Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 4,500
Employees' Provident Fund (EPF)
- RM 521
Social Security Organization (SOCSO) contribution
- RM 22.68
Employment Insurance System (EIS) contribution
- RM 9.07
Total tax
- RM 552
Net pay
* RM 3,948
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 3,948
Net pay
RM 707
Tax the employer pays
RM 552
Tax you pay
Total tax paid
RM 1,259
Did you know your employer also pays tax on your salary? It costs the employer RM 707 to pay you RM 4,500. 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 12.3% tax rate now rises to 24.2%, meaning your real tax rate is actually 11.9% higher than what it seemed at first.
Summary
If you make RM 4,500 a year living in Malaysia, you will be taxed RM 552. That means that your net pay will be RM 3,948 per year, or RM 329 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 11.89, hence, your net pay will only increase by RM 88.11.
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 4500
0.0%
1
Germany
MYR 4500
0.0%
2
Austria
MYR 4500
0.0%
3
Ireland
MYR 4500
0.0%
4
Sweden
MYR 4500
0.0%
5
Norway
MYR 4500
0.0%
6
Spain
MYR 4214
6.4%
7
Italy
MYR 4086
9.2%
8
Switzerland
MYR 4070
9.6%
9
France
MYR 4064
9.7%
10
Czech Republic
MYR 4005
11.0%
11
Luxembourg
MYR 4003
11.1%
12
Russia
MYR 3915
13.0%
13
Hungary
MYR 3667
18.5%
14
Ukraine
MYR 3622
19.5%
15
Poland
MYR 3534
21.5%
16
Greece
MYR 3517
21.9%
17
Portugal
MYR 3350
25.6%
18
Finland
MYR 3116
30.8%
19
Belgium
MYR 3060
32.0%
20
Netherlands
MYR 2830
37.1%
21
Denmark
MYR 2759
38.7%
22
Romania
MYR 2633
41.5%
23
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North America
Country 
Net pay
Average tax
Rank
Canada
MYR 4294
4.6%
1
USA
MYR 4110
8.7%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
MYR 4500
0.0%
1
Singapore
MYR 4500
0.0%
2
Hong Kong
MYR 4500
0.0%
3
Pakistan
MYR 4452
1.1%
4
Thailand
MYR 4275
5.0%
5
Philippines
MYR 4138
8.0%
6
Indonesia
MYR 4116
8.5%
7
Taiwan
MYR 4102
8.9%
8
South Korea
MYR 4019
10.7%
9
New Zealand
MYR 3965
11.9%
10
India
MYR 3960
12.0%
11
Malaysia
MYR 3948
12.3%
12
China
MYR 3907
13.2%
13
Vietnam
MYR 3826
15.0%
14
Japan
MYR 3657
18.7%
15
Kazakhstan
MYR 3564
20.8%
16
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Latin America
Country 
Net pay
Average tax
Rank
Mexico
MYR 4393
2.4%
1
Brazil
MYR 4162
7.5%
2
Puerto Rico
MYR 4142
8.0%
3
Colombia
MYR 4140
8.0%
4
Ecuador
MYR 4075
9.5%
5
Guatemala
MYR 4069
9.6%
6
Costa Rica
MYR 4027
10.5%
7
Panama
MYR 4005
11.0%
8
Peru
MYR 3937
12.5%
9
Argentina
MYR 3735
17.0%
10
Chile
MYR 3708
17.6%
11
Uruguay
MYR 3685
18.1%
12
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Africa
Country 
Net pay
Average tax
Rank
South Africa
MYR 4455
1.0%
1
Zambia
MYR 4230
6.0%
2
Morocco
MYR 4197
6.7%
3
Uganda
MYR 4145
7.9%
4
Ivory Coast
MYR 4076
9.4%
5
Senegal
MYR 3948
12.3%
6
Kenya
MYR 3929
12.7%
7
Mozambique
MYR 3799
15.6%
8
Cameroon
MYR 3797
15.6%
9
Ghana
MYR 3792
15.7%
10
Angola
MYR 3554
21.0%
11
Nigeria
MYR 3473
22.8%
12
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Middle East
Country 
Net pay
Average tax
Rank
Saudi Arabia
MYR 4500
0.0%
1
United Arab Emirates
MYR 4275
5.0%
2
Qatar
MYR 4275
5.0%
3
Bahrain
MYR 4140
8.0%
4
Oman
MYR 4140
8.0%
5
Kuwait
MYR 4005
11.0%
6
Lebanon
MYR 3915
13.0%
7
Israel
MYR 3908
13.2%
8
Egypt
MYR 3836
14.8%
9
Turkey
MYR 3770
16.2%
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.