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FAQPlatform IntroductionGetting started with MalayHire

Getting started with MalayHire

Last updated: May 22, 2026

A Quick guide to the very basics of setting up your solo business with MalayHire in Estonia

Use MalayHire's comprehensive FAQ to quickly find an answer. Simply start typing the subject of your inquiry (e.g., Payroll), and you will see several suggestions covering the topic.

Who hires employees?

Being your Employer of Record (EOR) in Malaysia, MalayHire will hire employees that work exclusively for you; you retain full operational control over your employee's day-to-day work, deliverables, and performance. MalayHire simply provides the compliant employment wrapper so you don't need a local entity of your own.

Who officially employs the employee?

All employment contracts are signed between MalayHire and subsidiaries and local partners in full compliance with the Employment Act 1955. Your business enters a separate commercial service agreement with MalayHire, which allows you to direct all of your employees' work without needing your own Malaysian entity or local HR infrastructure.

Are MalayHire ESD registered?

Yes. MalayHire employments are all fully registered with all relevant Malaysian statutory bodies, including:

  • EPF / KWSP — Employees' Provident Fund
  • SOCSO / PERKESO — Social Security Organisation
  • EIS — Employment Insurance System
  • LHDN — Inland Revenue Board of Malaysia (PCB tax deductions)

All mandatory contributions are calculated, deducted, and remitted on time on behalf of your employee every month.

Does MalayHire sponsor Employment Passes?

MalayHire primarily supports the employment of Malaysian citizens and permanent residents, however we do support companies hiring foreign nationals with their visas. For foreign nationals requiring an Employment Pass (EP) issued by the Immigration Department of Malaysia (Jabatan Imigresen), eligibility depends on the candidate's role, salary level, and qualifications under the relevant pass category.

Please contact us directly to assess whether we can support an EP application for a specific hire. Approval timelines and requirements vary by category and are subject to government processing.

What are your payroll timelines?

MalayHire runs a monthly payroll cycle. Key dates to note:

  • Payroll instruction cutoff (changes, new hires, terminations): 10th of the month
  • Salary disbursement to employees: by the 7th of the month
  • Payslips issued to employees: by the 10th of each month
  • PCB (Monthly Tax Deduction) remitted to LHDN: 15th of the following month
  • EPF, SOCSO, and EIS contributions remitted: by the 7th of the month

What are your compliance processes?

MalayHire manages all statutory and HR compliance obligations on behalf of your engagement in Malaysia, including:

  • Employment contract drafting under the Employment Act 1955
  • EPF (KWSP) registration and monthly employer + employee contributions
  • SOCSO (PERKESO) and EIS enrolment and monthly remittances
  • Monthly PCB (Potongan Cukai Berjadual) tax deductions and filing with LHDN
  • Annual EA Form preparation and distribution to employees
  • Annual employer return filing (Form E) with LHDN, deadline 31 March each year
  • HR policy alignment with Malaysian labour law and the Employment Act 1955
  • Notifications of relevant regulatory or tax changes that affect your team

What statutory benefits are employees entitled to?

All employees hired through MalayHire are entitled to the following statutory benefits under the Employment Act 1955 and Malaysian labour law. Please note that the below are minimums, and MalayHire recommends more generous benefits where possible:

  • Annual leave — 8 days (less than 2 years service), 12 days (2–5 years), 16 days (5+ years)
  • Sick leave — 14 days (less than 2 years), 18 days (2–5 years), 22 days (5+ years); up to 60 days if hospitalised
  • Maternity leave — 98 consecutive days, fully paid
  • Public holidays — minimum 11 gazetted public holidays per year
  • EPF employer contribution — 13% of monthly salary (for employees earning RM5,000 and below)
  • SOCSO coverage — work injury and invalidity scheme protection
  • EIS coverage — employment insurance for retrenchment scenarios

MalayHire ensures all entitlements are correctly applied and reflected in payroll from day one of employment.

How is the total cost of employment calculated?

When you hire through MalayHire, your total employer cost goes beyond the employee's gross salary. Here's what's typically included:

  • Gross salary — as agreed in the employment contract
  • EPF employer contribution — 13% of gross salary (employees earning ≤ RM5,000) or 12% (above RM5,000)
  • SOCSO employer contribution — capped at a monthly salary ceiling of RM5,000
  • EIS employer contribution — 0.4% of monthly salary, capped at RM4,000
  • MalayHire service fee — a fixed monthly management fee per employee

MalayHire provides a full cost breakdown before you confirm a hire, so there are no surprises on your invoice. All statutory contributions are remitted directly; you pay one easy consolidated amount to MalayHire. It's simple, easy, and affordable.

How quickly can I onboard a new hire?

MalayHire can onboard a new employee in as little as 3–5 business days once all required information is submitted. Here's what the process looks like:

  • Day 1–2 — You submit employee details (name, IC/passport, role, salary, start date) via your dashboard
  • Day 2–3 — MalayHire drafts and sends the employment contract to the employee for e-signing
  • Day 3–4 — Statutory registrations (EPF, SOCSO, EIS) are completed or updated
  • Day 5 — Employee is active in payroll and ready to start

Onboarding mid-month is supported; salary for that month will be prorated automatically. For hires requiring an Employment Pass, timelines are subject to the Immigration Department's processing schedule and will be communicated separately.