Payroll Outsourcing Services
What is it?
Payroll outsourcing services are designed to simplify and reduce your workload by handling monthly wages, tax-related payments, and statutory contributions for your employees. Many companies, especially those without dedicated payroll teams, rely on external agencies to manage their payroll processing efficiently.
In Malaysia, businesses must comply with various laws, including the Income Tax Act 1967, Employees’ Provident Fund Act 1991, SOCSO (Social Security Organisation) requirements, and the Employment Act 1955. These laws require companies to be aware of, calculate, and submit contributions and taxes accurately and on time.
Before hiring employees, companies need to ensure compliance with regulations regarding EPF (Employees’ Provident Fund), SOCSO contributions, EIS (Employment Insurance System), and personal income tax deductions.
Payroll Outsourcing Services can be defined as the services rendered to calculate and deliver employees' net payments while ensuring compliance with all statutory laws and deductions, including overtime, taxes, and other obligations required by Malaysian regulations.
How does it work?
Businesses provide external agencies with essential employee details such as salaries, allowances, and deductions. These agencies then calculate payroll, ensuring compliance with Malaysian labor and tax laws. The computed payroll data is then submitted to the company alongside detailed reports for further processing or reference.
WE HELP YOU WITH
- Payroll calculation.
- Payslip send by email monthly.
- Submission of monthly EPF, SOCSO, and EIS contributions.
- Withholding and remitting income tax under the Monthly Tax Deduction (MTD) scheme.
- Adding or removing employees in the SOCSO and EPF systems.
- Annual income tax preparation and reporting.
Reasons for needing Payroll Outsourcing Services
Miscalculation of payroll can lead to serious financial and legal issues for the employing company. For some employees, their salaries might be the only source of income they have so having it delayed or underpaid will greatly affect them. As an employer, even though you ensure that you pay your employees accurately and on time, failure to adhere to or follow certain laws like the labour law will end up causing legal issues.
Reduce Work Load
Payroll Outsourcing Services can be a big help in reducing the stress your business has to incur from processing the payroll on its own, allowing you to reduce your administrative team, or having them focus better on other tasks
Save Money
No accounting team means fewer salaries to pay, working with us gets you the time and competencies of a full-fledged accounting team for only a fraction of the cost
Avoid Mistakes
Calculation mistakes can have a big impact on your business or yourself, such as fines and imprisonments, or tax refund issues and work permit cancellations.
Contact Us
Share with us your requirements and needs, we will get back to you with a personal and confidential quotation.