Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 2,010,000
Employees' Provident Fund (EPF)
- RM 221,104
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 517,982
Total tax
- RM 739,417
Net pay
* RM 1,270,583
Marginal tax rate
40.3%
Average tax rate
36.8%
63.2%
Net pay
36.8%
Total tax
Total tax
Net pay
The Taxberg
RM 1,270,583
Net pay
RM 262,231
Tax the employer pays
RM 739,417
Tax you pay
Total tax paid
RM 1,001,649
Did you know your employer also pays tax on your salary? It costs the employer RM 262,231 to pay you RM 2,010,000. In other words, every time you spend RM 10 of your hard-earned money, RM 4.98 goes to the government.
Real tax rate
44.1%
So, with you and the employer both paying tax, what used to be a 36.8% tax rate now rises to 44.1%, meaning your real tax rate is actually 7.3% higher than what it seemed at first.
Summary
If you make RM 2,010,000 a year living in Malaysia, you will be taxed RM 739,417. That means that your net pay will be RM 1,270,583 per year, or RM 105,882 per month. Your average tax rate is 36.8% and your marginal tax rate is 40.3%. 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 40.25, hence, your net pay will only increase by RM 59.75.
Bonus Example
A RM 1,000 bonus will generate an extra RM 598 of net incomes. A RM 5,000 bonus will generate an extra RM 2,988 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
MYR 1217913
39.4%
1
Canada
MYR 1037673
48.4%
2
Middle East
Country 
Net pay
Average tax
Rank
Kuwait
MYR 1963011
2.3%
1
Bahrain
MYR 1950349
3.0%
2
Saudi Arabia
MYR 1946221
3.2%
3
United Arab Emirates
MYR 1909500
5.0%
4
Qatar
MYR 1909500
5.0%
5
Oman
MYR 1849200
8.0%
6
Egypt
MYR 1508723
24.9%
7
Lebanon
MYR 1508338
25.0%
8
Turkey
MYR 1171492
41.7%
9
Israel
MYR 1113466
44.6%
10
Show more
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.