Socso
including overtime, commission, service charge, paid annual leave, sickness, maternity, rest day, public holiday, incentives, subsistence, housing and others. All payments calculated either hourly, daily, weekly, monthly or by task are considered wage.
EPF
Fees/wages meant all support in terms of monetary to be paid to the employee under a service contract or apprenticeship either agreed to be paid monthly, weekly, daily and others including bonus, commission or allowance which an employer has to pay its employees.
Payments that do not require deduction for EPF contribution are:
- Service charge
- Overtime payment
- Gratuity, which refers to, any payment paid by an employer to an employee as termination of service or voluntary separation scheme to acknowledge the services of the employee.
- Director fees
- Retirement benefits, which means, any payment paid by an employer to an employee for compulsory or optional retirement or for health reasons as stated under the employees contract of service
- Retrenchment benefits, temporary or permanent termination of employment
- Any traveling allowance or the value of any traveling concession
- Any other remuneration or payment exempted by the Minister
(Source: FAQ of EPF & SOCSO site)
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