Malaysian employment carries three statutory contribution schemes, each with its own purpose.
EPF — Employees Provident Fund
The retirement savings scheme, under the Employees Provident Fund Act 1991.
- Employer: 13% for employees earning up to RM5,000, or 12% for higher earners
- Employee: 11%
- For those over 60, rates are lower
From October 2025, foreign workers must also contribute — 2% each from employer and employee.
SOCSO — PERKESO
Social security under the Employees' Social Security Act 1969, covering work-related injuries and death.
Employer contribution: 1.75%.
EIS — Employment Insurance System
Unemployment insurance under the Employment Insurance System Act 2017, providing income replacement and a re-employment placement programme.
Rate: 0.20%.
The wage ceiling
SOCSO and EIS both have a wage ceiling of RM6,000, raised from RM4,000 in October 2024.
The EIS deadline that matters
To receive EIS assistance you must:
- Apply within 60 days of the date of loss of employment
- Satisfy the Contributions Qualifying Conditions — having paid EIS contributions for a required minimum number of months
- Have a job loss falling within the Act's definition of loss of employment, which covers dismissals, non-renewal of contracts under specific conditions, retrenchment and certain involuntary separations
That 60-day window is short. Apply as soon as your employment ends rather than waiting.
Note the two 60-day clocks
EIS claims and unfair dismissal complaints under the Industrial Relations Act 1967 both run on 60 days. If you are doing one, remember the other.
Verify your contributions
A deduction on your payslip does not prove remittance. Check your EPF and SOCSO records directly.
Gaps affect your retirement savings and your eligibility for EIS when you need it.
Where to check
KWSP for EPF, PERKESO for SOCSO and EIS.