Payroll Calculator Malaysia. EPF, SOCSO, EIS & PCB for 2026
Every Malaysian payslip tells the story: the number your employer offered and the number that lands in your bank account are not the same. The gap is made up of four deductions. EPF, SOCSO, EIS and PCB. And each one uses its own rate, its own wage ceiling and its own contribution table.
Breakdown of Contribution Amounts*
This payroll calculator does that arithmetic for you. Enter a monthly salary pick your age band and employee category and you get an instant breakdown of what comes out of the employees pay, what the employer adds on top and what the real net take-home figure is. The rates are current for 2026, including the SOCSO and EIS wage ceiling and the new mandatory EPF contribution for foreign workers.
It is free it needs no sign-up. Nothing you type is stored.
How to Use the Malaysia Payroll Calculator
- Enter your monthly salary. Use the figure before any deductions. Pay plus fixed allowances that count as wages.
- Select your age group. Contribution rates change once an employee turns 60. Eis stops applying at 60 altogether.
- Choose your employee category. Citizen, permanent resident or foreign worker. The EPF rate differs for each.
- Add. Overtime if relevant. These affect EPF and PCB. Are treated differently from basic wages.
- Click Calculate. You will see the employee deduction column, the employer contribution column, your net pay and the total cost to the company.
The result updates instantly so you can test a salary figures side by side before you negotiate an offer or budget a new hire.
What the Calculator Works Out
Employee side (deducted from your pay)
- EPF employee contribution
- SOCSO employee contribution
- EIS employee contribution
- PCB / MTD monthly income tax deduction
- take-home pay
Employer side (paid on top of your salary)
- EPF employer contribution
- SOCSO employer contribution
- EIS employer contribution
- Total monthly cost of employment
That second column is the one most people never see. A RM4,500 salary does not cost the company RM4,500. It costs closer to RM5,170 once statutory contributions are added.
EPF Contribution Rates (KWSP) 2026
EPF is Malaysias retirement savings scheme, run by KWSP.
| Employee category | Employee share | Employer share |
|---|---|---|
| Malaysian citizen / PR, under 60 wages RM5,000 and below | 11% | 13% |
| Malaysian citizen / PR under 60 wages above RM5,000 | 11% | 12% |
| Age 60. Above (citizen / PR) | Reduced statutory rate | Reduced statutory rate |
| worker (from 1 October 2025) | 2% | 2% |
Two points that trip people up:
- There is no wage ceiling on EPF. Unlike SOCSO and EIS EPF applies to the monthly wage however high it goes.
- The Third Schedule, not a percentage. For wages up to RM20,000 KWSP requires contributions to be read off the Third Schedule table, which works in RM20 wage bands and rounds to the nearest ringgit. Straight percentage multiplication gets you close but not exact. This calculator uses the schedule.
The mandatory EPF contribution for workers took effect on wages paid from October 2025 and starts at 2% from each side.
SOCSO (PERKESO) Contribution Rates 2026
SOCSO covers two schemes: the Employment Injury Scheme for work-related accidents and occupational disease and the Invalidity Scheme for -work-related invalidity and death.
- Employee share: 0.5% of insured wages
- Employer share: approximately 1.75% of insured wages
- Wage ceiling: RM6,000 per month raised from RM4,000 in October 2024
Anyone earning above RM6,000 contributes as though they earned RM6,000. The contribution stops climbing
Employees aged 60 and above are covered under the Employment Injury Scheme with the employer paying and no employee deduction. Contributions come from the PERKESO contribution table, which uses wage bands than exact percentages so the figure on your payslip may be a few sen off a straight calculation.
EIS (SIP) Contribution Rates 2026
The Employment Insurance System gives workers temporary financial support and re-employment help.
- Employee share: 0.2% of insured wages
- Employer share: 0.2% of insured wages
- Wage ceiling: RM6,000 per month
- Age range: employees aged 18 to 60
EIS is the deduction on a Malaysian payslip. At the RM6,000 ceiling it caps out at under RM12 a month. And it is paid together with SOCSO through the same PERKESO channels.
PCB / MTD. Monthly Tax Deduction
PCB (Potongan Cukai Bulanan) also called MTD is how LHDN collects income tax month by month of in one annual bill.
PCB is not a rate. It depends on your chargeable income after reliefs, your marital status, how many children you claim and whether your spouse is working. Malaysias individual income tax runs on bands starting at 0% on the first RM5,000 of chargeable income and rising through 1%, 3%, 6%, 11% and upward.
