RM26k a Month in KL

Hi there...moving to KL from Chicago and have been offered RM26k a month..my wife may find some part time gig down the road and we have a 3 year old.  Wonder if RM26k (before taxes) is enough to have a comfortable living in KL.   Thanks..

That's way more than enough. The average Malaysian family of 4 lives on RM3000 a month. You will be living on the equivalent of $8600USD a month, much more than the average family back home. You will live like a king - a very rich one.

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That's good to know steveso...any idea the avg salary for an expat in KL...just curious.

I am retired here and most retired expats have less than RM10000 and in many cases half of that. An engineer here gets about RM6000. I spoke to a friend of mine who is professor here and he says the salary you are getting is extremely out of the ordinary.

Thanks steve...while the opportunity and experience is something that would be invaluable, this offer is a big departure from our household income right now here in the US.  While not looking to live in the lap of luxury, I just want to make sure that my family and I will be comfortable.  I appreciate your feedback.

DaBears...26K RM...is that with or without a housing allowance?

If a housing allowance is in addition to the salary...it rocks for a salary here.  If not...well, it's still a good salary.

Depending on housing location, you should do quite well in Malaysia on that.  Wish I made that much.

Realize you are going to pay a flat 26% income tax your first six months here...no choice in the matter.  And that's 26% on everything you are paid, housing allowance, transportation allowance...whatever.

Your rate will moderate after that...but expats get tagged hard their first 180 days here.

Make sure you file the proper forms with the US IRS to make sure you have 0% tax liability there.

thanks MisterStretch..I apprecaite the information...especially on the taxes...we will be working with a CPA firm on our taxes and will remind them...

DaBears wrote:

Hi there...moving to KL from Chicago and have been offered RM26k a month..my wife may find some part time gig down the road and we have a 3 year old.  Wonder if RM26k (before taxes) is enough to have a comfortable living in KL.   Thanks..


Wow..RM26K should be more than enough living in Malaysia

On average executive level salary here is RM3,000

RM20k net (after pit) monthly allows you to have a good life in kl.
The biggest chuck of expenses could probably be on housing, depends on location though.
Guess on average, a small family needs RM10k monthly to live comfortably here.

Raindesu wrote:
DaBears wrote:

Hi there...moving to KL from Chicago and have been offered RM26k a month..my wife may find some part time gig down the road and we have a 3 year old.  Wonder if RM26k (before taxes) is enough to have a comfortable living in KL.   Thanks..


Wow..RM26K should be more than enough living in Malaysia

On average executive level salary here is RM3,000


Average salaries in KL are about 7-8k a month. "executive" means low paid wage slave in KL! No comparison with the west where executive means something different.

Mamak owners pull in 25k a month for a good place in KL. DVD sellers have 1 million RM Mercs. Salaries are very divergent in Malaysia and yes many low paid wage slaves. But many earn real money. Look at Bandar Utama. Houses at 2 million RM with two Mercs outside. That's 4 million RM. That isn't bought on 3k a month. 26k a month after tax is roughly 250,000 a year after tax. That means a 1 million RM house which is a small semi in KL. So not big money in comparison

Also 26k is either low, average or high depending on the position. If it is a senior manager level then low. If it is an admin middle manager then good for an expat.

Nemodot wrote:
Raindesu wrote:
DaBears wrote:

Hi there...moving to KL from Chicago and have been offered RM26k a month..my wife may find some part time gig down the road and we have a 3 year old.  Wonder if RM26k (before taxes) is enough to have a comfortable living in KL.   Thanks..


Wow..RM26K should be more than enough living in Malaysia

On average executive level salary here is RM3,000


Average salaries in KL are about 7-8k a month. "executive" means low paid wage slave in KL! No comparison with the west where executive means something different.

