Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 4,000
Employees' Provident Fund (EPF)
- RM 465
Social Security Organization (SOCSO) contribution
- RM 19.82
Employment Insurance System (EIS) contribution
- RM 7.93
Total tax
- RM 493
Net pay
* RM 3,507
Marginal tax rate
11.9%
Average tax rate
12.3%
87.7%
Net pay
12.3%
Total tax
Total tax
Net pay
The Taxberg
RM 3,507
Net pay
RM 630
Tax the employer pays
RM 493
Tax you pay
Total tax paid
RM 1,123
Did you know your employer also pays tax on your salary? It costs the employer RM 630 to pay you RM 4,000. In other words, every time you spend RM 10 of your hard-earned money, RM 2.81 goes to the government.
Real tax rate
24.3%
So, with you and the employer both paying tax, what used to be a 12.3% tax rate now rises to 24.3%, meaning your real tax rate is actually 12% higher than what it seemed at first.
Summary
If you make RM 4,000 a year living in Malaysia, you will be taxed RM 493. That means that your net pay will be RM 3,507 per year, or RM 292 per month. Your average tax rate is 12.3% and your marginal tax rate is 11.9%. 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 11.88, hence, your net pay will only increase by RM 88.12.
Bonus Example
A RM 1,000 bonus will generate an extra RM 881 of net incomes. A RM 5,000 bonus will generate an extra RM 4,406 of net incomes.
Compare average tax
Europe
Country 
Net pay
Average tax
Rank
United Kingdom
MYR 4000
0.0%
1
Germany
MYR 4000
0.0%
2
Austria
MYR 4000
0.0%
3
Ireland
MYR 4000
0.0%
4
Sweden
MYR 4000
0.0%
5
Norway
MYR 4000
0.0%
6
Spain
MYR 3746
6.4%
7
Italy
MYR 3632
9.2%
8
France
MYR 3612
9.7%
9
Switzerland
MYR 3609
9.8%
10
Czech Republic
MYR 3560
11.0%
11
Luxembourg
MYR 3558
11.1%
12
Russia
MYR 3480
13.0%
13
Hungary
MYR 3260
18.5%
14
Ukraine
MYR 3220
19.5%
15
Poland
MYR 3141
21.5%
16
Greece
MYR 3126
21.9%
17
Portugal
MYR 2978
25.6%
18
Finland
MYR 2770
30.8%
19
Belgium
MYR 2720
32.0%
20
Netherlands
MYR 2518
37.1%
21
Denmark
MYR 2423
39.4%
22
Romania
MYR 2340
41.5%
23
Show more
North America
Country 
Net pay
Average tax
Rank
Canada
MYR 3853
3.7%
1
USA
MYR 3654
8.7%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
MYR 4000
0.0%
1
Singapore
MYR 4000
0.0%
2
Hong Kong
MYR 4000
0.0%
3
Pakistan
MYR 3952
1.2%
4
Thailand
MYR 3800
5.0%
5
Philippines
MYR 3662
8.5%
6
Indonesia
MYR 3656
8.6%
7
Taiwan
MYR 3646
8.9%
8
South Korea
MYR 3572
10.7%
9
New Zealand
MYR 3524
11.9%
10
India
MYR 3520
12.0%
11
Malaysia
MYR 3507
12.3%
12
China
MYR 3473
13.2%
13
Vietnam
MYR 3401
15.0%
14
Japan
MYR 3250
18.7%
15
Kazakhstan
MYR 3168
20.8%
16
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Latin America
Country 
Net pay
Average tax
Rank
Mexico
MYR 3905
2.4%
1
Brazil
MYR 3700
7.5%
2
Puerto Rico
MYR 3682
8.0%
3
Colombia
MYR 3680
8.0%
4
Ecuador
MYR 3622
9.5%
5
Guatemala
MYR 3616
9.6%
6
Costa Rica
MYR 3580
10.5%
7
Panama
MYR 3560
11.0%
8
Peru
MYR 3500
12.5%
9
Argentina
MYR 3320
17.0%
10
Chile
MYR 3296
17.6%
11
Uruguay
MYR 3276
18.1%
12
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Africa
Country 
Net pay
Average tax
Rank
South Africa
MYR 3960
1.0%
1
Zambia
MYR 3760
6.0%
2
Morocco
MYR 3730
6.7%
3
Uganda
MYR 3724
6.9%
4
Ivory Coast
MYR 3647
8.8%
5
Senegal
MYR 3547
11.3%
6
Kenya
MYR 3491
12.7%
7
Ghana
MYR 3403
14.9%
8
Mozambique
MYR 3389
15.3%
9
Cameroon
MYR 3375
15.6%
10
Angola
MYR 3166
20.9%
11
Nigeria
MYR 3111
22.2%
12
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Middle East
Country 
Net pay
Average tax
Rank
Saudi Arabia
MYR 4000
0.0%
1
United Arab Emirates
MYR 3800
5.0%
2
Qatar
MYR 3800
5.0%
3
Bahrain
MYR 3680
8.0%
4
Oman
MYR 3680
8.0%
5
Kuwait
MYR 3560
11.0%
6
Lebanon
MYR 3495
12.6%
7
Israel
MYR 3474
13.2%
8
Egypt
MYR 3441
14.0%
9
Turkey
MYR 3367
15.8%
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.