1. If you need more flexible and better payroll calculation, such as generating EA Form
automatically or adding allowance that does not contribute to PCB, EPF or SOCSO, you may want to check out HR.my - Free Malaysian Payroll and HR Software
, which is absolutely FREE! Forever
for UNLIMITED employees. BTW, Payroll.my PCB calculator 2023 is powered by HR.my's payroll calculator.
Below is a sample payslip generated by HR.my:
On top of a powerful payroll calculator, HR.my also offers Paperless HR
- FREE Leave Management which allows your employees to apply and check leave balance online
- FREE Expense Claim Management which allows your employees to submit expense claims anywhere, anytime on any device
- FREE Time Clock and Attendance Management that simplify employees' clock-in or clock-out anywhere, anytime on any device. Plus, there is also a Field Check-In feature for tracking mobile sales force's locations easily
- FREE Document Workflow to allow online submission of purchase requests, OT requests, stationery requests etc.
- All leave, expense claim and document workflows support up to 3 levels of approver, such as Line Manager, Head of Department or Branch, or any custom approvers like Boss, Director etc. FREE!
- FREE Online Document Sharing, Discussion Forum and many more that you will have to see it for yourself. Most importantly, new features are being added every month for FREE!
As it stands now in Jan 2023, tens of thousands of Malaysian employers (with hundreds of thousands of employees) have already discovered the best ways to improve employee productivity and collaboration
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2. Employee Salary plus any other allowances.
3. Calculation for bonus tax:
- If you wish to ONLY calculate the PCB for bonus of an employee with monthly salary, you will still need to enter the monthly salary of the employee even if the bonus is paid at a different date. This will calculate the combined tax for both salary and bonus in the payslip, after that you may deduct the tax of the monthly salary component to get the bonus-only tax. E.g. if monthly salary is RM 5,000, with a yearly bonus of RM 5,000, then for an employee who is not married, the combined tax for both salary and bonus is RM 650. For the same employee, monthly PCB for salary alone will be RM 130, so the tax for bonus is RM 650 - RM 130 = RM 520.
- Alternatively, you may change the Calculate For option to Bonus Only, this will show the exact amount of statutory contributions for the bonus component only.
4. Statutory contribution schedules:
5. Examples of Allowable Deduction
- EPF contributions tax relief up to RM4,000 (this is already taken into consideration by the salary calculator)
- Life insurance premiums and takaful relief up to RM3,000
- National Education Savings Scheme (SSPN) relief up to RM8,000
- Education and Medical Insurance up to RM 3,000
- Tax Deduction For Lifestyle up to RM 2,500
- Medical Treatment, Special Needs or Carer Expenses of Parents up to RM 5,000
- Higher Education Fees (Self) up to RM 7,000
- or other approved deductions
- EPF contribution rates:
- For employees who receive wages/salary of RM5,000 and below, the portion of employee's contribution is 11% of their monthly salary while the employer contributes 13%. For employees who receive wages/salary exceeding RM5,000 the employee's contribution of 11% remains, while the employer's contribution is 12%.
- The minimum Employers’ share of EPF statutory contribution rate for employees above age 60 who are liable to contribute will be reduced to four (4) per cent per month, while the Employees’ share of contribution rate will be zero per cent.
- Wages or Salary Payment Subject to EPF Contribution
: Wages or Salary Payment Subject to SOCSO Contribution
8. Calculation of yearly income tax for assessment year 2022:
- If you need to check total tax payable for assessment year 2022, just enter your 2022 yearly income into the Bonus field (leave Salary field empty), and enter whatever allowable deductions for 2022 to calculate the total amount of tax for 2022. Don't forget to change PCB year to 2022.
- Likewise, if you need to estimate your yearly income tax for 2023 (i.e. assessment year 2023), just do the same as previous step with your estimated 2023 total income, but choose 2023 for PCB year.
9. Official PCB Calculator from LHDN / Hasil
: Kalkulator PCB - Lembaga Hasil Dalam Negeri