How to Choose The Best Outsourced Payroll Service Partners + 10 Payroll Outsource Providers to Work With
Payroll processing is a cost centre that can lead to more costs if serious payroll mistakes are made.
Outsourcing it to a reliable payroll company can enable you to avoid mistakes, save time and focus on other revenue-generating parts of your business.
In this guide, I’ll run you through:
10 questions to ask your payroll outsourcing partner in Malaysia
The steps to choosing the best payroll outsourcing company in Malaysia
10 payroll outsourcing partners in Malaysia you can check out
10 Questions to ask your outsourced payroll service partner in Malaysia
As you vet payroll outsourcing partners to work with, these questions will help you know which is best for our company.
What is your scope of service? You want an all-in-one service
Where are you located? They should be in or near Malaysia
Which software do you use? You don’t want manual payroll processing
How experienced are you with Malaysian labour laws? As well as tax procedures
How fast do you process payroll? Payroll is also a time game
How fast do you respond to inquiries? You should be able to reach them at any time.
Do you provide International payroll support? Just in case you want to scale
Do you provide visibility into payroll? You need to know what’s happening
What's your pricing? You don’t want to spend a fortune on payroll outsourcing
Send me some customer reviews? People must say good things about them
Let’s consider each of the questions.
Q1: What is your scope of service?
Your payroll service outsource provider should provide services that cover the following:
Employee record management
Salary calculation and bank transfer
Payslip generation and distribution
Statutory deductions and remittance
Filling and submitting statutory forms
Yearly reporting and audit
Enquiring at the beginning will help you know what to expect from your service provider and what you may need to do yourself.
What you need is a payroll service provider that handles every aspect of your payroll.
Q2 Where are you located?
You want a payroll outsource partner that is located in Malaysia, Thailand, Singapore or other countries in South East Asia.
Reason?
They’re be more likely to understand the payroll and accounting landscape in Malaysia, more accessible physically, and more positioned to help you.
Q3: Which software do you use?
It goes without saying that you don’t want a payroll outsource partner that does payroll processing with a spreadsheet. That’s like moving from frying pan to fire and exposing yourself to all the payroll mistakes there are in the books.
You want an outsourced payroll service partner that uses a modern, secure, automated payroll software, like ByteHR, that’s constantly updated with recent regulatory requirements.
Q4: How experienced are you with Malaysian labour laws?
Malaysia has a complex and changing payroll and labour laws. Your payroll outsource partner must:
Understand how statutory deduction and remittance work
Regulation on salary, OT and PTO so they can advise you
How to format payslips and correctly fill out forms
How to file taxes correctly
And other payroll-related requirements
Ideally, your payroll outsource partner should have some accounting background or experience and evidence that they’re well-versed in the Malaysian labour laws.
Q5: How fast do you process payroll?
Payroll is not only a game of numbers but a game of time. Also, your outsourced payroll service partner will have other clients. So you want an outsourced payroll service provider that gives you priority on your payroll week.
According to the EPF Act of 1991, the SOCSO Act of 1967, and the Employment Act of 1955, you are required not only to pay employees their fair wages and make accurate deductions but also to do so on time, within 7 days of the end of the work period.
So you want a payroll outsource partner that has the team to process your payroll correctly and on time.
Q6: How fast do you respond to inquiries?
Though your outsourced payroll service provider is an external organisation, you want it to operate like a part of your organisation so that you can reach them any time with questions, complaints, or for their professional advice.
Your outsource partner should be able to guarantee a steady, fast response, be accessible via phone, email, and chat, and, if possible, physically.
Q7: Do you provide international payroll support?
In addition to providing payroll processing for Malaysian employees, you want your payroll outsource partner to be able to handle payroll for international employees.
Reason?
So you don’t have to work with multiple payroll partners for your foreign workforce.
Especially if you have plans for scaling, a payroll outsource partner with international payroll support positions you for easy and smooth scaling.
Q8: Do you provide control and visibility into my payroll?
Even though you want your payroll outsource partner to handle all your payroll for you, you want complete visibility and control of your payroll.
Why?
If your payroll outsource partner makes payroll mistakes, you’ll be the one penalised, not them.
Your payroll outsource partner must provide you with visibility on what’s happening with your payroll as well as control over all aspects of your payroll.
In addition to that, your employees' satisfaction is still your responsibility, not your payroll partner. Also, how you manage their salary and finances plays the biggest role in their job satisfaction and engagement.
Q9: What's your pricing?
You need a clear understanding of the payroll outsourcing partner's pricing structure so you know how it aligns with your budget and supports your long-term business goals.
Some of the most popular pricing models are payment per employee processed.
Q10: Can you point me to customer reviews?
Your best source of info about the quality of a payroll outsource partner is businesses that have used them before.
Not what they say about themselves.
Search or request customer reviews, testimonials and case studies to understand customer sentiments about them, the pros and cons and possible alternatives.
Now, let’s use these questions to find the best payroll outsourcing partner for your company.
What are the steps to choosing the best outsourced payroll service partner?
