FAQ
Clear, factual answers on Malaysian payroll — rates, deadlines and what outsourcing covers. Current as of 2026.
Payroll outsourcing in Malaysia is normally priced per employee per month, or as a monthly fee for small teams. The cost depends on headcount, pay-cycle complexity, how many statutory bodies you file with, and whether year-end EA forms and HR support are included. Tell us your headcount and we will quote you directly.
The EPF employee contribution is 11%. The employer contributes 13% for employees earning RM5,000 or less per month, and 12% for those earning above RM5,000, assessed monthly. Non-Malaysian employees registered from 1 August 1998 contribute 2% with a 2% employer share, mandatory since the October 2025 wage month.
EPF, SOCSO and EIS contributions are due by the 15th of the following month. Late EPF payments incur the dividend rate plus 1% per annum (minimum RM10); late SOCSO incurs 6% per annum interest charged daily. Outsourcing ensures submissions are made on time, every cycle.
PCB (Potongan Cukai Bulanan), or Monthly Tax Deduction, is the income tax employers deduct from salaries and remit to LHDN. The amount depends on marital status, children, reliefs, and zakat. We calculate PCB using current LHDN tables and submit it correctly each month.
HRD Corp (HRDF) registration is mandatory for employers with 10 or more Malaysian employees in covered industries, at a levy of 1% of monthly wages and fixed allowances. Employers with 5 to 9 Malaysian employees may register optionally, at 0.5%. We track your levy and keep submissions compliant.
EA forms (Borang EA) must be given to all employees by 28 February of the following year. We prepare and distribute them on your behalf so year-end reporting is accurate and on time.
Statutory rates were verified against KWSP, PERKESO and HRD Corp in August 2026 and may change. EPF contributions are set by the Third Schedule of the EPF Act 1991 and are rounded up to the next ringgit, so percentage-based estimates can differ slightly from the amount actually payable. PCB shown here is a simplified estimate. This site is informational and not a substitute for professional compliance advice.
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