SOCSO Made Simple: Protecting Your Employees, Protecting Your Business

SOCSO, also known as PERKESO, is a social security organization in Malaysia designed to protect employees in times of need. As an employer, it’s crucial to understand your responsibilities to ensure compliance and provide your workers with the benefits they deserve.

SOCSO contributions are mandatory for Malaysian citizens and permanent residents earning wages. Both employers and employees contribute to the fund. There are two main schemes:

Employment Injury Scheme: Covers work-related injuries and diseases.
Invalidity Scheme: Provides benefits for invalidity or death not related to work.

Employers must register their company and employees with SOCSO within 30 days of hiring. Contributions are calculated based on the employee’s monthly wages, with rates available in the SOCSO Contribution Table. The employer’s share is higher than the employee’s.

Failing to comply with SOCSO regulations can lead to fines or legal action. Timely contributions are not just about compliance—they show you care about your team’s well-being.

SOCSO also offers benefits such as medical care, rehabilitation, and pensions. These create a safety net for employees, boosting morale and loyalty. As an SME owner, SOCSO compliance is a small investment with significant returns in employee satisfaction and legal peace of mind.

To learn more, visit the SOCSO website or consult with an HR expert. Prioritize compliance today and build a resilient workplace for tomorrow.

How InTune Outsourcing Can Support SME Business Owners?

InTune Outsourcing is one of the Malaysia’s Most Advanced and Top Outsourced Accounting, Finance, HR and Payroll services providers.

We have served more than 400 clients todate and InTune offer full-range services from start up to small to medium-sized companies.

InTune takes away the stress and pains from managing Accounting, Finance, Payroll and HR, including Bookkeeping, Payment Services, Accounts Payable, Accounts Receivable, Payroll and more, by providing an expert team of CPAs and other accounting professionals who understand the special accounting needs of growing businesses.

We can also help in preparing Budgets too as part of our Consultancy Package.