Baitulmal is the Islamic treasury and religious fund administered by state religious authorities in Malaysia. In Sarawak, employers are required by ordinance to deduct a small flat monthly contribution from eligible Muslim employees' pay. JustLogin's payroll module supports this obligation through a dedicated deduction pay element and a manual monthly processing workflow.
Employee Eligibility
JustLogin automatically identifies eligible employees for Baitulmal based on two criteria:
- Employment type: Full-time employees only.
- Religion: Employees whose religion is recorded as Muslim on their People profile.
Keep these profile fields up to date to ensure each employee is correctly included or excluded from the deduction.
How the Deduction Amount is Calculated
The Baitulmal deduction is a flat monthly amount — it is not a percentage of salary and is entirely separate from zakat. JustLogin calculates each eligible employee's monthly emolument by totalling the following pay elements:
- Basic pay
- Fixed allowances, acting allowances, housing allowances, and other allowances
- Overtime and overtime arrears
- Salary arrears, adjustments, and pay in lieu
- Annual leave and annual leave encashment
- No-pay leave and no-pay leave payback
- Suspension pay
Once the emolument total is determined, the system assigns the employee to one of several flat-rate ringgit tiers in line with the applicable Sarawak Baitulmal rates. The calculated amount cannot be manually adjusted.
Mid-Month Joiners and Leavers
For employees who join or leave part-way through the month, any prorated pay elements are scaled by your company's pay-period proration basis before the tier is determined. This ensures the employee lands in the correct, lower tier for their partial period. Non-prorated items such as overtime and arrears are always included at their actual amounts.
Note: If you notice an unexpected Baitulmal tier for a mid-month joiner or leaver in historical payrun records, please contact JustLogin Support — our team can review the calculation for that period. |
Processing Baitulmal Each Month
The Baitulmal deduction is not automatic. Your payroll admin must process it manually each month before finalising the payrun.
- In the Payroll module, open the Process Baitulmal screen.
- Review the list of eligible employees. The screen shows each person's name, department, and system-calculated deduction amount.
- Select the employees you want to include in the deduction for this month.
- Click Process to apply the deduction to the current payrun.
Important: The deduction amount is system-determined and cannot be edited on this screen. Because the deduction is written as a one-time item, you must repeat these steps every month — it will not carry forward or recur automatically. |
How It Appears on the Payslip
Once processed, the Baitulmal contribution appears as a standard deduction line — labelled Baitulmal Deduction (Payroll) — in the Deductions section of the employee's payslip. It is listed separately from statutory contribution lines such as EPF, SOCSO, and EIS.
The Baitulmal deduction has no effect on any other statutory calculation. It does not alter EPF, SOCSO, EIS, HRDF, or PCB figures.
Statutory Reporting
The Baitulmal deduction is not included in any Malaysian statutory report or submission. It is a payslip-level deduction only and does not appear in year-end tax documents. There is no annual reconciliation or carry-forward — each month's processed amount stands on its own.
The following reports and submissions do not include the Baitulmal deduction:
- EA Form and E Form
- PCB / MTD and CP39
- CP21 and CP22
Baitulmal vs Zakat
Baitulmal and zakat are two separate, independent features in JustLogin. The table below summarises the key differences.
| Attribute | Baitulmal | Zakat |
|---|---|---|
| Nature | Small flat-rate statutory contribution (Sarawak) | Percentage-based religious obligation |
| Calculation method | Flat ringgit tier based on monthly emolument | Percentage of applicable earnings |
| Processing | Manual, monthly via the Process Baitulmal screen | Separate zakat pay element and workflow |
| Payslip label | Baitulmal Deduction (Payroll) | Separate zakat deduction line |
| Included in EA Form | No | Yes — zakat deduction and relief fields |
| Included in CP21 | No | Yes |
| Year-end treatment | No special treatment; does not appear in statutory outputs | Reported in year-end statutory filings |
If you are unsure which type of deduction applies to your employees, or if you need Baitulmal enabled for your company, please contact JustLogin Support.