Mamak owners pull in 25k a month for a good place in KL. DVD sellers have 1 million RM Mercs. Salaries are very divergent in Malaysia and yes many low paid wage slaves. But many earn real money. Look at Bandar Utama. Houses at 2 million RM with two Mercs outside. That's 4 million RM. That isn't bought on 3k a month. 26k a month after tax is roughly 250,000 a year after tax. That means a 1 million RM house which is a small semi in KL. So not big money in comparison

Also 26k is either low, average or high depending on the position. If it is a senior manager level then low. If it is an admin middle manager then good for an expat.


Nemodot....I don't doubt that there is a huge disparity in income in Malaysia...frankly..I could care less about the 4m dollar home, the  cars and the fancy lifestyle....my main focus is my family..their security and  comfort.....at the end of the day it all depends on the lifestyle you are willing to lead....thanks all the same for the info..

That is a Prime Minister pay here in Malaysia :p

yourmanjh wrote:

That is a Prime Minister pay here in Malaysia :p


Really, I thought he made more than that.  Our main man Obama makes USD400k. I'm sure the PM has some nice perks...which makes up for his salary...:-)

Silly thing to say most ceo s make 10 million a year. Tax free as well! A good mamak place makes more than 26k and look at dvd sellers. Brand new 1  million mercs. Good heart surgeons make 180k a month privately

In malaysia 26k is only lower middle class salary

Nemodot wrote:

In malaysia 26k is only lower middle class salary


Not true.
Some Head of department in multinationals don't get this salary. 26K is a very very good salary in Malaysia. Average family income in  Malaysia is 4K to 5K a month. More in KL, but not that much higher. For more info, www.payscale.com/research/MY/Country=Malaysia/Salary

DaBears wrote:
yourmanjh wrote:

That is a Prime Minister pay here in Malaysia :p


Really, I thought he made more than that.  Our main man Obama makes USD400k. I'm sure the PM has some nice perks...which makes up for his salary...:-)


Rm20k++ is just the salaries but think of others money that we dont see (sensored) lol

Expatypus wrote:
Nemodot wrote:

In malaysia 26k is only lower middle class salary


Not true.
Some Head of department in multinationals don't get this salary. 26K is a very very good salary in Malaysia. Average family income in  Malaysia is 4K to 5K a month. More in KL, but not that much higher. For more info, www.payscale.com/research/MY/Country=Malaysia/Salary


I totally agree with Expatypus, let me tell a little story last 10 years when I was employed by a really good company and working as a Resort Manager taking care 10 resort at one time, I'm paid at Rm6K a month and during that time all groceries things that you buy is way more cheaper compare now, and now at this present moment, if you go and ask for a managers position the pay is still RM6k isn't that sucks ...

Malaysia employment salaries are not following the world market rate where it should be at par with other countries. But the things we buy or brought into Malaysia are following the existing market rate.


Example

Let's say

UK salary  a month at GBP2000 =  Mini copper cost about GBP7K
M'sia salary a month RM2000 = Mini cooper here cost RM200K

What else?

A mug of beer in uk more less than 2 pounds
A mug of beer here is more that RM10

Isn't that weird !!

That is why I gave up employment here in Malaysia ;P people here need to get paid at par according to the world market and then they will live happily and less crime. ;)

wow..this is all very entertaining.....guess never having enough sees no boundaries...not sure who this mamak fellow is but if those figures are correct it seems like a good gig...
Thanks Expatpus and Yourmanjh...you guys seem to have a more realistic view of things in Malaysia...

Nemodot wrote:

In malaysia 26k is only lower middle class salary


In my opinion, THAT's a silly thing to say.

If you come from the "wealthy", that may seem that way to you.  I have no idea where you are from or what you are used to, but that IS a silly thing to say.

I know an area sales manager for a US multi-national whose territory covers all of Asia and Australia and his salary is about US$100K (26,142 MYR a month) and he owns two houses in Kuala Lumpur, in good areas, lives a very good lifestyle and it is definitely not of the "lower middle class" variety.

Chitown...that's good money for here, if you are judicious about housing location and school choice (that can be a killer).  If your company has housing or education benefits (many do) then you are more than better than ok.