Step 1: Assess your payroll needs: Assess your current payroll system and operation to see if you need a payroll outsource partner or just payroll automation software. If you realise you need an outsourced partner, make a list of what you need them for and what they’ll be doing for you.
Step 2: Search for payroll outsource providers: Search for payroll outsource providers in Malaysia or ASEAN that meet your needs.
Step 3: Vet them and choose one: Use the 10 questions I’ve shared to vet the outsource partners on your list and narrow it to the one that meets your needs with your budget.
To help you make a faster and better choice, I've done the work of identifying the best payroll outsourcing partners in Malaysia for you to consider.
10 payroll outsourcing service partners in Malaysia you can choose from
10 payroll outsourcing partners in Malaysia you can choose from:
CentralHR Payroll and HR company
Malaysia HR Payroll Outsourcing, PEO and EOR
Synergy Outsourcing Malaysia
Propay Partners
Evoresource Outsourcing Sdn. Bhd.
Right House HR Shared Services Sdn Bhd
PeopleLAKE - HR & Payroll Outsourcing
Mercans
Links International
Boardroom
Here’s a quick note on each of them to help you sort them fast.
CentralHR Payroll and HR company
CentralHR offers specialised payroll outsourcing services across Malaysia, focused exclusively on handling your monthly wage processing, statutory submissions, employee registrations, and year-end documentation.
Services provided
Employer registration with EPF, SOCSO, EIS, HRDF, PTPTN, LHDN, and others
Processing payroll, issuing payslips, and facilitating direct salary credits
Submitting statutory filings: EPF, SOCSO, EIS, tax, HRDF, Zakat, PTPTN
New hire onboarding and termination notifications (including tax clearance)
Year-end processing: Form E and EA issuance
Register employees for the tax file, EPF, and SOCSO
Deliver payroll and HRIS reports: payslips, payroll summaries, bank files, statutory forms (e.g., CP39, CP22A), HRDF/Zakat/PTPTN listings, audit files, and custom reports
What do companies like about CentralHR?
Clients report up to 70% reduction in payroll overhead compared to handling it in-house
CentralHR provides compliant and accurate payroll processing
Clients report a knowledgeable professional team managing their payroll
CentralHR offers compliant payroll data management
Malaysia HR Payroll Outsourcing, PEO and EOR
Corford Solutions offers full-service payroll outsourcing, along with PEO (Professional Employer Organisation) and EOR (Employer of Record) solutions in Malaysia. They help SMEs manage every part of their payroll effectively. With over a decade of experience, they emphasise compliance, transparency, and dedicated support.
Services provided
Payroll Outsourcing for local businesses
PEO/EOR Services
Compliance management
Payroll reports & documentation
HR advisory & corporate services
What do companies like about Corford Solutions?
Their clients love the ability to enter Malaysia without the need to establish a legal entity
Clients report up-to-date statutory compliance
Corford provides clear pricing and the presence of a dedicated manager
Synergy Outsourcing Malaysia
Synergy Outsourcing is a Malaysian provider offering payroll outsourcing services tailored to both SMEs and larger enterprises. As a local firm, they position themselves as a cost-effective extension of your HR team—handling payroll processing, compliance, and employee self-service, all while prioritising data security and adaptability.
Services provided
Payroll calculation and net pay disbursement via bank transfers
Statutory contributions:
Employee self-service (ESS) for payslip access, leave applications, claims, etc.
Monthly payroll reports and custom analytics
Preparation of statutory forms: EA, PCB II, Form E (employer’s return)
Employee data maintenance and consolidated attendance/leave data handling
Payroll journal entries for accounting integration
PDPA compliance data management
What do companies like about Synergy Outsourcing?
High data security and compliance
Transparent, affordable pricing with a flat-rate model
Responsive and supportive approach, marketed as an extension of clients’ teams
Reliable compliance tracking with EPF, SOCSO, tax, and other statutory updates
Easy employee self-service with the ESS app for payslips, leave requests, and claims
Propay Partners
Propay Partners provides payroll outsourcing across ASEAN. Bringing over a decade of experience in multi-country payroll, tax advisory and workforce mobility.
Services provided
Multi-country payroll outsourcing and administration
Tax advisory tailored to regional payroll requirements
Employee mobility and expatriate management solutions
Contracting and local compliance support across ASEAN
Secure handling of confidential staff data and payment records
Custom HR service strategies that minimise risk throughout the employee lifecycle
What do companies like about Propay Partners?
Expertise across ASEAN markets, enabling seamless regional payroll
Simplified HR delivery with a unified, single point of contact
Secure and reliable systems for sensitive payroll and staff data
Deep understanding of expatriate contracts and mobility nuances
Long-standing track record of trust and service continuity
Evoresource Outsourcing Sdn. Bhd.
Evoresource Outsourcing is based in Malaysia and has been providing payroll outsourcing services since 2015. They deliver payroll services designed to simplify monthly payroll processing, ensure statutory compliance, and allow clients to focus on their core operations.
