Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 60
Social Security Organization (SOCSO) contribution
- RM 1.20
Employment Insurance System (EIS) contribution
- RM 0.60
Total tax
- RM 1.80
Net pay
* RM 58.20
Marginal tax rate
36.0%
Average tax rate
3.0%
97.0%
Net pay
3.0%
Total tax
Total tax
Net pay
The Taxberg
RM 58.20
Net pay
RM 5.40
Tax the employer pays
RM 1.80
Tax you pay
Total tax paid
RM 7.20
Did you know your employer also pays tax on your salary? It costs the employer RM 5.40 to pay you RM 60. In other words, every time you spend RM 10 of your hard-earned money, RM 1.20 goes to the government.
Real tax rate
11.0%
So, with you and the employer both paying tax, what used to be a 3% tax rate now rises to 11.0%, meaning your real tax rate is actually 8% higher than what it seemed at first.
Summary
If you make RM 60 a year living in Malaysia, you will be taxed RM 1.80. That means that your net pay will be RM 58.20 per year, or RM 4.85 per month. Your average tax rate is 3.0% and your marginal tax rate is 36.0%. 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 36, hence, your net pay will only increase by RM 64.
Bonus Example
A RM 1,000 bonus will generate an extra RM 640 of net incomes. A RM 5,000 bonus will generate an extra RM 3,200 of net incomes.
Compare average tax
Europe
Country 
Net pay
Average tax
Rank
United Kingdom
MYR 60
0.0%
1
Germany
MYR 60
0.0%
2
Austria
MYR 60
0.0%
3
Ireland
MYR 60
0.0%
4
Sweden
MYR 60
0.0%
5
Norway
MYR 60
0.0%
6
Spain
MYR 56
6.4%
7
Italy
MYR 55
9.2%
8
France
MYR 54
9.7%
9
Czech Republic
MYR 53
11.0%
10
Luxembourg
MYR 53
11.1%
11
Russia
MYR 52
13.0%
12
Hungary
MYR 49
18.5%
13
Ukraine
MYR 48
19.5%
14
Poland
MYR 47
21.5%
15
Greece
MYR 47
21.8%
16
Portugal
MYR 45
25.6%
17
Finland
MYR 42
30.7%
18
Belgium
MYR 41
32.0%
19
Netherlands
MYR 37
38.8%
20
Romania
MYR 35
41.5%
21
Denmark
MYR 0
100.0%
22
Switzerland
MYR 60
205.9%
23
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North America
Country 
Net pay
Average tax
Rank
Canada
MYR 59
1.6%
1
USA
MYR 55
8.7%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
MYR 60
0.0%
1
Singapore
MYR 60
0.0%
2
Hong Kong
MYR 60
0.0%
3
Malaysia
MYR 58
3.0%
4
Thailand
MYR 57
5.0%
5
Indonesia
MYR 55
8.8%
6
Taiwan
MYR 55
8.9%
7
South Korea
MYR 54
10.7%
8
New Zealand
MYR 53
11.9%
9
India
MYR 53
12.0%
10
China
MYR 52
13.2%
11
Vietnam
MYR 51
15.0%
12
Japan
MYR 49
18.7%
13
Kazakhstan
MYR 48
20.8%
14
Philippines
MYR 25
59.1%
15
Pakistan
MYR 12
79.7%
16
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Latin America
Country 
Net pay
Average tax
Rank
Mexico
MYR 59
2.4%
1
Brazil
MYR 56
7.5%
2
Puerto Rico
MYR 55
7.9%
3
Colombia
MYR 55
8.0%
4
Ecuador
MYR 54
9.5%
5
Guatemala
MYR 54
9.6%
6
Costa Rica
MYR 54
10.5%
7
Panama
MYR 53
11.0%
8
Peru
MYR 52
12.5%
9
Argentina
MYR 50
17.0%
10
Chile
MYR 49
17.6%
11
Uruguay
MYR 49
18.1%
12
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Africa
Country 
Net pay
Average tax
Rank
South Africa
MYR 59
1.0%
1
Angola
MYR 58
3.0%
2
Uganda
MYR 57
5.0%
3
Ghana
MYR 57
5.5%
4
Zambia
MYR 56
6.0%
5
Morocco
MYR 56
6.7%
6
Ivory Coast
MYR 55
7.5%
7
Cameroon
MYR 51
15.6%
8
Nigeria
MYR 50
16.8%
9
Senegal
MYR 48
19.4%
10
Mozambique
MYR 15
75.1%
11
Kenya
MYR 60
240.5%
12
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Middle East
Country 
Net pay
Average tax
Rank
Egypt
MYR 60
0.0%
1
Saudi Arabia
MYR 60
0.0%
2
United Arab Emirates
MYR 57
5.0%
3
Qatar
MYR 57
5.0%
4
Lebanon
MYR 56
7.0%
5
Bahrain
MYR 55
8.0%
6
Oman
MYR 55
8.1%
7
Kuwait
MYR 53
11.1%
8
Israel
MYR 52
13.2%
9
Turkey
MYR 51
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.