Payroll Outsourcing Services in Malaysia

Payroll should take minutes to approve, not days to process. But for most Malaysian businesses managing payroll internally, the monthly cycle of overtime calculations, EPF contributions, SOCSO deductions, EIS filings, and PCB submissions consumes 15–30 hours of management time, and still carries compliance risk.

6HRS payroll outsourcing eliminates that entirely. We process your payroll accurately, submit all statutory contributions on time, and deliver clean, auditable payslips to every employee, every month.

Definition

What Is Payroll Outsourcing?

Payroll outsourcing means transferring your monthly payroll processing and statutory submission responsibilities to a specialist firm. Rather than managing salary calculations, tax deductions, and EPF/SOCSO filings internally, your outsourced payroll partner handles the entire process, and carries the compliance risk.

Payroll Outsourcing in practice, Payroll Outsourcing Services in Malaysia
Fully Compliant With
EPF (KWSP), Employees Provident Fund Malaysia SOCSO (PERKESO), Social Security Organisation Malaysia LHDN, Inland Revenue Board of Malaysia

Every submission to KWSP, PERKESO, and LHDN, calculated, filed, and on time.

What 6HRS Payroll Outsourcing Includes

Monthly Salary Processing

We calculate gross pay, overtime, allowances, deductions, and net pay for every employee, accurately and on time, every payroll cycle.

EPF (KWSP) Submission

Full employer and employee EPF contribution calculations and monthly submissions to KWSP. Employer rate: 13% for employees earning ≤RM5,000, 12% above. Foreign worker EPF compliance fully handled per 2025 statutory requirements.

SOCSO (PERKESO) Submission

Monthly SOCSO contributions calculated and submitted across all employment categories, updated for the revised RM6,000 wage ceiling, covering First and Second Category contributions.

EIS (PERKESO) Contribution

Employment Insurance System contributions calculated and submitted monthly for eligible employees.

PCB / LHDN Monthly Tax Deduction

Monthly Tax Deduction (MTD/PCB) calculated per LHDN's latest tax table, deducted from employee salaries, and remitted to LHDN monthly via e-PCB.

E-Payslip Generation

Secure, digital payslips generated for every employee each payroll cycle, eliminating paper and reducing HR admin.

Annual EA Form Preparation

EA forms prepared and issued to all employees before the statutory deadline each year, supporting personal income tax filing.

Statutory Compliance Monitoring

We track every update from KWSP, PERKESO, and LHDN, so your payroll automatically reflects legislative changes without you having to monitor them.

Why Outsource Payroll in Malaysia?

Avoid costly penalties

A single EPF miscalculation can result in penalties of up to RM10,000 per employee. Late SOCSO submissions attract compounding surcharges. Outsourcing to 6HRS eliminates this exposure.

Save 15–30 hours per month

For a 25-person payroll, internal processing takes 15–30 hours monthly when done manually. 6HRS reduces your time investment to reviewing a summary report and approving it.

Survive staff turnover

When your internal payroll person leaves, your payroll knowledge walks out the door with them. With 6HRS, your payroll process is owned by a team, never by a single individual.

Audit-ready documentation

6HRS maintains clean, complete payroll records that are ready for statutory audits at any time. No scrambling for historical payslips or contribution receipts.

Malaysian Payroll Compliance, What You Need to Know

Every Malaysian employer is legally required to:

  • Deduct and remit EPF contributions to KWSP by the 15th of the following month
  • Submit SOCSO contributions to PERKESO by the last day of the following month
  • Deduct and remit PCB to LHDN by the 15th of the following month
  • Issue EA forms to all employees by 28 February each year
  • Maintain payroll records for a minimum of 7 years

6HRS manages all of these deadlines for you, with zero margin for error.

FAQ

Frequently Asked Questions

What does payroll outsourcing cost in Malaysia?

Payroll outsourcing in Malaysia typically costs between RM10 and RM50 per employee per month, depending on headcount, payroll complexity, and the range of statutory services included. 6HRS provides tailored quotes, contact us for a pricing proposal specific to your business.

Will 6HRS handle payroll for both Malaysian and foreign workers?

Yes. We manage payroll compliance for both Malaysian citizens and foreign workers, including the 2025 mandatory EPF contributions for foreign employees (2% employer + 2% employee).

How do we transfer our payroll data to 6HRS?

Our onboarding team works with you to migrate your payroll data securely. Most clients are fully onboarded within 2 weeks. We require historical payroll records, employee statutory details, and bank account information.

What happens if there's a payroll error?

Errors are rare under our process, but if one occurs, 6HRS takes full responsibility for identifying the cause, correcting the discrepancy, and covering any related penalty. This is our service guarantee.

Can 6HRS handle payroll for multiple locations or subsidiaries?

Yes. We manage consolidated payroll for businesses with multiple locations, departments, or legal entities within Malaysia.

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