You Are Not an Employee
Freelancers in Malaysia are considered independent contractors, not employees. That means no EPF, SOCSO, or employee protections — unless you arrange them yourself.
Tax Responsibilities
Freelance income is taxable. You’re responsible for declaring income, tracking expenses, and paying taxes directly to LHDN. Keeping invoices and payment records is essential.
Pro Tip
Open a separate bank account for freelance income. It simplifies tax reporting and proves income history if disputes arise.
Contracts Matter More Here
Malaysia doesn’t have freelance-specific protection laws. Your contract is your primary legal shield. Without one, payment disputes become difficult to enforce.