Services provided
Employer statutory account registrations (EPF, SOCSO, EIS, etc.)
Employee data management throughout onboarding and payroll changes
Payroll processing, inclusive of salary calculations and statutory contributions
Salary disbursement via bank transfer
Payslip distribution by email, ESS portal, or hardcopy
Preparation and distribution of EA and Form E statutory forms
Full statutory compliance to mitigate audit risks
Managed payroll processing workflow from data collection to submission and disbursement
What do companies like about Evoresource payroll Outsourcing?
Their prompt and reliable responses with strong client satisfaction
Everoresource provides accurate, confidential handling of payroll data
Consistent attention to detail, including preparing summaries for efficient handover
Smooth operation of payroll systems, especially appreciated in manufacturing contexts
Right House HR Shared Services Sdn Bhd
Right House HR Shared Services provides payroll processing and managed payroll services across Malaysia. They offer accurate, secure, and compliant payroll operations.
Services provided
Payroll implementation process through a five-phase onboarding method
Payroll calculation and processing, including new hires, resignations, overtime, incentives, allowances, and taxes
Salary disbursement via bank transfers or prepared bank files
Consolidated payroll reporting and payslip delivery via employee self-service portal
In-country statutory submissions for EPF, SOCSO, EIS, and taxes
Form E and EA preparation and filing
Payroll advisor,y including compliance review and audit support
What do businesses like about Right House’s payroll outsourcing?
Provide accuracy, security, and adherence to local regulations
Right House offers transparent, subscription-based pricing
Professional expert support from payroll veterans
PeopleLAKE - HR & Payroll Outsourcing
PeopleLAKE delivers flexible payroll outsourcing solutions, including full-service and partial payroll management, that aim to streamline processing and maintain compliance for both local and ASEAN-based businesses.
Services provided
Employer registration with statutory bodies
Monthly payroll processing, payslip distribution, and salary direct deposits
Statutory submission of contributions: EPF, SOCSO, EIS, HRDF, zakat
Management of new hires and terminations
Year-end processing, including Form EA submissions
Employee registration for income tax file numbers, EPF, and SOCSO
What do companies like about PeopleLAKE?
PeopleLAKE brings deep payroll processing experience
Flexible service options accommodate partial or full payroll outsourcing
Integrated approach within broader HR outsourcing services supports seamless handling of recruitment, payroll, and regulatory needs
Strong digital presence and communication efforts that reflect professionalism and trustworthiness
Mercans
Mercans is a global payroll outsourcing provider offering managed payroll solutions in Malaysia. Known for high accuracy and efficiency, their services support multi-currency transactions, local compliance, and fast payroll cycles.
Services provided
Managed payroll services tailored to Malaysian regulations
Support for multi-currency payroll transactions
Local compliance with statutory filings (EPF, SOCSO, EIS, tax forms)
Dedicated payroll experts familiar with Malaysian labour laws
Rapid, accurate payroll processing with minimal errors and delays
Integration with global HR systems and enterprise software
What do companies like about Mercans?
High accuracy (99.7% accuracy rate) and fast processing (within 48 hours)
Strong regulatory compliance and no reliance on subcontractors
Modern, secure technology platforms that integrate with global HCM systems
Responsive global support and expert knowledge of Malaysia’s payroll regulations
Links International
Links International is a leading HR outsourcing provider in Asia, offering 100% in-country payroll outsourcing services across multiple countries, including Malaysia. Leveraging a local presence in each market, they ensure that you receive accurate, compliant, and personalised payroll support.
Services provided
In-country payroll outsourcing across Asia, including Malaysia
100% local delivery model with dedicated payroll experts in each jurisdiction
Statutory compliance with EPF, SOCSO, EIS, LHDN, and other regional regulations
Integration with global HR systems (e.g., SAP SuccessFactors, Workday, Oracle Fusion)
Employer-of-Record (EOR) and visa application support
Recruitment and outplacement services to complement payroll offerings
What do companies like about Links International?
Reliable, high accuracy in data processing and compliance management
Fast, responsive local support from in-country experts
Seamless multi-country payroll coordination using regional dashboard technology
Recognised repeatedly as Asia’s Best Payroll Outsourcing Partner
Strong track record and client retention with a regional presence
Boardroom
Boardroom is a professional services firm offering comprehensive payroll outsourcing for businesses in Malaysia. Backed by a global presence and local expertise, they manage payroll processing, statutory compliance, and reports efficiently.
Services provided
Full-service payroll processing (monthly/weekly), including salary calculations and payslip delivery
Salary disbursement via payroll files or bank transfers
Statutory compliance submissions (EPF, SOCSO, EIS, LHDN, HRDF, zakat, etc.)
Year-end processing, including EA and Form E filings
Employee self-service portal for payslips and personal data updates
Payroll-related advisory support for compliance and internal audits
What do companies like about Boardroom?
Strong reputation with global presence and local office support
High accuracy and reliability in handling payroll and statutory obligations
Sophisticated tech platform paired with responsive local support
Transparent structure and trusted partners for growing and multinational businesses
