Sources & Methodology

Methodology

Rule-source work: 21–22 October 2026. Content and link review: 23 October 2026. A contained calculation check was completed on 23 October 2026. Qualified human financial approval and public-launch approval remain outstanding.

Monthly PCB and rounding

2026 uses HASiL’s computerized normal-remuneration method. January through the selected representative month is simulated with the same salary, contribution elections and monthly payroll zakat. Rounded prior PCB and qualifying EPF are carried forward; previous PCB is not assumed to be zero.

PCB calculations truncate to sen, apply the RM10 threshold separately to normal and additional-remuneration MTD, and round the final amount upward to five sen. Spare current zakat is considered when combining normal and bonus MTD, as in HASiL terms E.5(ii).

HASiL: 2026 computerized PCB specification

Annual bonus and statement modes

Bonus means one taxable annual bonus paid in the selected month, with no earlier bonuses in the year. HASiL’s five-step additional-remuneration method compares normal annual projected tax with the projection including that bonus once, recalculates remaining EPF relief and combines normal/bonus PCB with zakat. Bonus is not recurring salary and is not multiplied by twelve.

Salary and Bonus reports the whole month. Bonus Only reports the difference from a same-input regular-only statement: incremental EPF and PCB, with no second salary, SOCSO/EIS/LINDUNG payment or zakat deduction. It assumes regular salary is paid or expected separately in the same month (HASiL terms E.8); it does not model a month with no regular salary. Small bonuses can produce a negative incremental net amount when a statutory wage-band change exceeds the bonus.

HASiL: 2026 computerized PCB specification

EPF wages, elections and remittance

Standard EPF uses the October 2025 Part A wage tables through RM20,000.00 in combined monthly salary and annual bonus. Above that threshold, percentages apply to the whole month’s EPF wages: employee 11% and employer 12%. If recurring salary is at most RM5,000 but bonus takes wages above RM5,000, the employer bonus rule retains 13%. Elected i-Topup rates above the applicable minimum continue to apply; valid elections are assumed in force from January. Below-minimum rates are not offered for this cohort.

EPF employee/employer shares are retained to sen. Combined remittance uses exact percentage parts before rounding upward to a ringgit. Combined EPF payable includes remittance rounding beyond the displayed shares; the residual is not allocated to the employee in this estimate. Net salary uses the employee share before allocation of this remittance residual. Confirm allocation with payroll. Prior regular months and the selected bonus month each use their own appropriate table or percentage method; PCB relief caps and PERKESO contribution ceilings remain unchanged.

KWSP: Third Schedule, October 2025 · KWSP: i-Topup / voluntary excess contributions · KWSP: mandatory contributions and high-wage example

SOCSO, EIS and LINDUNG eligibility

Annual bonus is excluded from PERKESO Act 4/800 wages; SOCSO, EIS and LINDUNG therefore use regular salary alone. First category uses employee invalidity and employer first-category table amounts. Second category is for the qualifying first-covered-at-55–59 cohort and uses the official employer-only table. EIS No is limited here to second-category users first covered at 57–59 with no earlier EIS contributions. Neither selector determines legal eligibility or permits a voluntary opt-out.

PERKESO: Act 4 and SKBBK contribution table · PERKESO: Act 800 / EIS contribution table · PERKESO: LINDUNG 24 Jam FAQ v2.3 · PERKESO: contribution eligibility · PERKESO: definition of wages

Deductions, zakat and residency

Allowable Deduction is RM claimed in this month only: an employer-approved TP1 total whose individual eligibility and annual limits have already been checked. Prior claims are zero. Exclude automatically counted personal/spouse/ordinary-child relief and payroll EPF, and exclude unverified LINDUNG relief. An ordinary SOCSO/EIS claim may be included only after employer validation of actual paid contributions and the combined RM350 annual cap; it is not counted automatically. It reduces projected taxable income, not take-home salary directly. An aggregate amount cannot independently verify category limits or detect a duplicated claim; employer validation is required.

Muslim Zakat Fund is RM payroll-deducted each month from January through December. Earlier payments carry into the PCB formula and current zakat is deducted from take-home once. Non-resident mode applies ordinary 30% withholding on taxable Malaysian-source employment remuneration, without resident reliefs or zakat rebate; incompatible claim fields are reset.

