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aws试用账号(www.2km.me)_MFPC lauds govt’s decision against further EPF withdrawals

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The mandatory EPF contribution represents the main pillar in the citizens’ financial old age security, with more than 14 million Malaysians relying on EPF as their retirement safety net.

KUALA LUMPUR: The Malaysian Financial Planning Council (MFPC) has supported the government’s decision not to allow further Employees Provident Fund’s (EPF) withdrawal schemes.

MFPC strongly supports initiatives to encourage and offer incentives for long-term saving through its Private Retirement Scheme, which will help resolve the issue of insufficient retirement funds.

The mandatory EPF contribution represents the main pillar in the citizens’ financial old age security, with more than 14 million Malaysians relying on EPF as their retirement safety net.“The approach of using EPF savings for emergency needs will certainly cause a severe impact as members would face very low savings in their retirement years, compounded by other uncertainties such as rising healthcare costs.

“The issue of insufficient savings is alarming as the median savings of the B40 were at RM1,000. If this level continues until their retirement, they would have only RM4 a month to spend for 20 years, and for the M40, their savings of RM25,000 would translate into RM104 a month for the same period,” it said. — Bernama

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