Income tax calculator Malaysia
Find out how much your salary is after tax
Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
RM 867,500
Employees' Provident Fund (EPF)
- RM 95,431
Social Security Organization (SOCSO) contribution
- RM 237
Employment Insurance System (EIS) contribution
- RM 94.80
Tax
- RM 199,620
Total tax
- RM 295,383
Net pay
*
RM 572,117
Marginal tax rate
37.0%
Average tax rate
34.0%
66.0%
Net pay
34.0%
Total tax
Total tax
Net pay
The Taxberg
RM 572,117
Net pay
RM 113,701
Tax the employer pays
RM 295,383
Tax you pay
Total tax paid
RM 409,084
Did you know your employer also pays tax on your salary? It costs the employer RM 113,701 to pay you RM 867,500. In other words, every time you spend RM 10 of your hard-earned money, RM 4.72 goes to the government.
Real tax rate
41.7%
So, with you and the employer both paying tax, what used to be a 34% tax rate now rises to 41.7%, meaning your real tax rate is actually 7.7% higher than what it seemed at first.
Summary
If you make RM 867,500 a year living in Malaysia, you will be taxed RM 295,383. That means that your net pay will be RM 572,117 per year, or RM 47,676 per month. Your average tax rate is 34.1% and your marginal tax rate is 37.0%. 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 37, hence, your net pay will only increase by RM 63.
Bonus Example
A RM 1,000 bonus will generate an extra RM 630 of net incomes. A RM 5,000 bonus will generate an extra RM 3,150 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.