Overtime in Malaysia is generally paid at 1.5 times the regular hourly rate for work beyond normal hours on weekdays and weekends. On public holidays, the rate is typically 3x the regular rate.
Learn more in-depth about overtime rates in Malaysia according the Employment Act 1955.
No, overtime pay must be calculated separately and cannot be included in the basic salary. It should be paid in addition to the regular salary.
Using PayrollPanda is the best way to calculate overtime accurately. It automates the process, ensuring correct calculations based on hourly wages and applicable overtime rates, and integrates with time tracking systems to streamline overtime tracking and payroll management.
Definitely! PayrollPanda is 100% FREE and offers automated payroll calculations taking into account overtime rates. Aside from automating calculations, PayrollPanda’s payroll software can also generate reports for payroll statutory compliance, integrate with bank payment systems for seamless salary disbursement, and streamline leave management —all in one easy-to-use platform.