Average Salary In Malaysia
Salary is a crucial aspect of any job and significantly determines one’s quality of life. As such, understanding the average salary in Malaysia is vital for anyone looking to live, work or invest in the country. In this article, we will explore the factors that affect the average salary in Malaysia, the current average salary, and how it compares across different industries. We will also provide some tips on negotiating your salary in Malaysia.
The average salary is the sum of all wages divided by the number of individuals in a particular group. In Malaysia, the average salary is calculated by adding all the workers’ wages in the country and dividing it by the total number of workers. It is essential to note that the average salary does not necessarily reflect the income of most of the population. Instead, it provides a general overview of the wages earned by workers in the country.
The current average salary in Malaysia
According to the Department of Statistics Malaysia, the average monthly salary in Malaysia as of 2020 is RM3,224, approximately USD 800. This figure represents a 5.3% increase from the previous year. However, it is essential to note that this figure varies significantly across different industries and locations.
Here are the average salaries in Malaysia:
• Overall average monthly salary in Malaysia: MYR 3,661 (US$818)
• Junior employees: MYR 2,770 to MYR 4,413 (US$617 to US$985)
• Mid-level employees: MYR 5,147 to MYR 7,080 (US$1,145 to US$1,575)
• Senior employees: MYR 8,600 to MYR 11,500 (US$1,915 to US$2,560)
Salaries vary widely by industry and job function. Generally, wages are higher in oil and gas, banking and finance, and technology industries.
Some of the highest-paying jobs in Malaysia include:
• Doctors: MYR 17,000 to MYR 35,000 (US$3,780 to US$7,800)
• Engineers: MYR 9,000 to MYR 13,000 (US$2,010 to US$2,890)
• Software developers: MYR 6,000 to MYR 12,000(US$1,340 to US$2,670)
• Accountants: MYR 4,500 to MYR 8,000 (US$1,004 to US$1,780)
• Managers: MYR 7,000 to MYR 15,000 (US$1,560 to US$3,340)
Salary ranges can vary widely depending on factors like experience, qualifications, position, industry, and region within Malaysia. However, the figures above should give you a rough idea of average pay levels across different roles.
How does the average salary in Malaysia compare to other countries in Southeast Asia?
Here’s a comparison of average salaries in Malaysia vs. other Southeast Asian countries:
• Malaysia – Average monthly salary: MYR 3,661 (US$818)
Malaysia’s average salary is relatively high compared to other Southeast Asian countries, though not the highest. Salaries tend to be higher in the more developed Malaysian economy.
• Thailand – Average monthly salary: THB 29,064 (US$820)
Thailand’s average wage is similar to Malaysia’s, though slightly lower when converted to US dollars. Thailand also has a relatively developed economy.
• Indonesia – Average monthly salary: IDR 4.2 million (US$295)
Indonesia’s average wage is significantly lower than Malaysia’s. The cost of living is also lower in Indonesia.
• Philippines – Average monthly salary: PHP 22,153 (US$ 422)
The Philippines has one of the lowest average salaries in Southeast Asia. However, the country exports many professionals and workers due to a lack of jobs at home.
• Singapore – Average monthly salary: SGD 4,583 (US$3,400)
Singapore has by far the highest average salary in the region, thanks to its financial and business hub position. Wages are about four times higher than in Malaysia on average.
• Vietnam – Average monthly salary: VND 9.2 million (US$401)
Vietnam has an average salary slightly lower than the Philippines. However, wages have been rising rapidly in Vietnam in recent years as the economy develops.
While Malaysia’s average salary is relatively high for the region, there are still much higher salary levels in more economically advanced Singapore. However, Malaysia compares favorably to other large Southeast Asian countries like Indonesia, Vietnam, and the Philippines.
Factors that affect the average salary in Malaysia
Several factors affect the average salary in Malaysia, including education, experience, industry, and location. Individuals with higher education typically earn higher salaries, while those with less education earn lower wages. Experience is also crucial, with individuals with more experience in their field earning higher salaries than those with less experience. The industry in which one works also plays a significant role in determining the average salary, with some industries paying higher wages than others. Finally, location is also essential, with individuals working in cities earning higher wages than those working in rural areas.
Comparison of salaries across different industries in Malaysia
Salaries in Malaysia vary significantly across different industries. According to the same report by the Department of Statistics Malaysia, the top-paying industries in the country are the information and communication technology (ICT) industry, followed by the mining and quarrying industry. The lowest-paying industries are the accommodation and food service activities industry, followed by the agriculture, forestry, and fishing industry.
Tips for negotiating your salary in Malaysia
Negotiating your salary in Malaysia can be daunting, but ensuring you are adequately compensated for your skills and experience is essential. Here are some tips to help you negotiate your salary in Malaysia:
- Research the average salary for your position and industry
- Highlight your skills and knowledge during the negotiation process
- Be confident and assertive during the negotiation process
- Consider other benefits apart from the salary, such as health insurance and retirement benefits
- Be willing to compromise if necessary
FAQs
Q1. How often are salaries paid in Malaysia?
A1. Salaries in Malaysia are typically paid every month.
Q2. What is the minimum wage in Malaysia?
A2. The minimum wage in Malaysia varies depending on the location and industry. As of 2021, the minimum wage in Peninsular Malaysia is RM1,200 per month, while the minimum wage in Sabah, Sarawak, and Labuan is RM1,100 per month.
Q3. Are bonuses common in Malaysia?
A3. Yes, bonuses are common in Malaysia, and they are typically paid during festive seasons such as Chinese New Year and Hari Raya.
Q4. Can I negotiate my salary during the job interview?
A4. Yes, it is possible to negotiate your salary during the job interview. However, it is essential to research the average salary for your position and industry beforehand to ensure that your negotiation is reasonable.
Q5. Is it possible to live comfortably in Malaysia with an average salary?
A5. Yes, living comfortably in Malaysia with an average salary is possible, especially if you manage your expenses wisely and live in a more affordable location.
Conclusion
In conclusion, the average salary in Malaysia varies significantly across different industries and locations. Understanding the factors that affect the average salary is crucial for anyone looking to live, work, or invest in the country. By researching and negotiating your salary, you can ensure that you are adequately compensated for your skills and experience.
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