Course Overview

These intensive two days Effective Payroll Calculations Training program equips hands on payroll specialists with the comprehensive knowledge and practical skills to handle payroll operations in Malaysia. Participants will gain a clear understanding of statutory requirements, payroll processes, compliance, and reporting responsibilities, while learning to handle errors in payroll calculations and statutory forms submissions according to deadline.

Who Should Attend: Hands on payroll specialists, new joiners who ensure end-to-end payroll accurate calculations and record keeping.

Delivery Methods

Where appropriate, activities will include the following:

• Lecture
• Faciliated Group Discussions
• Hands on Practical exercises with sample answer and case studies
• Pre and Post Test Gamified Quiz

Note: Laptops with internet access are needed for participants to navigate statutory payroll website and in some instances payroll calculations

Course Objectives

On completion of the Effective Payroll Calculations programme, participants will be able to:-

1. Understand the roles and responsibilities of payroll administrators in Malaysia.
2. Understand and apply knowledge for Malaysian statutory requirements for calculating and reviewing EPF, SOCSO, EIS contributions
3. Apply and calculate MTD Income Tax monthly instalments) correctly in payroll processing.
4. Manage other payroll calculations, deductions, and allowances with accuracy
5. Understand types of payroll reports and statutory digital submissions on timely basis

Course Content

The key content of the Effective Payroll Calculations program includes the following:

Module 1: Introduction to Payroll Administration in Malaysia

• Role of payroll in business operations
• Payroll administrator’s key tasks & responsibilities
• Overview of Malaysian payroll laws and regulations – Amendments to Employment Act 2022, Rates and Contribution Table for EPF and SOCSO
• Difference between gross, net, and statutory deductions contributions

Module 2: Statutory Contributions & Compliance

• EPF (Employees Provident Fund): contribution rates & rules
• SOCSO & EIS: coverage, calculation & reporting
• Income Tax (PCB): monthly deductions & annual forms (EA, Form E, CP39)
• Employment Act provisions related to payroll (leave pay, overtime, termination).
• Preparation, calculation, mechanism and deadline for Income Tax form CP204 estimate of Tax Payable form for companies, Limited Liability Partnerships (LLPs), trust bodies, and co-operative societies
• Preparation of Statement of Monetary and Non-Monetary Incentive Payment to an Agent, Dealer, or Distributor (form CP58) and form CP8D Return of Remuneration by an Employer for companies

Module 3: Payroll Calculations for BIK, Perquisities & Adjustments of Payroll Calculations for Leave, Loans and Advances.

• Types of wages, allowances, and benefits-in-kind
• Overtime, shift allowance, and bonus calculations
• Deductions (loans, advances, unpaid leave)
• Common payroll errors which causes statutory act violation and how to avoid them

Module 4: Reporting & Statutory Submissions

• Overview of EA forms & Form E submission
• e-Filing and online portals for EPF, SOCSO, LHDN
• Types of LHDN forms for payroll procedures to new hires, resignation, termination.

Module 5: Payroll Best Practices & Handling Statutory Regulator Queries

• Confidentiality and data protection in payroll
• Payroll schedules and timelines
• Payroll software updates to latest employment act and rates amendments
• Internal checks & controls to minimize errors
• Payroll proper record keeping for Inland Revenue, EPF and SOCSO inspectors due to recent payroll tax and compliance audit