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 8.15, hence, your net pay will only increase by RM 91.85.
Bonus Example
A RM 1,000 bonus will generate an extra RM 919 of net incomes. A RM 5,000 bonus will generate an extra RM 4,593 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.