EPF, SOCSO, EIS, and LHDN Employer Registration Guide for Malaysian Companies

If you’re hiring employees in Malaysia for the first time, congratulations. Your business is growing! But before welcoming your first hire, it’s important to complete your employer registration with the relevant government agencies.

Official employer registration in Malaysia is a legal requirement that ensures your company complies with statutory contribution and payroll compliance rules. More importantly, it protects both you and your employees by ensuring contributions are properly made to retirement, insurance, and tax systems.

Every employer must register with four main statutory bodies, which are EPF (Employees Provident Fund), SOCSO (Social Security Organisation), EIS (Employment Insurance System), and LHDN (Inland Revenue Board / PCB)

Check out the article below to understand, register, and stay compliant with Malaysia’s employer contribution requirements.

The Key Government Agencies You Must Register With

Before you can officially hire and pay your staff, every Malaysian employer must register with four key government agencies. Each agency serves a different purpose. Together, they form the foundation of Malaysia’s statutory contribution system, ensuring your business stays compliant and your employees are protected.

EPF (Employees Provident Fund)

The EPF employer registration process is mandatory under the EPF Act 1991. It ensures employees save for retirement while employers contribute monthly on their behalf.

Contribution rates:
- Employers: 13% (or 12% for employees earning above RM5,000).
- Employees: 11%.
Purpose: To build long-term retirement savings and financial security for employees.

Employers must register with EPF within 7 days of hiring their first employee. Registration gives you an EPF employer reference number, which you’ll use to submit monthly payments through the KWSP i-Akaun or e-Caruman portal.

SOCSO (Social Security Organisation)

SOCSO employer registration is required under the Employees’ Social Security Act 1969. It provides insurance protection to employees in cases of workplace accidents, occupational diseases, and disabilities.

Employers must register with SOCSO within 30 days of hiring employees. Registration is done through the SOCSO ASSIST Portal, where employers can also manage EIS contributions and update employee records.

EIS (Employment Insurance System)

The EIS employer contribution in Malaysia is managed by SOCSO under the Employment Insurance System Act 2017. It provides short-term income replacement for employees who lose their jobs due to retrenchment or redundancy.

Both employer and employee contribute 0.2% each of the employee’s monthly salary. Employers who already have a SOCSO account can manage EIS payments through the ASSIST portal as well.

LHDN (Inland Revenue Board / PCB)

All employers must register with LHDN (Lembaga Hasil Dalam Negeri) to obtain an employer tax number and comply with monthly PCB (Potongan Cukai Berjadual) requirements.

The process of LHDN employer number registration ensures that income tax deductions are correctly made and remitted for each employee under the Income Tax Act 1967.

Employers can register online using the e-Daftar system under the MyTax portal, or manually at any LHDN branch.

Who Needs to Register as an Employer

You must register as an employer if you:

Own a sole proprietorship, partnership, private limited company (Sdn Bhd), cooperative, or non-profit organisation (NGO).
Employ at least one person (full-time, part-time, or contract).
Pay wages or allowances subject to EPF, SOCSO, or PCB deductions.

Don’t forget to register within 7 days of hiring your first employee.

Failing to register or delaying submission can lead to penalties or prosecution under Malaysian labour and tax laws. These penalties include fines, backdated contributions, and potential interest on unpaid statutory payments.

How to Register with Each Government Agency (Documents + Steps)

Once you’ve hired your first employee, the next step is to register your business with Malaysia’s key statutory bodies.

Each agency has its own forms, documents, and online systems for employer registration. So, how to complete each process step by step to make your payroll compliance smooth and hassle-free?

EPF (Employees Provident Fund)

Documents required:

Form KWSP 1
Form 49 or Superform (from SSM)
Copy of the owner/partner/director’s MyKad or passport
Business registration certificate (from SSM)

How to register:

Visit the nearest KWSP branch or register via the EPF i-Akaun portal.
Submit all required forms and identification documents.
Upon approval, you’ll receive:
- Employer Reference Number
- Notice of Registration
- Employer’s Registration Certificate (to display at your office)

Registering early helps you avoid delays in making your first EPF statutory contribution.

