LHDN Monthly PCB Salary Deduction Calculator

Calculate PCB Deductions with Confidence Using Paperform

Managing Monthly Tax Deductions (PCB - Potongan Cukai Berjadual) in compliance with LHDN (Lembaga Hasil Dalam Negeri Malaysia) requirements can be complex and time-consuming for Malaysian businesses. Our LHDN Monthly PCB Salary Deduction Calculator streamlines this essential payroll process with automated calculations that ensure accuracy and regulatory compliance.

Why Malaysian Businesses Need a Reliable PCB Calculator

Under Malaysian tax law, employers must deduct Monthly Tax Deductions (MTD) or Potongan Cukai Berjadual (PCB) from employees' salaries and remit these amounts to LHDN. Calculating the correct deduction requires consideration of multiple factors including gross salary, statutory deductions (EPF, SOCSO, EIS), zakat payments, tax reliefs, and the employee's tax resident status.

Manual calculations are prone to errors that can result in underpayment or overpayment of taxes, compliance issues with LHDN, and frustrated employees. This template provides a computerized calculation system that handles the complexity automatically while maintaining full transparency.

How This PCB Calculator Template Works

This intelligent form template collects essential employee salary information and automatically calculates the correct PCB deduction amount based on current LHDN guidelines. The calculator considers:

• Gross monthly salary and allowances to determine total remuneration
• Statutory contributions including EPF (Employee Provident Fund), SOCSO (Social Security Organisation), and EIS (Employment Insurance System)
• Employee tax status (resident vs non-resident) which significantly affects tax rates
• Number of dependents and applicable tax reliefs
• Zakat payments which can reduce PCB obligations
• Additional income sources that may affect the deduction amount

Using Paperform's powerful calculation engine, the form computes chargeable income, applies the appropriate PCB rates from LHDN's schedule, and displays the exact monthly deduction amount instantly. This eliminates manual reference to PCB tables and reduces calculation errors.

Perfect for Malaysian HR and Payroll Teams

This template is designed specifically for:

• HR managers and payroll officers processing monthly salary payments
• Accounting firms managing payroll for multiple clients
• Small and medium enterprises without dedicated payroll software
• Finance directors ensuring LHDN compliance across their organization
• Business owners managing employee compensation and tax obligations

The form's clean, professional design makes it easy for payroll staff to input employee data quickly, while the automated calculations provide immediate results that can be recorded in payroll systems or exported for record-keeping.

Streamline Your Payroll Workflow with Stepper

Once you've calculated PCB deductions, you can extend this template's functionality using Stepper, Paperform's AI-native workflow automation tool. Create automated workflows that:

• Send calculation results directly to your payroll system or accounting software
• Generate monthly PCB summary reports for management review
• Update employee records in your HRMS with current deduction amounts
• Create audit trails by logging all calculations to Google Sheets or Airtable
• Trigger notifications to finance teams when calculations are completed
• Automatically generate CP39 forms for LHDN submission

With Stepper, your PCB calculation process becomes part of a seamless, end-to-end payroll workflow that saves time and reduces manual data entry.

Compliance Made Simple

Malaysian tax regulations require meticulous record-keeping and accurate reporting. This template helps you maintain compliance by:

• Providing transparent calculation breakdowns for audit purposes
• Creating consistent, standardized calculation methods across your organization
• Generating timestamped records of all PCB calculations
• Enabling easy reference to employee-specific deduction amounts

Paperform's SOC 2 Type II compliance and secure data handling ensure that sensitive employee salary information is protected throughout the calculation process, giving you peace of mind while managing confidential payroll data.

Customizable to Your Organization's Needs

While this template follows standard LHDN PCB calculation methodology, you can easily customize it to match your organization's specific requirements. Add company branding, include additional fields for bonuses or commissions, integrate with your existing HR systems, or modify calculation rules to account for special circumstances.

The form's conditional logic can show or hide fields based on employee status, automatically adjust for different tax treatments, and provide tailored results based on individual circumstances.

Get Started with Accurate PCB Calculations Today

Stop struggling with manual PCB calculations and complex tax tables. This automated LHDN Monthly PCB Salary Deduction Calculator gives Malaysian businesses a reliable, professional tool for managing monthly tax obligations with confidence. Whether you're processing payroll for five employees or five hundred, this template ensures accuracy, saves time, and keeps you compliant with LHDN requirements.

Trusted by Malaysian businesses for accurate payroll calculations, this template is part of Paperform's collection of 30,000+ professional form templates designed to streamline business operations. Start calculating PCB deductions accurately today and experience the difference that automation makes in your payroll process.