1. What is this Paycheck Calculator?

This calculator helps employees in Malaysia who earn both a base salary and sales commission to estimate their take-home pay after standard Malaysian payroll deductions including EPF, SOCSO, EIS, and income tax.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Salary — Base monthly salary in MYR
• Sales Amount — Total sales value in MYR
• Commission Rate — Percentage of sales paid as commission
• EPF — Employees Provident Fund contribution (typically 11% for employees)
• SOCSO — Social Security Organization contribution (typically 0.5%)
• EIS — Employment Insurance System contribution (typically 0.2%)
• Tax — Monthly income tax deduction (PCB) in MYR

3. Understanding Malaysian Payroll Deductions

EPF (Employees Provident Fund): Mandatory retirement savings contribution (employee contributes 11%, employer contributes 12-13%).
SOCSO (Social Security Organization): Provides protection against work-related injuries and invalidity.
EIS (Employment Insurance System): Provides financial assistance and re-employment services to workers who lose their jobs.
Income Tax (PCB): Monthly tax deductions based on annual taxable income.

4. Using the Calculator

Tips: Enter all values in MYR. Default values are provided for standard EPF, SOCSO, and EIS rates, but these can be adjusted if your rates differ. For accurate tax calculation, refer to your latest payslip or LHDN tax calculator.

5. Frequently Asked Questions (FAQ)

Q1: Are commission earnings subject to EPF?
A: Yes, EPF is calculated on total earnings including commission and bonuses.

Q2: How is income tax calculated on commission?
A: Commission is treated as part of your taxable income. Your monthly PCB deduction is based on estimated annual income including commission.

Q3: What's the difference between gross pay and net pay?
A: Gross pay is your total earnings before deductions. Net pay is your take-home amount after all deductions.

Q4: Are there any deductions not included in this calculator?
A: This calculator covers standard deductions. Additional deductions like loan repayments or union fees would need to be subtracted separately.

Q5: How often should I recalculate my paycheck?
A: Recalculate whenever your salary, commission structure, or deduction rates change, or at least annually when tax rates are updated.