If you are not paid by a Malaysian company, but by a totally-owned foreign entity, then forget about the tax thing, except any US tax liabilities you may have.  If you aren't employed by a Malaysian company, you don't pay Malaysian taxes. Check with a good tax person, probably have to be paid into your US account (I would recommend HSBC as your local, if you can open an account with them in the US).

Well , Thats good only if you manage your finances properly
In the blink of a collapse of the US dollar, I suggest spend wisely and by precious metal and keep as you don t know whats coming end of next year.

You will enjoy your stay here.

All The best

Yep it is decent salary to live comfortable.

I recommend ex-pat communities preferred destination is Mont Kiara.

Feel free to ask any questions about quality living in Malaysia.
I am European borne and Australian citizen been here more then 15 years.

Have a nice day.
H.Karaca

ready for 26% tax for first 6 months of your joining in you new company

Hi!
I've just written this to a single man on a $125K package:
$125K is 20 times what a shop assistant earns in KL, so, it really is up to you how you want to spend it. As a single westerner here, you can easily live on $3,000 a month and you don't need to spend more than $500 a month on accommodation; Bangsar and Mt Kiara are not the only areas an expat should consider, in particular if they are single. I suggest areas like Sentul, Titiwangsa or Cheras where a new or near new 3-bedroom/2 bathroom unit can be rented for merely $400 (RM 1,200 a month)... and these are central and safe areas where food (especially eating out) costs a lot less than in areas popular amongst expats. Also, transport is not a problem; e.g. Monorail from Titiwangsa to KLCC and Central; a traffic beating solution...

That is certainly more then enough to live off even if you had 5 kids. The average pay for a mediocre job in KL is RM2000, and it is enough for one person living on his/her own in a small apartment or in a room and monthly car payments. You will be very comfortable if you were to live in a medium class area or buy a house outside of Klang Valley, or else it would be a waste...

tsahr wrote:

Hi!
I've just written this to a single man on a $125K package:
$125K is 20 times what a shop assistant earns in KL, so, it really is up to you how you want to spend it. As a single westerner here, you can easily live on $3,000 a month and you don't need to spend more than $500 a month on accommodation; Bangsar and Mt Kiara are not the only areas an expat should consider, in particular if they are single. I suggest areas like Sentul, Titiwangsa or Cheras where a new or near new 3-bedroom/2 bathroom unit can be rented for merely $400 (RM 1,200 a month)... and these are central and safe areas where food (especially eating out) costs a lot less than in areas popular amongst expats. Also, transport is not a problem; e.g. Monorail from Titiwangsa to KLCC and Central; a traffic beating solution...


Completely agree, expat areas are so overpriced in every area of living. Well said!

@ tsahr

Is it possible to get a fully furnished studia or 1 bhk appartment in a condonium in cheras or areas close to Jalan Tun Rajak for RM 1500.

My office is app 3.3 KM for Maluri LRT Station.

Please suggest me a location.

kumar2012 wrote:

@ tsahr

Is it possible to get a fully furnished studia or 1 bhk appartment in a condonium in cheras or areas close to Jalan Tun Rajak for RM 1500.

My office is app 3.3 KM for Maluri LRT Station.

Please suggest me a location.


YOu may choose to stay at axis. most units are full furnish. rental from MYR2.2k up.

Hey, 26k a month is a lot to do with in Malaysia. I am getting half that amount monthly and I have bought 2 cars and a house. I went through this lawyer to purchase a house. His work was good and he was so polite. He in fact explained to me step by step of every transaction. Give the chap a call if you wish to buy a house. His name is Kelvin 0163242395, I highly recommend him.

I think people on here - and expatypus needs to wake up! - realise that I am talking about income NOT salary.

In Malaysia they are very different! And as an expat after a while you get used to the social pecking order. Who really wants to drop a social class when abroad? It is the thirdworld so averages mean very little. But 7k a few years ago in Selangor is still more than the 5k min for an expat EP.

