Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 400,000
EPF
- RM 44,000
SOCSO
- RM 237
EIS
- RM 94.80
Tax
- RM 83,683
Total tax
- RM 128,015
Net pay
* RM 271,985
Marginal tax rate
35.7%
Average tax rate
32.0%
68.0%
Net pay
32.0%
Total tax
Total tax
Net pay
Summary
If you make RM 400,000 a year living in Malaysia, you will be taxed RM 128,015. That means that your net pay will be RM 271,985 per year, or RM 22,665 per month. Your average tax rate is 32.0% and your marginal tax rate is 35.7%. 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 35.67, hence, your net pay will only increase by RM 64.33.
Bonus Example
A RM 1,000 bonus will generate an extra RM 643 of net incomes. A RM 5,000 bonus will generate an extra RM 3,217 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.