HASiL: 2026 computerized PCB specification

HASiL: TP1, TP3 and explanatory notes

EPF table: wages from October 2025. SOCSO/EIS ceiling: RM6,000 from October 2024. LINDUNG phase 1: 1 June 2026–31 May 2028; June 2026 is mandatory. Later local-worker participation follows eligible opt-out rules. 2026 individual relief: RM9,000; EPF relief capped at RM4,000.

Examples

These are retained official-source illustrations or earlier baseline calculations, not acceptance proof for the expanded engine. January/April are illustration months, not additional period choices.

January 2026 · RM5,500 salary, working spouse, three children under 18: EPF RM605, SOCSO RM27.25, EIS RM10.90, LINDUNG RM0 and PCB RM110. Estimated take-home: RM4,746.85. HASiL’s 2026 specification contains this January payroll example, labelled 2025 in the source.
June 2026 · RM5,000 salary, single, continuous LINDUNG participation: EPF RM550, SOCSO RM24.75, EIS RM9.90, LINDUNG RM37.15 and PCB RM110. Estimated take-home: RM4,268.20. Prior simulated PCB: RM550.
2027 Budget projection · RM5,000 salary, single: annual salary RM60,000 less assumed EPF relief RM4,000 and proposed individual relief RM12,000 gives chargeable income RM44,000. Projected annual tax RM1,140; illustrative monthly equivalent RM95. Monthly payroll PCB and take-home are unavailable.
HASiL additional-remuneration source example, printed pp48–50 (labelled April 2025): RM5,500 normal salary, RM8,250 bonus, working spouse and three ordinary children, with its stated prior claims/history. Normal MTD RM106.20 plus additional MTD RM727.50 gives RM833.70. Its prior TP1-claim history differs from the simplified form’s zero-prior-claims assumption.
KWSP mandatory-contribution Example 2.1: RM21,250 wages gives employee EPF RM2,337.50 (11%) and employer EPF RM2,550 (12%). Combined RM4,887.50 is remitted as RM4,888, with a remittance difference of RM0.50. Exactly RM20,000 stays on the statutory table.

Coverage & limitations

Malaysian citizens aged 18–59 in eligible salaried employment with one employer throughout the year, the same recurring salary, one current-month annual bonus and unchanged contribution elections/category. No previous employer, prior bonus, other remuneration, special tax concession or treaty/exempt short-term employment determination.

2026 selects May 2026 (before LINDUNG implementation). 2026 Jun selects June 2026, with continuous LINDUNG participation from implementation. The result shows its actual month. Later opt-outs, refunds, arrears, rejoining and other histories are not represented.

Tax Category assumes separate assessment where the spouse works, a qualifying spouse with no income where not working, and full relief of RM2,000 for each ordinary unmarried child under 18. No split claims, higher-education/disability child categories, single-parent category, joint income aggregation or changes during the year. Non-resident mode is Malaysian citizenship plus independently established tax non-residence; it is not a foreign-worker contribution model.

High salaries and bonuses crossing RM20,000 use the percentage method on total EPF wages. The allowable-deduction amount must already be employer-validated and exclude automatic relief. EPF remittance residual allocation requires payroll confirmation.

Estimates for the documented salary and annual-bonus scenario. Not official tax advice or a guaranteed payslip match.

2027 Budget-proposal planning projection

2027 is an annual Budget-proposal planning projection, not verified 2027 payroll withholding. Annual remuneration is twelve recurring salaries plus one annual bonus. Bonus Only shows the incremental annual projected tax versus the same no-bonus projection, not a bonus payslip or monthly PCB.

MOF appendices 1–2 propose revised resident bands and RM12,000 personal relief. October 2025 EPF and 2024/2026 PERKESO tables, spouse/ordinary-child relief caps, the RM4,000 EPF cap, low-income rebates and non-resident 30% treatment are carried forward assumptions. The current-month approved deduction is included once; twelve payroll zakat payments are assumed. SOCSO/EIS/LINDUNG relief is not claimed automatically. No monthly take-home or PCB result is produced.

Official sources

The documents below distinguish official payroll rules from Budget proposals. Review dates and the scope of that work are stated above; link availability is not calculation verification.

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