Net salary in Malaysia means the amount of money you actually receive after salary deductions such as EPF, SOCSO, EIS and PCB. It is also commonly called take-home pay.
Net Salary vs Gross Salary
| Term | Meaning |
|---|---|
| Gross salary | Your salary before employee deductions |
| Net salary | Your salary after deductions |
| Take-home pay | Another name for net salary |
Simple example
If your gross salary is RM5,000, your net salary is the amount left after EPF, SOCSO, EIS, PCB and any other payroll deductions. This final amount is what normally appears in your bank account.
Common deductions from Malaysian salary
The most common deductions are EPF employee contribution, SOCSO, EIS and PCB. Some employees may also see deductions for unpaid leave, company loans, insurance, zakat or other benefits.
FAQ
Is net salary the same as take-home pay?
Yes. In normal payroll usage, net salary and take-home pay mean the amount you receive after deductions.
Does net salary include employer EPF?
No. Employer EPF is normally an additional employer contribution and is not the amount paid into your bank account.