Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 240
Employees' Provident Fund (EPF)
- RM 40.80
Social Security Organization (SOCSO) contribution
- RM 1.20
Employment Insurance System (EIS) contribution
- RM 0.60
Total tax
- RM 42.60
Net pay
* RM 197
Marginal tax rate
21.0%
Average tax rate
17.8%
82.3%
Net pay
17.8%
Total tax
Total tax
Net pay
Summary
If you make RM 240 a year living in Malaysia, you will be taxed RM 42.60. That means that your net pay will be RM 197 per year, or RM 16.45 per month. Your average tax rate is 17.8% and your marginal tax rate is 21.0%. 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 20.98, hence, your net pay will only increase by RM 79.02.
Bonus Example
A RM 1,000 bonus will generate an extra RM 790 of net incomes. A RM 5,000 bonus will generate an extra RM 3,951 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.