Approximately 70.2% of Malaysia's formal workers earned RM5,000 or less per month as of December 2025, according to multiple sources [1, 2, 3]. Dr Mohd Afzanizam Abdul Rashid said the rising cost of living "continues to erode household purchasing power, especially for those with dependents in high-cost areas" [1].

Basic monthly expenses for a young married couple with two children aged 1 to 3 years in Kuala Lumpur are about RM6,183, significantly higher than the RM5,000 monthly income earned by most workers [1, 2, 3]. In comparison, a similar household in Kuala Terengganu requires around RM3,845 per month [1, 2, 3].

Dr Afzanizam added that "an urban household earning under RM10,000 a month may struggle to meet basic expenses and other commitments, including emergency or long-term savings" [1]. About 80% of Malaysians live paycheck to paycheck with minimal or no savings, Prof Dr Nuradli Ridzwan Shah Mohd Dali said, noting that "the majority are financially constrained — some have minimal savings, while others have none at all" [1, 2, 3].

Unmanaged debt also weighs heavily on financial stability. Personal loans are the leading cause of bankruptcy, followed by business loans, vehicle hire purchase, housing loans, and credit card debt [1, 2, 3]. Reliance on quick loans often results from poor credit history or blacklisting by banks [1, 2]. Prof Nuradli cautioned that "loan sharks are not the answer, as they only lead to mounting and unmanageable debts" [2]. Instead, individuals are advised to seek help from legitimate channels such as zakat institutions or welfare agencies [1, 2].

Separately, The Institution of Engineers Malaysia (IEM) addressed engineering consultancy fees, which have risen less than 10% since 1983 despite increasing workload complexity [4, 5]. After surveying 598 respondents from May 15 to 24, 2026, IEM publicly recommended a 40–50% increase in consultancy fees and proposed reforms to payment structures [4, 5]. IEM noted that 88.97% of consultants are selected based on lowest fee, with 51.84% concerned this favors bids that fail to reflect technical complexity or risks; 65.35% worried low fees will harm service quality [4, 5]. The group said, "There is strong support for adopting quality-based selection procurement approaches that prioritise professional expertise, technical capability and public safety considerations over lowest-price criteria" [4].

IEM proposed restructuring payment milestones to have 80% of fees paid by tender stage and reducing retention sums to 15% during construction [4, 5]. The current fee scale has not been comprehensively revised since 1998 [4, 5].

The financial data for Malaysian workers reflect pressure on households across regions as June 10, 2026, sees calls for addressing cost challenges alongside professional fee reforms.