How Payroll Handles Commission, Arrears and Director Fees

LHDN official calculators support many inputs beyond basic salary. These components can change the month MTD and EPF significantly.

Commission

Usually taxable when paid; include in the payment month remuneration for PCB.

Arrears

Backpay may require PCB recalculation for the periods concerned — payroll systems flag this.

Director fees

Often have distinct tax treatment and forms; do not assume identical to salary MTD.

Use full payroll software

For multi-component pays, HavaHR-style payroll beats a single-field web calculator.