Question 1

How much EPF is deducted from my salary in 2026?

Accepted Answer

Employee EPF deduction is 11% of gross salary (for Malaysians aged under 60). Employer contributes 13% if your salary is RM5,000 or below, or 12% if above RM5,000. Example: RM3,000 salary → employee pays RM330, employer contributes RM390, total RM720/month into EPF. The new 3-account structure splits this into Akaun Persaraan (75%), Akaun Sejahtera (15%), Akaun Fleksibel (10%).

Question 2

What is SOCSO and how much is deducted?

Accepted Answer

SOCSO (Social Security Organisation) protects employees against workplace injury and invalidity. Employee pays 0.5% of salary, employer pays 1.75%, both capped at a RM5,000 wage ceiling (max RM25 employee, RM87.50 employer per month). Employees aged 60 and above pay into Second Category only (Employment Injury Scheme) at lower rates.

Question 3

What is EIS deduction in salary?

Accepted Answer

EIS (Employment Insurance System) is a job-loss insurance scheme. Both employee and employer each pay 0.2% of salary, capped at RM5,000/month (max RM10 each per month). If you're retrenched, EIS pays job search allowance for up to 6 months. Self-employed individuals and civil servants are not covered by EIS.

Question 4

What is my take-home pay after EPF, SOCSO, and EIS?

Accepted Answer

Take-home pay = Gross salary − EPF (11%) − SOCSO employee (0.5%, max RM25) − EIS (0.2%, max RM10) − Income tax (PCB, varies). For RM3,000: RM3,000 − RM330 (EPF) − RM15 (SOCSO) − RM6 (EIS) = RM2,649 before income tax. Use this calculator to see your exact deductions by salary.

Question 5

Does the employer EPF contribution belong to me?

Accepted Answer

Yes — 100% of employer EPF contributions go into your EPF account. It's part of your total compensation. When you resign or retire, both your own contributions and employer contributions (plus dividends) are yours. This is why EPF is effectively a 24% savings rate on your salary — 11% from you + 13% from employer.

Question 6

Can I reduce my EPF contribution to 9%?

Accepted Answer

Yes — employees can opt for a reduced 9% EPF contribution rate (instead of 11%) to increase take-home pay. However, this reduces your retirement savings significantly over time. The 2% difference on RM3,000 salary = RM60/month, but over 30 years at 6% annual return, that RM60/month difference grows to ~RM60,000 in lost retirement savings. Most financial planners advise keeping the full 11%.

Contribution	Employee (You)	Employer
EPF (KWSP) 11% employee / 13% employer	RM 440	RM 520
SOCSO 0.5% employee / 1.75% employer (cap RM5,000)	RM 20.00	RM 70.00
EIS 0.2% each (cap RM5,000, max RM10)	RM 8.00	RM 8.00
Total Deduction	RM 468.00	RM 598.00

Salary (RM)	EPF (Emp)	EPF (Er)	SOCSO+EIS	Take-Home
RM 1,500	RM 165	RM 195	RM 10.50	RM 1,324.50
RM 2,000	RM 220	RM 260	RM 14.00	RM 1,766.00
RM 2,500	RM 275	RM 325	RM 17.50	RM 2,207.50
RM 3,000	RM 330	RM 390	RM 21.00	RM 2,649.00
RM 3,500	RM 385	RM 455	RM 24.50	RM 3,090.50
RM 4,000	RM 440	RM 520	RM 28.00	RM 3,532.00
RM 5,000	RM 550	RM 650	RM 35.00	RM 4,415.00
RM 6,000	RM 660	RM 720	RM 35.00	RM 5,305.00
RM 7,000	RM 770	RM 840	RM 35.00	RM 6,195.00
RM 8,000	RM 880	RM 960	RM 35.00	RM 7,085.00
RM 10,000	RM 1,100	RM 1,200	RM 35.00	RM 8,865.00

Monthly	10 yrs	20 yrs	30 yrs
RM300/mo	RM61k	RM228k	RM678k
RM500/mo	RM102k	RM380k	RM1.13M
RM531/mo	RM109k	RM404k	RM1.2M

Monthly	10 yrs	20 yrs	30 yrs
RM300/mo	RM55k	RM177k	RM449k
RM500/mo	RM91k	RM297k	RM749k
RM670/mo	RM122k	RM397k	RM1.0M

EPF Contribution Calculator Malaysia 2026

Monthly Gross Salary (RM)

Payslip Deduction Breakdown — RM 4,000/month

EPF + SOCSO + EIS Reference Table 2026

RM500/Month for 30 Years = RM1.13M — via S&P 500 at 10% p.a.

Frequently Asked Questions

RM670/Month for 30 Years = RM1M — At 0% Sales Charge

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