Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 1,740,006
Employees' Provident Fund (EPF)
- RM 191,407
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 441,012
Total tax
- RM 632,750
Net pay
* RM 1,107,256
Marginal tax rate
39.0%
Average tax rate
36.4%
63.6%
Net pay
36.4%
Total tax
Total tax
Net pay
The Taxberg
RM 1,107,256
Net pay
RM 227,130
Tax the employer pays
RM 632,750
Tax you pay
Total tax paid
RM 859,881
Did you know your employer also pays tax on your salary? It costs the employer RM 227,130 to pay you RM 1,740,006. In other words, every time you spend RM 10 of your hard-earned money, RM 4.94 goes to the government.
Real tax rate
43.7%
So, with you and the employer both paying tax, what used to be a 36.4% tax rate now rises to 43.7%, meaning your real tax rate is actually 7.3% higher than what it seemed at first.
Summary
If you make RM 1,740,006 a year living in Malaysia, you will be taxed RM 632,750. That means that your net pay will be RM 1,107,256 per year, or RM 92,271 per month. Your average tax rate is 36.4% and your marginal tax rate is 39.0%. 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 39, hence, your net pay will only increase by RM 61.
Bonus Example
A RM 1,000 bonus will generate an extra RM 610 of net incomes. A RM 5,000 bonus will generate an extra RM 3,050 of net incomes.
North America
Country 
Net pay
Average tax
Rank
USA
MYR 1068606
38.6%
1
Canada
MYR 912206
47.6%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Kazakhstan
MYR 1535870
11.7%
1
Hong Kong
MYR 1458749
16.2%
2
Singapore
MYR 1395165
19.8%
3
Indonesia
MYR 1192712
31.5%
4
Thailand
MYR 1192098
31.5%
5
Taiwan
MYR 1155679
33.6%
6
Pakistan
MYR 1150810
33.9%
7
Vietnam
MYR 1138275
34.6%
8
Philippines
MYR 1111434
36.1%
9
New Zealand
MYR 1108595
36.3%
10
Malaysia
MYR 1107256
36.4%
11
China
MYR 1082889
37.8%
12
Japan
MYR 1054844
39.4%
13
South Korea
MYR 1042611
40.1%
14
Australia
MYR 1007361
42.1%
15
India
MYR 865418
50.3%
16
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Africa
Country 
Net pay
Average tax
Rank
Angola
MYR 1266621
27.2%
1
Kenya
MYR 1220247
29.9%
2
Nigeria
MYR 1184102
32.0%
3
Ivory Coast
MYR 1181974
32.1%
4
Ghana
MYR 1155430
33.6%
5
Mozambique
MYR 1140794
34.4%
6
Zambia
MYR 1071396
38.4%
7
Cameroon
MYR 1064859
38.8%
8
Morocco
MYR 1064426
38.8%
9
Senegal
MYR 1049068
39.7%
10
South Africa
MYR 1001051
42.5%
11
Uganda
MYR 972820
44.1%
12
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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.