What is the True Cost of Hiring a Domestic Maid in Malaysia?

Raymond

February 26, 2019

There are currently 2 methods to hire a foreign maid ("domestic helper") currently in Malaysia

Hiring through a maid agency
Hiring through Maid Online Jabatan Imigresen Malaysia

Today I will be talking mainly about Method #1 as it is the most common and easiest approach to hiring a maid.

I will link to Method #2 on another blog post.

Okay, let's get down to crunching numbers.

Maid agency typically charges around RM15000-RM18000 as agent fees. The official fees fixed by the Malaysian and Indonesian goverment is RM8000 only. The agency fee makes the bulk of the cost, as these agencies supposedly take away the stress of hiring a domestic helper by recruiting, obtaining work visas and training the maids.

Let's look at the monthly unavoidable expense that you will incur.

Expenses	Indonesian (MYR)	Philippines (MYR)
Monthly Salary	1,200	1,800
Food (RM10/day)	300	300
Lodging	200	200
Total Cost	1,700	2,300

This is the first year upfront cost you have to pay in order to hire ONE (1) maid.

Expenses	Indonesian (MYR)	Philippines (MYR)
Agency Fee	18,000	16,000

Wait! It's not over yet!

After the first year is over, for the second year, you have to send the maid for FOMEMA checkup and also renew his/her work permit.

This is the expenses incur for the second year.

Expenses	Indonesian (MYR)	Philippines (MYR)
FOMEMA	195	195
Levy Fee	900	900
Total Cost	1,095	1,095

So the total expenses incur for having a maid over a period of 2 Years is as below:

Expense	Indonesian (MYR)	Philippines (MYR)
First Year Salary	20,400	27,600
First Year Expense	18,000	16,000
Second Year Salary	20,400	27,600
Second Year Expense	1,095	1,095
Total Cost	59,895	72,295

So what is the monthly cost you are actually spending on having a maid?

Expense	Indonesian (MYR)	Philippines (MYR)
Total Cost/24 months	59895/24	72295/24
Monthly Expense	2496	3013

Yes, it seems that having a maid seems pretty affordable at the beginning. You are paying like RM1200-ish every month. But you also have to factor in the other cost that you have to pay upfront recruiting the maid.

Many people overlook the cost of the agency fees which is a big chunk of where the cost is allocated.

Although on the surface, it actually seems that hiring a maid is pretty affordable, ranging from RM1200-ish every month. But you have to factor in other cost that you have pay upfront.

Also another important thing to take note:

Most maid employment contract is about 2 Years. After the 2 years is due, usually (MOST OF THE TIME) you have to pay the maid agency again for a new employment.

There are many reasons why this happen.