How is the calculation of Employee and Employer EPF if that is a deduction in Payroll?

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1

How is the calculation of Employee and Employer EPF if that is a deduction in Payroll? As i try to calculate i can’t get the same amount as hr.my for 11% Employee and 13% Employer, for example below.

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we use 1900 - 50.22 = 1849.78

1849.78 * 11% = 203.4758 but system give 205
1849.78* 13% = 240.4714 but system give 242,
we round up the behind digit also can’t matching, please advice.

2

There is a rounding off requirement for EPF table.

Later on I will change to use formula, which will yield similar result as yours.

For now, you may override the system generated result with Statutory Contribution: Malaysian Statutory Contribution, PCB, EPF, SOCSO, EIS, HRDF, KWSP, PERKESO, SIP, PSMB :: Free Payroll

3

When will it be solved? Or you can share the round off calculation of this epf formula is how?

4

I think I will change this when I update PCB calculation next time, will also change PCB to be formula based too.

5

After double checking with KWSP guideline, I found that HR.my calculation for EPF was correct, and yours was wrong.

  • According to KWSP: Employers are not allowed to calculate the employer’s and employee’s share based on exact percentage EXCEPT for salaries that exceed RM20,000.00. The total contribution which includes cents shall be rounded to the next ringgit.

You can take a look at the sample calculation too.

6

Great, cause didn’t find this table before, thanks for your update. :blush:

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