SOCSO & EIS (Social Security & Employment Insurance System)

Documents required:

Employer’s Registration Form (Form 1)
Employee’s Registration Form (Form 2)
Company registration documents (SSM forms, IC copies)

How to register:

Go to the SOCSO ASSIST Portal (https://assist.perkeso.gov.my)
Fill in the required forms and upload supporting documents.
Send the Borang Permohonan Enrolment Penggunaan Portal ASSIST to idportal@perkeso.gov.my for account activation.
Once approved, use the same portal for both SOCSO and EIS contribution payments.

Employers who stop operations must notify SOCSO by submitting Form 1A within 30 days via the ASSIST portal.

LHDN (Inland Revenue Board / PCB)

Documents required:

Copy of SSM Form 9
Copy of SSM Form 49
Copy of SSM Form 13 (if the company has changed its name)

How to register:

Visit https://edaftar.hasil.gov.my.
Choose “Employer Registration” under the e-Daftar menu.
Fill in company details and upload the required documents.
Submit your application and note your application number.
Check your registration status on the e-Daftar portal using your application number.

Your e-Daftar application will be cancelled if documents are not uploaded within 14 days of submission.

Tips for a Smooth HR & Employer Registration Experience

Getting started with employer registration in Malaysia can feel overwhelming at first, but with the right preparation, the process is simple and straightforward.

Below are practical tips HR teams and business owners can follow to complete every registration step efficiently and avoid common compliance mistakes.

Prepare Documents Early

Gather all SSM and identification files before hiring.

Register with All Agencies Together

EPF, SOCSO, EIS, and LHDN registrations can be done simultaneously.

Use Payroll Software

Automate contributions for EPF, SOCSO, EIS, and PCB to ensure monthly accuracy.

Keep Digital Records

Store registration certificates, approval emails, and payment confirmations.

Contact Support Lines

Each agency provides online and hotline support for registration and contribution inquiries.

After Registration Monthly HR & Employer Responsibilities

Once registered, employers must manage monthly statutory contributions and keep all employee data updated.

Agency	Contribution Deadline	Notes
EPF (KWSP)	By the 15th of every month	Contribution via i-Akaun / e-Caruman
SOCSO (PERKESO)	By the 15th of every month	Contribution via ASSIST Portal
EIS	By the 15th of every month	Paid together with SOCSO
LHDN (PCB)	By the 15th of every month	Tax remittance via e-PCB / MyTax portal

Other than that, employers also need to:

Update new hires and resignations each month.
Adjust salaries in line with contribution brackets.
Maintain payroll and contribution records for audit.
Deregister if the company closes or no longer employs staff.

Penalties and Compliance Rules

Failure to complete your employer registration in Malaysia or to make statutory contributions on time can lead to heavy fines or legal penalties:

Act	Non-Compliance Penalty
EPF Act 1991	Fine up to RM10,000 or imprisonment up to 3 years
SOCSO Act 1969	Fine up to RM10,000 or imprisonment up to 2 years
EIS Act 2017	Fine up to RM10,000 for late or missing contributions
Income Tax Act 1967	Penalty of 10%-45% on unpaid PCB deductions

Employers can maintain compliance through HR audits, online reminders, and by checking monthly contribution deadlines on official portals.

Frequently Asked Questions (FAQs)

Do I need to register if I only hire part-time or freelance staff?

Yes. If you pay wages that fall under EPF, SOCSO, or PCB contribution requirements, registration is mandatory.

Can I delay registration until I have more employees?

No. Registration must be completed within 7 days of hiring your first employee.

How can I update company or employee details?

Use the online portals (EPF i-Akaun, SOCSO ASSIST, MyTax) or visit the nearest branch to submit updated forms.

What happens if my registration gets rejected?

Review the rejection reason provided by the agency. Incomplete documents or wrong company category are the most common issues; resubmit with corrections.

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