Payroll processes must account for each work model's specific requirements. For remote employees, payroll may include allowances for home office expenses, while hybrid employees may receive a mix of allowances or [...]
Malaysia does not mandate allowances for remote work, but many companies offer stipends for utilities or internet to support remote employees' productivity. These allowances are typically included in payroll, and companies [...]
For employees working remotely within Malaysia, income tax is managed as usual. However, for employees working from other countries, payroll departments must ensure compliance with both Malaysian tax laws and any [...]
Popular payroll management tools in Malaysia include Kakitangan, PayrollPanda, and Talenox. These platforms help streamline payroll processes, track attendance, and calculate contributions to EPF, SOCSO, and tax withholding. For remote or [...]
To secure payroll data, companies should use encrypted payroll software, implement role-based access, and comply with Malaysia's Personal Data Protection Act (PDPA). Multi-factor authentication, regular data audits, and secure VPNs for [...]
Employers must deduct income tax from employees' salaries monthly under the Monthly Tax Deduction (MTD) system and remit it to the Inland Revenue Board of Malaysia (LHDN). Tax rates are progressive [...]
Employers must contribute to the Employees Provident Fund (EPF), Social Security Organization (SOCSO), and the Employment Insurance System (EIS) for eligible employees. These funds cover retirement savings, social security, and unemployment [...]
Foreign workers are generally covered by EPF and the Employment Injury Scheme under SOCSO, though they are exempt from the Invalidity Pension Scheme and EIS. Employers hiring foreign workers must also [...]
Employers must pay employees by the 7th day of the following month, in accordance with Malaysian labor law. Late payments may result in penalties.
Missing deadlines for EPF, SOCSO, EIS, or tax payments can lead to fines, interest on overdue amounts, and potential legal action. It’s crucial to make timely contributions by the 15th of [...]
