We currently do not offer any services in this country.
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If you are interested in hiring a remote team in Malaysia, or even just individual remote employees in Malaysia, then you have come to the right place!
Rivermate is an Employer of Record (EOR) that offers Malaysia payroll solutions. As a Malaysia payroll provider, we will cover everything from salary, benefits, employer-to-employee contributions, and especially payroll compliance in Malaysia. We are confident Rivermate’s payroll solutions Malaysia will help you grow as a business—because now, you won’t have to worry about your payroll solutions Malaysia. We take care of everything payroll!
With Rivermate, you can run Malaysia payroll services in just one click—regardless of currency, benefits, insurance, and your local labor laws. Everything is automated. Our priority is for you to focus on your company’s strategy and growth.
Our Rivermate Global Payroll services are made especially for startups and scaleups. We know that startups try to be extra prudent when it comes to choosing a payroll provider, so it is our mission at Rivermate to be your most reliable and cheapest payroll provider option. So if you’re looking for global payroll providers for small businesses, look no further and book a call with us now!
The first step in setting up Malaysia payroll is to register your company with the Malaysian Companies Commission to reserve the name you want. After completing the setup process, you will need to open an in-country bank account in order to pay employees. Then you must register for income tax, PAYE, EPF, and SOCSO.
Malaysia has a comprehensive taxation system that applies to both employees and employers. Malaysian residents must pay income tax on their gross worldwide income at a rate ranging from 0% to 30%. Employees and employers both contribute to Malaysia's social security system (SOCSO), which provides assistance in the event of death, disability, or illness. Employers contribute 1.75% of their monthly payroll, while employees contribute based on their monthly earnings.
The Employment Provident Fund (EPF) manages pension funds and also serves as a "savings account" for employees to withdraw funds for a variety of purposes ranging from home purchases to medical expenses. Employees contribute 9% of their gross worldwide earnings to the EPF. Employers contribute 12% of their employees' gross monthly wages if they earn more than 5,000 MYR per month and 13% if they earn less than 5,000 MYR per month.
Companies that wish to expand their operations globally have four different payroll options in Malaysia. These payroll options are:
1. Internal Payroll. This payroll option is applicable for already established companies in Malaysia. It includes devoting an entire Human Resources staff to running the company's payroll procedures.
2. Remote Payroll. Smaller firms may lack the capacity to handle their own payroll, but they may add their workers to the parent company's payroll. This action, on the other hand, requires considerable thinking. You must guarantee that you follow the rules and laws of each nation.
Working with a local outsourcing firm is one method to retain money in the local economy, but you'll still need to study all of the local rules and regulations, since you'll be held responsible.
3. Malaysia payroll outsourcing: Outsourcing your payroll to an Employer of Record in Malaysia, such as Rivermate, is another alternative for Andorra payroll outsourcing. We can manage all aspects of your payroll, including compliance. Send us a note and we'll get back to you as soon as possible!
It is the obligation of the employer to ensure that all payroll-related transactions are properly documented and recorded. All salaries and compensation payments must adhere to the local minimum wage as well as other applicable laws and regulations.
Rivermate's payroll services in Malaysia can assist you in staying in compliance with the country's ever-changing payroll rules. We provide an all-inclusive solution that covers everything from compliance and reporting to salary payments.)
Companies that have a business presence in Malaysia have different ways of managing payroll. However, most of the options you have for running payroll in Malaysia are either expensive or require establishing a subsidiary in Malaysia. The cheapest, most efficient, and most reliable payroll processing system in Malaysia is by outsourcing payroll to Employers of Record (EOR) in Malaysia. Rivermate is one of those Employers of Record.
At Rivermate, we offer you the most efficient, most compliant, and cheapest HR and Payroll Management services in Malaysia. We do this by taking care of your payroll-related needs, such as keeping track of your employees’ financial records, including incentives, gross and net salary, and payslips, all the while staying compliant with the labor laws in Malaysia. Because we do your online payroll management for you, you can have absolute focus on your business’ strategy and growth.
Rivermate is all about growth through collaboration and we achieve this by offering the most reliable yet cheapest services for managing payroll for small businesses in Malaysia.
Employees may be terminated for misconduct or poor performance on the job. Termination may be challenged by an employee as an unfair discharge. It is advised that adequate protocol (notice, time, and guidance to improve performance) be followed to minimize the possibility of an unfair dismissal claim.
Since February of 2020, the minimum wage in Malaysia has increased to 1,200 MYR per month in urban areas, 1,100 MYR per month in rural areas.
In Malaysia, the regular workweek cannot exceed 48 hours, spread across six days with eight-hour workdays. However, if less than eight hours are worked on one or more days throughout the week, the remaining days may surpass eight hours, up to a maximum of nine hours in a single day and 48 hours per week.
Women face additional restrictions, including protections for female agricultural employees. Between the hours of 10 p.m. and 5 a.m., women are not permitted to work.
Malaysia provides universal healthcare that is financed by payroll taxes and the general budget. There is also the option of paying for private health care. Malaysia's public healthcare system is very excellent, but it often has lengthy lineups, which is why some people choose to pay a premium for private treatment.
The 13th-month bonus is not required by law, but it is customary practice. In Malaysia, performance-based incentives are also popular. Some businesses also provide Group Private Health Insurance, Group Life Insurance, and Group Accident Insurance to their employees.