In a bank a head of credit control say gets paid 12k a month. He has 20 2 million RM bungalows, 4 wives and a fleet of mercs. You do the maths and then think where does all that cash comes from ;)  As Al-capone said "my wife is good at managing the budget"

Malaysia income does not equal salary! Average salary surveys pick up only declared income. Most locals I know have extra income from somewhere, maybe a small business, selling DVDs or something of that sort. Or Kopi duit....all tax free.....

And 10 years ago I was on more than 25k a month and that was low then and hard to attract people to Malaysia to take up jobs (easier now as great depression 2.0 underway) - but I note that there are less expats these days on expat packages (mine wasn't as otherwise it would have been more). And I realised then I was "poor" compared to staff on less SALARY as I didn't have the "perks" of managerial jobs in Malaysia :lol:

Obviously if you are 23 year old single web designer and want some adventure Malaysia on 5k is paradise (for a while) but for older people with families much more is needed (26k is enough for 2 kids at school just) but why expats need to not sell themselves too cheaply as it affects the rest of us badly! The exapt pachage is already dead, please don't lower salaries anymore otherwise I'm going to have to get a food stall to make ends meet :lol:

Nemodot wrote:

I think people on here - and expatypus needs to wake up! - realise that I am talking about income NOT salary.


but before that.. you wrote

Nemodot wrote:

In malaysia 26k is only lower middle class salary


YOu re the one needs to wake up. The point is you agree that 26K is only lower middle class SALARY NOT INCOME. SALARY , right ?


Again i repeat , you wrote SALARY not INCOME....

If 26K is only lower middle class SALARY..imagine whats the high class SALARY would be ? What about the lower income..

wow..what a wonderful place Malaysia it is ...thanx Nemodot..

Then you start barking about INCOMe not SALARY, and business such as  the DVDs seller, the mamak corner shop...

Nemodot wrote:

Most locals I know have extra income from somewhere, maybe a small business, selling DVDs or something of that sort. Or Kopi duit....all tax free.....


Unless you are the full time BIG SUPPLIER of the DVD business , its probaly reasonable to get 26K..but if you just the small peddler at pasar malam, forget about it...

Mamak shop , 26K per month ? Yes, unless u open a hot spot mamak shop..with  24 hours full house customer NOT just lepak spot with just a teh tarik customer... see if you can easily open a mamak shop like that..


The only easy business (without hot spot) nearer the 26K per month is the pimp business importing China chicks.

May i ask you a question Nemodot...honestly, What is your real intention posting message in this forum ?

mmm... i think i know...thats another story maaa...

You will live like a king and you will have many friends until your money finish.
Real Estate agents will be fallowing you were ever you go.
Perhaps not mention how much you are getting would be wise but it is to late already.
We all are waiting for you we arrange to give you a welcome when you are arriving to Airport,only we don't know what music to put on; we will we will rock you,
Is that ok? Is this gig is funny to you ?

Nemodot wrote:

I think people on here - and expatypus needs to wake up! - realise that I am talking about income NOT salary.

In Malaysia they are very different! And as an expat after a while you get used to the social pecking order. Who really wants to drop a social class when abroad? It is the thirdworld so averages mean very little. But 7k a few years ago in Selangor is still more than the 5k min for an expat EP.

In a bank a head of credit control say gets paid 12k a month. He has 20 2 million RM bungalows, 4 wives and a fleet of mercs. You do the maths and then think where does all that cash comes from ;)  As Al-capone said "my wife is good at managing the budget"

Malaysia income does not equal salary! Average salary surveys pick up only declared income. Most locals I know have extra income from somewhere, maybe a small business, selling DVDs or something of that sort. Or Kopi duit....all tax free.....

And 10 years ago I was on more than 25k a month and that was low then and hard to attract people to Malaysia to take up jobs (easier now as great depression 2.0 underway) - but I note that there are less expats these days on expat packages (mine wasn't as otherwise it would have been more). And I realised then I was "poor" compared to staff on less SALARY as I didn't have the "perks" of managerial jobs in Malaysia :lol:

Obviously if you are 23 year old single web designer and want some adventure Malaysia on 5k is paradise (for a while) but for older people with families much more is needed (26k is enough for 2 kids at school just) but why expats need to not sell themselves too cheaply as it affects the rest of us badly! The exapt pachage is already dead, please don't lower salaries anymore otherwise I'm going to have to get a food stall to make ends meet :lol:


Hi Nemodot !

