Average Salary in Malaysia (2026): How Much Do People Really Earn?

Average Salary in Malaysia: The 2026 Numbers

The question every future expat asks: how much do people earn in Malaysia? The answer varies widely by sector, city and status. Here are the 2026 figures, with examples in ringgit (RM) and euros.

National average salary

The average monthly salary in Malaysia is around RM 3,400 to RM 3,800 (about €700-800). This includes all sectors and levels. For an expat manager, the reality is very different.

Salary by sector (expats)

| Sector | Monthly salary (RM) |

|---|---|

| IT / Tech | 10,000 – 25,000 |

| Finance / Banking | 12,000 – 30,000 |

| Engineering | 9,000 – 20,000 |

| Education / International schools | 8,000 – 18,000 |

| Healthcare / Pharma | 10,000 – 22,000 |

| Hospitality / Tourism | 5,000 – 12,000 |

| Automotive / Industry | 8,000 – 18,000 |

An expat manager earns on average RM 12,000 to RM 20,000 per month (€2,500-4,200), 3 to 5 times the local average. Packages often include housing, children's school and health insurance.

Kuala Lumpur vs elsewhere

Kuala Lumpur concentrates the highest salaries: expect +20-30% compared to Penang or Johor Bahru. Free zones (Cyberjaya, Iskandar) offer attractive tax incentives for companies.

Ringgit or euros?

Expat contracts are usually in RM, sometimes in euros or dollars for regional roles. Check the contract currency: the ringgit has fluctuated between 4.3 and 5.0 RM per EUR in recent years, which hugely affects your purchasing power.

Negotiating your salary

• Salaries are usually quoted per month.
• The 13th month and bonuses (1-3 months) are common in large companies.
• Employers may cover rent, annual flights and schooling.
• Taxes are deducted at source (see our tax guide).

👉 Estimate your budget with our cost of living guide and explore Kuala Lumpur neighbourhoods.

Working in Malaysia: the permit

To work legally you need an Employment Pass (EP) issued by the Immigration Department. Without it, no salary, no corporate bank account. Our detailed guide covers the Employment Pass steps.

FAQ

What is the minimum wage in Malaysia?

Around RM 1,700 per month (2026). It does not apply to expat managers, whose salaries are far higher.

What is the average expat salary in Kuala Lumpur?

Between RM 12,000 and RM 20,000 per month depending on sector, excluding benefits.

How much tax on a Malaysian salary?

Progressive rates from 0% to 30% (see our tax guide). Expats pay the same rates after the tax residency threshold.

Is the Malaysian salary in ringgit or euros?

Mostly ringgit (RM); foreign currency for some regional roles.

👉 Need help settling in? Contact us or book your airport transfer.