Bonus PCB calculator 2026

How PCB on a bonus is worked out

A bonus isn’t taxed as if you were paid it every month. LHDN’s method for additional remuneration works out your tax for the year twice, without the bonus and with it, and takes the difference in the month the bonus is paid:

1. Step 1. The month’s PCB on your salary, as in any month ([C]); less this month’s zakat ([D]); and the PCB for the year without the bonus, which is the PCB paid so far plus [C] for each month left, this one included ([E]).
2. Step 2. Your chargeable income for the year with the bonus, less its EPF.
3. Step 3. The tax on that from LHDN’s table.
4. Step 4. PCB on the bonus: Step 3 less Step 1[E] and any zakat already paid this year. Under RM10, nothing.
5. Step 5. The month’s PCB: Step 1[D] plus Step 4, rounded up to the next 5 sen.

PCB on the month’s pay = [(P − M) × R + B − (Z + X)] ÷ (n + 1)

P is your chargeable income for the year: pay so far after EPF, plus this month’s, plus this month’s salary for each of the n months left, less your reliefs. Step 2 adds the bonus less its EPF. Z and X are the zakat and PCB paid so far this year. Only RM4,000 of EPF a year counts, so K2, the EPF counted for each month left, can drop once the bonus’s EPF is in. The PCB guide goes through the formula for a normal month.

LHDN’s April example

LHDN’s 2026 specification works through an employee on RM5,500 a month with RM605 EPF, married to a working spouse, with three children, who claims RM300 of reliefs on Form TP1 in March and again in April. In April a RM8,250 bonus is paid, with RM908 EPF. January to March are ordinary months, with PCB of RM110.00, RM110.00 and RM108.20: RM328.20 paid by April (X). The calculator reproduces each of April’s steps to the sen:

April’s PCB is RM833.70: RM106.20 on the salary, as in a month without a bonus, and RM727.50 on the bonus.

LHDN’s example gives the bonus’s EPF as RM908, 11% of RM8,250 rounded up. KWSP takes EPF on the month’s whole pay: on RM13,750 the Third Schedule gives RM1,518, which is RM913 more than on the salary alone. The calculator above takes the EPF on a bonus that way, and spreads TP1 reliefs evenly over the year, so it won’t match this example to the sen.

PCB on a bonus by salary, 2026

Each ringgit of a bonus is taxed at the rate your income for the year has reached: on RM10,000 a month, PCB takes 25% of a one-month bonus. Watch the RM35,000 line: up to that much chargeable income, a RM400 rebate comes off the year’s tax, and a bonus that takes you over the line loses the rebate too. That’s why a one-month bonus on RM4,000 takes RM511.50. For PCB in the months without a bonus, use the PCB calculator.

Other calculators

• Malaysia salary calculatorNet salary after EPF, SOCSO, EIS and PCB.Open
• PCB calculator 2026Monthly tax deduction by LHDN’s own formula.Open
• Income tax calculator YA2026Your tax for the year, and your refund or balance.Open
• EPF contribution calculator 2026Your KWSP share and your employer’s.Open
• SOCSO and EIS calculator 2026PERKESO contributions, including LINDUNG 24 Jam.Open
• Foreign worker salary calculator 2026EPF, SOCSO and PCB for foreign workers and expats.Open
• Overtime calculatorOT, rest day and public holiday pay by the Employment Act.Open
• Net salary tableRM1,700 to RM30,000, after EPF, SOCSO, EIS and PCB.Open

Questions

Sources

1. LHDN (Inland Revenue Board of Malaysia): Specification for Monthly Tax Deduction (MTD) Calculations Using Computerised Calculation for 2026 (checked 28 October 2026)
2. LHDN: MTD schedule and data specifications (Jadual PCB dan Spesifikasi Data) (checked 28 October 2026)
3. KWSP (EPF): Components of wage: bonus is subject to EPF contribution (EPF Act 1991, section 43(1)) (checked 28 October 2026)
4. KWSP (EPF): Third Schedule, EPF Act 1991: contribution rates from 1 October 2025 (checked 26 October 2026)

Spotted a figure that doesn’t match your payslip or a source? Tell us; corrections are logged on the sources page.