I am laughing all the way reading your post ! I am from Cheras but now working and living in Saudi Arabia. I do recommended to all expat in Malaysia to venture to my area i.e. I will say it my area since it is 7 km away from the General Post Office...and Cheras.... Pandan Indah, Pandan Perdana... etc I still remember I used to swim in the lakes (lombong) ages ago.  Try to rent the condos near to LRT station. Cempaka, Pandan Indah, Pandan Jaya and Ampang and etc. I will say those area is and still is I consider my home town. Imagine how quiet it is during Malaysian Hari Raya ! It is so quiet and peaceful at that time !

Yes I do agree most malaysian do have other incomes from other sources ! Since I have a friends who is working in KL and apart from that he has more than 40 hectares of palm oil which he employed 10 Indonesian to work on it on a daily basis. And his salary is between RM 10k to 15k a month, and his oil palms generated income round about 30k a month gross ( he needs to pay his worker also !).

Anyway the monthly salary in Malaysia in my opinion and I know for a fact it is very much depended on the company. If the company is making RM 2 Billion a year with profits more than RM 500 million a year consistently you would expect an Engineer with 10 years experience in that company to be paid a basic salary of RM8k to 10k. The salary of the Managers and Senior Managers, GM, COO, MD and CEO will grow exponentially. I mean super duper exponentially. I know that the last Malaysian company that I work with the top fella earns, close to RM 3 million per year. He also given share options schemes (that make hime multi millionaire when he retires !).

Regards;

malong83

Expatypus wrote:
Nemodot wrote:

In malaysia 26k is only lower middle class salary


Not true.
Some Head of department in multinationals don't get this salary. 26K is a very very good salary in Malaysia. Average family income in  Malaysia is 4K to 5K a month. More in KL, but not that much higher. For more info, www.payscale.com/research/MY/Country=Malaysia/Salary


Expatypus are you just off the boat?

10 years ago some off the boat Kuwaiti guy was recruiting for KFH and he said that. I laughed at him as CEOs earn about 5-10 million in banks. More in the big ones.

But it isn't salary..... Mostly goes through Labuan and the Islamic banks.

How long have you been here? Westerners can't access so easily this "additional income stream" so require a higher base salary. Most Chinese malaysians I know have their own business. One pulls in 2 million a month. He considers himself ok off! Most mid range business men think 25k ok. After I am here a while i will do what all expats with sense do. Get involved in business as that is where the money is at.

Few weeks ago interviewed a tuition centre teacher who showed his tax returns with 6k a month on. Them he earns more "tax free" I know. Just a diploma and no degree. He can't support a wife and kid on that so wanted a day job. He laughed at our offer (I know it was silly but again bosses believe wage surveys).

Wage surveys here are pure fantasy and propaganda (make people feel well off). And of course an average if all the orang asli in east Malaysia makes no sense. One needs to average KL and selangor. Here my local staff complain about living costs. Parents with 2 kids need 10k min as malaysians.

taslik wrote:

You will live like a king and you will have many friends until your money finish.
Real Estate agents will be fallowing you were ever you go.
Perhaps not mention how much you are getting would be wise but it is to late already.
We all are waiting for you we arrange to give you a welcome when you are arriving to Airport,only we don't know what music to put on; we will we will rock you,
Is that ok? Is this gig is funny to you ?


Estate agents typically earn 30-40 k per month and drive mercs.  I remember looking at a house and the auctioneer turned up in a brand new merc. Commissions must be good! I can't afford 1,000,000 RM merc as "overpaid expat" lol.

Actually look at my local DVD seller. New merc last week and refurbished shop. He now has a loyalty scheme and takes credit cards. Business good ! Malaysia boleh

What is odd expat salaries are way lower than ten years ago. Employers realized why pay a white project manager 30 k a month when an Indian will do it for 6. And won't complain and whine like Matt salehs.... Or highlight corruption.

