Not all wages payments to staff/workers are subject to SOCSO contribution and there are certain wages excluded from SOCSO contribution.
Wages subject to SOCSO contribution:
All renumeration or wages stated below and payable to staff/workers are subject to SOCSO contributions:
- Salary / Wages (full/part time, monthly/hourly)
- Overtime payments
- Commission
- Paid leave (annual, sick and maternity leave, rest day, public holidays)
- Allowances
- Service Charge
Wages NOT subject to SOCSO contribution:
The following wages or remuneration payable to staff/workers are NOT subject to SOCSO contribution:
- Payments by employer to any pension or provident fund for employees
- Mileage claims
- Gratuity payment(s) for dismissal or retrenchments
- Annual bonus