Two reliefs the calculator factors in automatically:
- relief: RM9,000
- EPF contribution relief: based on actual employee contributions, capped at RM4,000 per year
If you claim additional reliefs. Lifestyle, medical, education fees, insurance premiums, SSPN deposits. Your actual PCB will be lower than the estimate here. You can file a TP1 form with your employer to have those reliefs reflected in your deduction rather than waiting for a refund at filing time.
Worked Example. RM4,500 Salary
Malaysian citizen, under 60 single no dependants.
| Item | Employee | Employer |
|---|---|---|
| Gross monthly salary | RM4,500.00 | — |
| EPF (11% / 13%) | RM495.00 | RM585.00 |
| SOCSO (0.5% / 1.75%) | RM22.25 | RM77.85 |
| EIS (0.2% / 0.2%) | RM8.90 | RM8.90 |
| PCB (estimated) | ~RM80.00 | — |
| take-home pay | ~RM3,893.85 | — |
| Total cost to employer | — | ~RM5,171.75 |
The employee loses 13.5% of gross to statutory deductions. The employer pays about 14.9% above the salary figure. Between them a RM4,500 job moves about RM5,170 of money every month.
Payment Deadlines and Penalties
All three contributions. EPF, SOCSO and EIS. Are due by the 15th of the following month. PCB follows the deadline.
Late payment is not an administrative slip. EPF late payment attracts dividend-based charges and late payment charges under the EPF Act 1991. Liability can reach company directors personally. SOCSO and EIS carry their interest charges on overdue contributions. Employers must also register employees with PERKESO within 30 days of their start date.
If you are running payroll manually the 15th is the date to build your process around.
Who This Calculator Is For
- Employees checking whether a payslip is correct or working out what a job offer actually pays.
- Job seekers comparing two offers where one has a basic and the other has more allowances.
- Hr teams budgeting headcount, where the salary is only about 85% of the real cost.
- Small business owners running payroll without a payroll system, who need the figures right before the 15th.
- Freelancers and contractors deciding whether to take a role and wanting a like-for-like comparison.
Frequently Asked Questions
Is this payroll calculator free?
Yes. No account, no sign-up, no limit on how calculations you run. Nothing you enter is. Transmitted.
Are the 2026 rates ?
The calculator uses the published rates: 11% employee and 12–13% employer EPF, the RM6,000 SOCSO and EIS wage ceiling effective October 2024 0.2% EIS on each side and mandatory 2% EPF for foreign workers from October 2025. Rates can change through Budget announcements so treat results as an estimate and confirm anything with KWSP, PERKESO and LHDN.
Why is my actual payslip a few ringgit different?
Three usual reasons. EPF uses the Third Schedule wage bands than exact percentages. SOCSO and EIS use the PERKESO contribution table, which also works in bands.. Your PCB reflects reliefs you have declared to your employer on a TP1 form, which this calculator cannot know about.
Do foreign workers contribute to EPF in Malaysia?
Yes. From wages paid in October 2025 onward EPF became mandatory for foreign workers at 2% from the employee and 2% from the employer. Before that it was voluntary.
What happens to my contributions after age 60?
EPF contribution rates drop to reduced rates for both sides. SOCSO coverage narrows to the Employment Injury Scheme, paid by the employer only. EIS stops entirely. It covers ages 18 to 60.
Does SOCSO apply if I earn more than RM6,000?
Yes you are still covered,. Contributions are calculated on a capped wage of RM6,000. Earning RM12,000 produces the SOCSO deduction as earning RM6,000.
Are bonuses to EPF and PCB?
Bonuses are subject to EPF and to PCB though PCB on a bonus is computed using a method from your regular monthly salary. They are generally not subject to SOCSO and EIS which apply to wages as defined under their acts.
Can I use this to calculate my income tax?
It gives you the PCB estimate, which is a good proxy for your annual liability. Your final tax position is settled when you file your e-Filing return with LHDN, where all your reliefs and rebates are accounted for.
Closing
Malaysian payroll is not hard. It is complicated. Four different programs, two salary limits, age groups, types of workers and contribution charts that do not exactly match the numbers shown. Making a mistake on the employee side leads to a correction; making a mistake on the employer side leads to fines. This calculator takes care of the part so you can get the number you really wanted.
For details go to KWSP for EPF PERKESO for SOCSO and EIS and LHDN for income tax and PCB.
Disclaimer: This calculator gives guesses based on 2026 rates and is not a replacement, for expert tax or payroll help.
Other:
EPF Calculator Malaysia
PCB Calculator Malaysia