Information about Malaysia Minimum wage and taxes.

In Malaysia, the minimum wage is an amount determined so that the working class can meet their basic needs. As of 2021, the minimum wage in Malaysia varies depending on workers living in different regions. The Malaysian government has implemented a minimum wage set at 1,200 Malaysian Ringgit (MYR) in Peninsular Malaysia from 1 January 2021. This amount, including breakfast and lunch, aims to enable workers to cover their basic living expenses. Additionally, different minimum wages apply to workers living in other regions such as Sabah, Sarawak and Labuan Federal Territory. The minimum wage in these regions may be lower compared to the minimum wage in Peninsular Malaysia. In Malaysia, the tax system operates on a percentage determined according to income level. Income tax rates increase gradually depending on the amount of annual income. Income tax brackets in Malaysia for 2021 are as follows: - 0 MYR - 5,000 MYR: 0% - MYR 5,001 - MYR 20,000: 1% - 8% - MYR 20,001 - MYR 35,000: 8% - 14% - MYR 35,001 - MYR 50,000: 14% - 21% - MYR 50,001 - MYR 70,000: 21% - 24% - MYR 70,001 - MYR 100,000: 24% - 24.5% - MYR 100,001 and above: 24.5% Since tax brackets are calculated based on the amount of annual income, the total income of workers is divided into brackets while being taxed, and a different tax rate is applied for each bracket. The above information is valid for 2021 and minimum wage and tax rates in Malaysia may change depending on the policies set by the government. Therefore, it is recommended to visit the official website of the Malaysian government to check updated information.