Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 2,134
Employees' Provident Fund (EPF)
- RM 247
Social Security Organization (SOCSO) contribution
- RM 11.98
Employment Insurance System (EIS) contribution
- RM 4.87
Total tax
- RM 264
Net pay
* RM 1,870
Marginal tax rate
14.4%
Average tax rate
12.4%
87.6%
Net pay
12.4%
Total tax
Total tax
Net pay
The Taxberg
RM 1,870
Net pay
RM 334
Tax the employer pays
RM 264
Tax you pay
Total tax paid
RM 598
Did you know your employer also pays tax on your salary? It costs the employer RM 334 to pay you RM 2,134. In other words, every time you spend RM 10 of your hard-earned money, RM 2.80 goes to the government.
Real tax rate
24.2%
So, with you and the employer both paying tax, what used to be a 12.4% tax rate now rises to 24.2%, meaning your real tax rate is actually 11.8% higher than what it seemed at first.
Summary
If you make RM 2,134 a year living in Malaysia, you will be taxed RM 264. That means that your net pay will be RM 1,870 per year, or RM 156 per month. Your average tax rate is 12.4% and your marginal tax rate is 14.4%. 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 14.38, hence, your net pay will only increase by RM 85.62.
Bonus Example
A RM 1,000 bonus will generate an extra RM 856 of net incomes. A RM 5,000 bonus will generate an extra RM 4,281 of net incomes.
North America
Country 
Net pay
Average tax
Rank
Canada
MYR 2100
1.6%
1
USA
MYR 1949
8.7%
2
Middle East
Country 
Net pay
Average tax
Rank
Saudi Arabia
MYR 2134
0.0%
1
United Arab Emirates
MYR 2027
5.0%
2
Qatar
MYR 2027
5.0%
3
Bahrain
MYR 1963
8.0%
4
Oman
MYR 1963
8.0%
5
Lebanon
MYR 1906
10.7%
6
Kuwait
MYR 1899
11.0%
7
Egypt
MYR 1889
11.5%
8
Israel
MYR 1853
13.2%
9
Turkey
MYR 1798
15.8%
10
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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.