Income tax calculator Malaysia
Find out how much your salary is after tax
Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 55,579
Employees' Provident Fund (EPF)
- RM 6,123
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 1,206
Total tax
- RM 7,661
Net pay
*
RM 47,918
Marginal tax rate
19.6%
Average tax rate
13.8%
86.2%
Net pay
13.8%
Total tax
Total tax
Net pay
The Taxberg
RM 47,918
Net pay
RM 8,158
Tax the employer pays
RM 7,661
Tax you pay
Total tax paid
RM 15,819
Did you know your employer also pays tax on your salary? It costs the employer RM 8,158 to pay you RM 55,579. In other words, every time you spend RM 10 of your hard-earned money, RM 2.85 goes to the government.
Real tax rate
24.8%
So, with you and the employer both paying tax, what used to be a 13.8% tax rate now rises to 24.8%, meaning your real tax rate is actually 11% higher than what it seemed at first.
Summary
If you make RM 55,579 a year living in Malaysia, you will be taxed RM 7,661. That means that your net pay will be RM 47,918 per year, or RM 3,993 per month. Your average tax rate is 13.8% and your marginal tax rate is 19.6%. 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 19.60, hence, your net pay will only increase by RM 80.40.
Bonus Example
A RM 1,000 bonus will generate an extra RM 804 of net incomes. A RM 5,000 bonus will generate an extra RM 4,020 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.