Malaysian Salary Guide 2026
How EPF, SOCSO, EIS, SKBBK and PCB turn your gross salary into take-home pay, with worked examples at YA 2026 rates.
Updated
Your payslip starts with a gross figure and ends with a much smaller net one. Five deductions sit between them: EPF, SOCSO, EIS, SKBBK and PCB. This guide explains each one with the YA 2026 rates the Salary Calculator uses.
What counts as gross salary
Gross salary is your basic pay plus fixed allowances, before anything is deducted. Fixed allowances (transport, housing, phone) are usually wages for EPF purposes, so they raise your EPF contribution as well as your take-home pay. Bonuses and commission are paid on top and taxed through PCB in the month they arrive. The Bonus Tax Calculator shows how much of a bonus you keep.
EPF (KWSP)
- You pay 11% of monthly wages if you are under 60.
- Your employer pays 13% when your wages are RM5,000 or less, and 12% above RM5,000.
- At 60 and above, Malaysian and PR members pay 0% and employers pay 4%.
- Foreign workers contribute 2% each side, and can opt up to 11%.
Members under 55 have contributions split across three accounts: 75% Akaun Persaraan, 15% Akaun Sejahtera and 10% Akaun Fleksibel. The Fleksibel account can be withdrawn at any time; the other two are locked for retirement, housing, education and health. The EPF Calculator projects how your balance grows.
SOCSO (PERKESO)
SOCSO is not a straight percentage. PERKESO publishes a schedule of fixed amounts by wage band, and contributions are capped at an insured wage of RM6,000 a month. On a RM3,000 salary you pay RM14.75 and your employer pays RM51.65. At the RM6,000 ceiling and above, you pay RM29.75 and your employer RM104.15.
EIS
The Employment Insurance System funds benefits if you lose your job. It also uses a fixed schedule with the same RM6,000 ceiling. The most either side pays is RM11.90 a month.
SKBBK (Lindung 24 Jam)
From 1 June 2026, PERKESO added a 24-hour non-work accident scheme. Only employees pay, at 0.75% of wages up to the RM6,000 ceiling. Since 8 July 2026 it has been voluntary for Malaysian citizens and PRs, who can opt out. It remains mandatory for foreign workers.
PCB (monthly tax deduction)
PCB is your income tax paid in advance each month. Your employer estimates your yearly tax from your salary, your EPF and your reliefs, then deducts one-twelfth of it. At year end you file your return and LHDN settles the difference. The PCB Calculator shows the monthly figure and our Income Tax Guide explains the brackets.
Worked examples
Single, under 60, Malaysian, no other reliefs, SKBBK left on:
| Gross / month | EPF (you) | SOCSO | EIS | SKBBK | PCB | Take-home |
|---|---|---|---|---|---|---|
| RM3,000 | RM330 | RM14.75 | RM5.90 | RM22.15 | RM0 | RM2,627.20 |
| RM5,000 | RM550 | RM24.75 | RM9.90 | RM37.15 | RM110 | RM4,268.20 |
| RM8,000 | RM880 | RM29.75 | RM11.90 | RM44.65 | RM514.20 | RM6,519.50 |
On RM3,000 there is no PCB because the RM400 individual rebate wipes out the tax. On RM8,000, SOCSO and EIS stop rising because wages are past the RM6,000 ceiling.
What your employer actually pays
Your employer adds its own EPF, SOCSO and EIS on top of your gross. A RM5,000 salary costs your employer about RM5,746.55 a month in total. This is worth knowing when you compare a job offer with a contract or freelance rate.
These figures are estimates for a typical employee. Your payslip can differ if you have extra reliefs, zakat, a different EPF rate election or benefits in kind.