FAQ >
How does payroll software handle the SOCSO contribution ceiling for higher-earning employees in Malaysia?
Question
How does payroll software handle the SOCSO contribution ceiling for higher-earning employees in Malaysia?
Answer
SOCSO contributions are capped at an income ceiling set by PERKESO, and Omni HR calculates them at the standard 1.75% employer and 0.5% employee rate, applying the cap automatically once earnings pass that limit. This runs in the same payroll cycle as EPF, EIS, and PCB, and PERKESO's rate updates are kept current in the platform.
Updated
Aug
2026
