Quick answer: From 1 June 2026, Employment Pass categories are set by basic monthly salary: Category I is RM20,000 and above, Category II is RM10,000 to RM19,999 and Category III is RM5,000 to RM9,999, or RM7,000 to RM9,999 for manufacturing and manufacturing-related services. Category I and II can run up to 10 years overall and Category III up to five years. All three can bring dependants for applications from 1 June 2026, and a succession plan becomes mandatory for Category II and III from 1 January 2027.
- Category I RM20,000 and above, II RM10,000 to RM19,999, III RM5,000 to RM9,999.
- Category III is RM7,000 to RM9,999 for manufacturing and manufacturing-related services.
- Category I and II up to 10 years overall, Category III up to five.
- Only basic monthly salary counts.
- Succession plan mandatory for Category II and III from 1 January 2027.
Side by Side
| Item | Category I | Category II | Category III |
|---|---|---|---|
| Minimum basic salary | RM20,000 and above | RM10,000 to RM19,999 | RM5,000 to RM9,999 (RM7,000 to RM9,999 manufacturing) |
| Overall period | Up to 10 years | Up to 10 years | Up to 5 years |
| Dependants | Allowed | Allowed | Allowed for applications from 1 June 2026 |
| Succession plan | Not listed as required | Mandatory from 1 January 2027 | Mandatory from 1 January 2027 |
What Changed on 1 June 2026
| Category | Before | From 1 June 2026 |
|---|---|---|
| Category I | RM10,000 and above | RM20,000 and above |
| Category II | RM5,000 to RM9,999 | RM10,000 to RM19,999 |
| Category III | RM3,000 to RM4,999 | RM5,000 to RM9,999 |
How the Category Is Decided
The category follows the basic monthly salary stated in the application. Allowances, bonuses and incentives are not counted, and the salary must be paid in Malaysia. Pick the category by the salary you will actually pay, not by the job title.
Choosing Between Categories
| If your hire | Likely category |
|---|---|
| Is a senior executive paid RM20,000 or more | Category I |
| Is a manager or specialist at RM10,000 to RM19,999 | Category II |
| Is a skilled professional at RM5,000 to RM9,999 | Category III |
| Is in manufacturing and paid RM7,000 to RM9,999 | Category III, using the manufacturing band |
Need a pass sorted out? WhatsApp us. We will check your case before you apply.
Mistakes
Counting allowances toward the band
Only basic salary counts.
Using the old thresholds
They apply to applications before 1 June 2026.
Assuming Category III has an exemption
Salary exemptions for Category III no longer apply.
Three Scenarios
Scenario 1. A finance director on RM25,000 basic salary is Category I.
Scenario 2. A product manager on RM12,000 basic salary is Category II and needs a succession plan from 2027.
Scenario 3. An engineer on RM6,000 basic salary is Category III.
How We Help
What we handle for you
Before you apply
- Check that your company meets the requirements and that the post and salary fit the right category.
- Prepare your business plan and financial plan from your company idea or business model, where the application needs one.
Application
- Prepare and submit the pass application and respond to Immigration's queries.
Why companies choose us
End-to-end under one roof
- We handle company incorporation, accounting and payroll as well as expatriate pass applications, so your structure, payroll and hiring plan stay aligned.
- The company is set up correctly from day one.
We check before you invest
- We confirm eligibility, including whether you can hire the expatriates you need, before a foreign investor decides to incorporate in Malaysia.
- Neutral Consulting PLT is a Kuala Lumpur firm led by a Managing Partner who is a member of the Malaysian Institute of Accountants.
Frequently Asked Questions
Quick answers.
What is the difference between Employment Pass Category I, II and III?
Salary band and conditions: I is RM20,000 and above, II is RM10,000 to RM19,999 and III is RM5,000 to RM9,999.
How long can each category stay?
Category I and II up to 10 years overall and Category III up to five years.
Can Category III bring dependants?
For applications from 1 June 2026, yes.
What is the manufacturing band?
RM7,000 to RM9,999 for Category III in manufacturing and manufacturing-related services.
Is a succession plan required?
Mandatory for Category II and III from 1 January 2027.
Is there still a cooling-off period for Category III?
Immigration's FAQ says the cooling-off period no longer applies to Category III after implementation.
Does only basic salary count?
Yes. Allowances, bonuses and incentives are excluded.
Does the new policy apply to renewals?
Yes, for renewals received on or after 1 June 2026.
Can an existing pass keep its old category?
Existing passes stay valid until expiry. A renewal is assessed under the new policy.
Which category is easiest to get approved?
There is no easy category. Each must meet its salary band and the application requirements.
Can I move a hire to a higher category later?
A change in salary and position goes through a new or amended application.
Can you check which category fits?
Yes. We check salary, role and company requirements before you apply.
Sources
Official sources
- Immigration Department (ESD), Revised Employment Pass Salary Policy effective 1 June 2026
- Immigration Department (ESD), Revised Expatriate Salary Policy FAQ
- Immigration Department (ESD), ESD Online Guidebook V5 (September 2024)
This page is general information, not legal advice. Agencies change their requirements, so confirm the current rules with the Immigration Department (ESD) and MIDA, or with us, before you act. Checked November 2026.
Talk To Us Now
Hiring or relocating an expatriate? We will check your case first. All consultations are by video call.