Help

Lawyerment Quick Link - Homepage - Free Email - Message Boards - LawCrawler - Legal News - Legal Dictionary - Lawyers Jokes - Lawyers Directory - Newsletters - Legal Guide - Refer A Friend - Interesting Facts - Library - Downloads - >> more

Library Search
How to Contribute
Disclaimer
Featured Publications
Lawyerment's Contributors
Legal Subjects
Forms & Agreements
Legal Subjects > Employment Law > Social Security Organization
 
Main Category
>Law of Malaysia
>Legal Professionals
>Students
>Business & The Public
>Accident Law
>Bankruptcy Law
>Business Law
>Criminal Law
>Employment Law
>Estate Planning
>Family Law
>Financial Law
>Immigration Law
>Insurance Law
>Intellectual Property
>Litigation
>Real Estate Law
>Tax Law

 

Main Category

Related Topics

WHAT IS THE RATE OF SOCSO CONTRIBUTION ?

The principal employer must make a monthly contribution for each eligible employee according to the rates specified under the Act.

The employer pays 1.75% for the Employment Injury Insurance Scheme and the Invalidity Pension Scheme while the employee's share of 0.5% of wages should be paid for coverage under the Invalidity Pension Scheme.

The rate of contribution is based on the monthly wage of the employee in accordance to 24 categories.

Wage (First Category)
Employment Injury & Invalidity
(Second Category)
Employment Injury Only
Employer Share Employee's Share Total (RM) Employer Contribution Only
Up to RM30 0.40 0.10 0.50 0.30
Exceeds RM30 but does not exceed RM50 0.70 0.20 0.90 0.50
Exceeds RM50 but does not exceed RM70 1.10 0.30 1.40 0.80
Exceeds RM70 but does not exceed RM100 1.50 0.40 1.90 1.10
Exceeds RM100 but does not exceed RM140 2.10 0.60 2.70 1.50
Exceeds RM140 but does not exceed RM200 2.95 0.85 3.80 2.10
Exceeds RM200 but does not exceed RM300 4.35 1.25 5.60 3.10
Exceeds RM300 but does not exceed RM400 6.15 1.75 7.90 4.40
Exceeds RM400 but does not exceed RM500 7.85 2.25 10.10 5.60
Exceeds RM500 but does not exceed RM600 9.65 2.75 12.40 6.90
Exceeds RM600 but does not exceed RM700 11.35 3.25 14.60 8.10
Exceeds RM700 but does not exceed RM800 13.15 3.75 16.90 9.40
Exceeds RM800 but does not exceed RM900 14.85 4.25 19.10 10.60
Exceeds RM900 but does not exceed RM1,000 16.65 4.75 21.40 11.90
Exceeds RM1,000 but does not exceed RM1,100 18.35 5.25 23.60 13.10
Exceeds RM1,100 but does not exceed RM1,200 20.15 5.75 25.90 14.40
Exceeds RM1,200 but does not exceed RM1,300 21.85 6.25 28.10 15.60
Exceeds RM1,300 but does not exceed RM1,400 23.65 6.75 30.40 16.90
Exceeds RM1,400 but does not exceed RM1,500 25.35 7.35 32.60 18.10
Exceeds RM1,500 but does not exceed RM1,600 27.15 7.75 34.90 19.40
Exceeds RM1,600 but does not exceed RM1,700 28.85 8.25 37.10 20.60
Exceeds RM1,700 but does not exceed RM1,800 30.65 8.75 39.40 21.90
Exceeds RM1,800 but does not exceed RM1,900 32.35 9.25 41.60 23.10
Exceeds RM1,900 34.15 9.75 43.90 24.40
WHAT ARE THE RESPONSIBILITIES OF AN EMPLOYER ?

An employer must cover their employees even if the employees have other private insurance coverage.

A company or firm with one or more employees whose individual earnings do not exceed RM1,000 a month has to register with SOCSO. The contributions for such employees are borne solely by the employer.

Where an employee reached the age of 55 and continues to be employed after that age, only the employer shall contribute to SOCSO for such employees.

Under the Employees' Social Security Act 1969, it is the duty of an employer to make contribution to the SOCSO on behalf of the employees to insure them against employment injury and the contingencies of invalidity.

It is the liability of the principal employer to ensure all employees employed by the immediate employer have been registered and their contributions have been paid.

Under the Employees' Social Security Act 1969, the principal employer will be liable, in the event the employees have not been registered and the immediate employer cannot be located.



Copyright ©1999-2001 Magnificent Communication. All rights reserved

Privacy Policy | Terms Of Use | Contact | About Us | Advertising Opportunities | Press | Add URL | Submit Article | Contributors