Kinda makes sense but Malaysia is stuffed when the oil money runs out as where will all the hard currency come from?

I guess the answer will be hub mania. Look at the  failure of IT hub  cyberjaya and my personal favourite becoming the halal food hub nonsense. I was briefly involved in one of those projects. I learnt one thing. Do as Chinese. Make money in business and invest in australia!

So for any expat do business, make money, ignore a the nonsense (learn to speak the lingo of impossible ideas and say hub and synergy a lot) and invest in australia! And before I get flamed that is what Chinese and the cleverest Malays do ;) why do you think joint nationality is illegal?

And thanks for the support malong83 you obviously been here a while and know the score here. And yes I do add humor to all this as it is funny really....

Nemodot wrote:

How long have you been here? Westerners can't access so easily this "additional income stream" so require a higher base salary. Most Chinese malaysians I know have their own business. One pulls in 2 million a month. He considers himself ok off! Most mid range business men think 25k ok. After I am here a while i will do what all expats with sense do. Get involved in business as that is where the money is at.


Be calm Nemodot...we are talking about SALARY for wage earners here not ILLEGAL BUSINESS like those Chinese pimp or any Chinese DVD illegal sellers in KL.

Yes, we saw in TV and newspaper how those guys been caught and reported earned hundred thousands of ringgit...no secret about that...Why dont you add those illegal SYabu dealers from Iran too...? 

If you so tired of your 9-5 wage SALARY, and mumbling about your low salary..i suggest you join THEM...find some sort of those "additional income stream" that you envy all this while...and u might be lucky as them...

Its so funny knowing some western expat have this kind of 'sophisticated' thinking in your head.

No wonder they dont deserve such huge salaries like those old days anymore...

Put it this way;

Combo Mc.Donald Big Mac regular cost RM:10.95 = US$ 3.63
SUV Engine size 2.85 full tank RM:90 = US$:30/
TGI American restaurant for 2 people dinner with beer RM:140 =US$ 40 dollars.

High end condo RM;7000 rental =US$ 2400/ goes up to MR: 10.000
US$ 3300/

You can worked out yourself if it.

Go Ahead Make My Day.

Pretty interesting discussion going on over here!!!

My two cents is that 26K is pretty handsome salary in Malaysia.  I am staying in Mont Kiara with my wife and daughter (a year old). I would not say that I am good at controlling costs, infact I am bad. Still my expenses do not go beyond 10K a month.

In your case, one definite added cost item is the schooling for your kid, which I believe is pretty expensive in Malaysia (in International Schools). But proper schooling is still a couple of years away as your kid is only 3 years old.

At 26K, you would take home around 19K in the initial months. That should be way more than 'sufficient'.

Hi. I'm new here and I came upon this page when I googled "expat salary in Malaysia". You have an interesting conversation going on here even 2 years on from the original post in 2011.

Fast fwd the years, I'm in the similar position as the OP was. With a wonderful wife, 3 young kids (two in an Aussie school) and a mortgage to boot, I'm presented with an opportunity to move to KL. The offer on the table right now is RM25k (~$8k).

By local terms, I understand that's between good-great for a senior mid management position. Problem is, I'm doing much better currently in Australia. It would only make sense for me to move (without dropping on social level terms) on an after-tax package of US$200k (RM600k) annually.

The question is... Would this by unreasonable by the longest stretch of imagination? Is this a sane ask or definitely what are you smoking crazy?

Well, the other alternative is asking for say US$180k and have it paid to a company in Singapore. Tax there is 15% vs 26% in Malsyia.

Appreciate your thoughts.

I work in MRT project and my package manager earns 45k RM per month and still keeps complaining.. lol.. Guess some people will never be satisfied..!
Anyways for you, you really need to think to yourself if u wanna make this move or not..! Managing to get a salary of 50k per month is not an easy task (My package manager is one lucky man..!)
If I was you, and doing fine in life, I wont change the country but rather try to look for better jobs somewhere around only..!
Cheers..!