1. What is ADP Salary Calculation?

The ADP salary calculation helps determine the net take-home pay after deducting statutory contributions like income tax, EPF (Employees Provident Fund), and SOCSO (Social Security Organization) in Malaysia.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• \( Gross\ Salary \) — Annual salary before deductions (MYR)
• \( Income\ Tax \) — Estimated annual income tax (MYR)
• \( EPF \) — 11% of gross salary (standard employee contribution)
• \( SOCSO \) — Social security contribution (MYR)

Explanation: The calculation provides monthly take-home pay after all mandatory deductions.

3. Importance of Salary Calculation

Details: Accurate salary calculation helps employees understand their net income and plan personal finances accordingly.

4. Using the Calculator

Tips: Enter annual gross salary, estimated income tax, and SOCSO contribution. EPF is automatically calculated at 11% of gross salary.

5. Frequently Asked Questions (FAQ)

Q1: What is the standard EPF contribution rate?
A: Employees contribute 11% of their gross salary to EPF, while employers contribute 12-13%.

Q2: How is SOCSO calculated?
A: SOCSO contributions vary based on salary brackets and are capped at a maximum amount.

Q3: Are there other deductions not included here?
A: Yes, this calculator doesn't include EIS, PCB, or other voluntary deductions.

Q4: Is this calculator accurate for all salary ranges?
A: It provides a basic estimate. For exact calculations, consult official tax tables and contribution rates.

Q5: Can I use this for contract or freelance work?
A: No, this is designed for regular employment with standard deductions.