Hi,
Very new to this forum and have been offered a job with 32000 RM. Please somebody tell me the exact take home salary.I know it's 26% but is it exactly 0.74X32000=23680 or it has more detailed steps?
Hi,
Very new to this forum and have been offered a job with 32000 RM. Please somebody tell me the exact take home salary.I know it's 26% but is it exactly 0.74X32000=23680 or it has more detailed steps?
Is there any online tax calculator for Malaysia? I believe it shall be step wise but couldn't figure it out from online searches.
Hi it is easy with a calculator. First take off 9,000 RM per annum as personal tax free allowance then rates are as below.
So for 32,000 RM per month that is 32x12= 384k pa
-9k = 375k
First 150k tax is 27,325 then rest at 26% = (375-150)*0.26= 58.5k
Total tax is therefore 27,325+58,500 = 85,825 pa
= 7,150 per month (to nearest 10RM)
So net is 24,850 RM AFTER 6 MONTHS (when resident)
The over taxed amount is claimed back by April and paid in May uisually (tax year Jan-Dec)
There are allowances for things like health insurance, purchase of computers etc.
Taxable Income RM Tax Rate Tax Payable RM
on the first 2,500 0% 0
on the next 2,500 1% 25
on the first 5,000 25
on the next 5,000 3% 150
on the first 10,000 175
on the next 10,000 3% 300
on the first 20,000 475
on the next 15,000 7% 1,050
on the first 35,000 1,525
on the next 15,000 12% 1,800
on the first 50,000 3,325
on the next 20,000 19% 3,800
on the first 70,000 7,125
on the next 30,000 24% 7,200
on the first 100,000 14,325
on the next 50,000 26% 13,000
on the first 150,000 27,325
on the next 100,000 26% 26,000
on 250,000 53,325
Above 250,000 26%
Thanks buddy. Very detail and clear.
It's possible (likely?) that you will also be making contribtions to your EPF. This is a very useful forced saings package where your employer more than matches your contribution and provides you with a very sizeable sum which you obtain when you eventually leave Malaysia.
If you are on the EPF (think it's optional for employers of expats) then that will be a further 11% deduction from our salary. May sound like a lot but it's seriously worth it!
You can try this website called malaysiasalary.com to check your net salary. I found what was my take home pay from the calculation and formula that was used to calculate the net salary for those who are working in Malaysia