Your EPF/KWSP Money!

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THE EMPLOYEES PROVIDENT FUND (Kumpulan Wang Simpanan Pekerja)

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EPF contributions are mandatory from both employers and employees until the member turns 60, after which contributions by employers are at half the rate, until the employee reaches age 75.

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14 December 2017

The 4 Enhancements
1 Option to appoint Amanah Raya Berhad (ARB) as nominee or administrator trustee.
2 ‘Age 55 and Age 60’ withdrawal policies: may make a withdrawal as low as RM100 per month.
3 Flexible withdrawal policy until age 100.
4 Extension of Death Benefit from age 55 to 60.

14 December 2017

EPF announces four enhancements to its policies

Published:     Modified:

The Employees Provident Fund (EPF) today announced four enhancements to its schemes and policies which will take effect next January, as part of EPF’s continuing effort to improve and meet members’ increasing expectations.

Its chief executive officer Shahril Ridza Ridzuan said the key initiatives include the option to appoint Amanah Raya Berhad (ARB) as nominee or administrator trustee, enhancement to ‘Age 55 and 60’ policies withdrawal payment options, flexible withdrawal policy until age 100 and extension of Death Benefit from age 55 to 60.

He said the option to appoint Amanah Raya for members’ EPF saving would facilitate faster and more equitable distribution of their savings to next-of-kin, upon members’ demise.
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Shahril Ridza said for the ‘Age 55 and Age 60’ withdrawal policies, it has now enhanced and simplified to enable members to make partial withdrawals of any amount at any time.

He said the improved flexibility is opposed to the current policy that only allows withdrawals of a minimum RM2,000 once every 30 days.

“Members who choose to make monthly withdrawals will be able to withdraw from as low as RM100 per month, as opposed to RM250 in the current policy,” he said.

He added, to help members plan their long-term retirement needs and decide on the optimum withdrawal amount and frequency, the EPF urges members to take advantage of its Retirement Services provided for free at its 18 branches nationwide.

Other enhancement will be done is the flexible withdrawal policy which allows members to withdraw any amount at any time for partial withdrawals, has been extended up to age 100 from current age cap of 75 years old.
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Shahril Ridza also announced that the current death benefit of RM2,500 claimable if the member dies before age 55, will be extended until age 60.

Read more at https://www.malaysiakini.com/news/405474#IhZlKEJdFqDtzCsj.99

Proposed in the Amendment to the Employees Provident Fund Act 1991

The Bill seeks to introduce a new section to provide that any contribution that has been credited into the account of a member after he or she has attained the age of 55 may only be withdrawn when the member turns 60.

19 Feb 2017

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12h12 hours ago

EPF declares 5.7 percent dividend for 2016

The Employees Provident Fund (EPF) has declared a 5.7 percent dividend for 2016, with the total payout amounting to RM37.08 billion, a commendable achievement in view of the much tougher market environment.

The dividend declared for 2015 was 6.4 percent.

Chairperson Samsudin Osman said the EPF is pleased it has been able to consistently exceed its two strategic investment targets of at least 2.5 percent nominal dividend on a yearly basis and at least 2.0 percent real dividend on a rolling three-year basis.

“As a retirement savings fund, the EPF always emphasises on sustainability of returns over the long term horizon as opposed to short term gains.

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11h11 hours ago

EPF dividend rates from 2000 – 2016 Read more:

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After a 45-minute discussion between the ice-maker workers’ representatives and EPF officials, the EPF’s head of Enforcement Department Hardial Singh assured that a thorough investigation would be conducted.

3 June 2016

Ice workers swarm EPF over unpaid contributions

About 50 employees from a major edible ice producer and distributor has lodged a complaint at the Employees Provident Fund (EPF) office, alleging that their employer has not made EPF contributions for the commissions they earned for over 20 years.

They swarmed the EPF headquarters’ lobby at Jalan Raja Chulan yesterday with banners which read: ‘No EPF contribution for commission’ and ‘Employer conned workers for over 20 years’.

Claiming to represent 100 lorry drivers and assistants from the company’s Kepong and Batu Caves branches, they alleged their employer had not contributed to their respective EPF accounts amounting to millions over the years.

They earn commission based on the weight of the ice they deliver to customers daily,

Group representative Zulkifli Rathi, who has been with company as a lorry driver for 13 years, claimed he was owed around RM20,000 in EPF contributions from his commission.

“The company only started contributing to my EPF for the commissions I earned from October last year.

“The loss of RM20,000 in EPF contributions for commissions I have earned will impact my family, as they are savings for my old age… it’s a significant amount,” the father of two said.

The group also issued a press statement, which said the company only began initiating EPF contributions for commissions earned between April and October last year.

The statement also alleged that an EPF enforcement official had conspired with their employees regarding the misappropriation of the EPF contributions.

https://www.malaysiakini.com/news/343967

Today workers from Atlas Ice protested at EPF HQ in KL against management millions ringgit of fraud in Employee Provident Fund(EPF) & against EPF enforcement officer that support the management fraud.
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3 May 2016

After 1MDB’s US$50m default, EPF reiterates its ‘limited’ exposure

1MDB, last week, was declared in default after it failed to pay a US$50.3 million debt payment, but the Employees Provident Fund (EPF) today stressed that its exposure to the state investment arm is “very limited”.

EPF chief executive officer Shahril Ridza Ridzuan in a press conference today was asked whether the EPF was concerned over its investments in 1MDB in light of the latter’s default.

But Shahril reiterated how the EPF only has a share of RM200 million from the RM5 billion bond issued by the then Terengganu Investment Authority (TIA) – which accounts for four percent from the total issuance.

“That exposure is fully government-guaranteed, basically we don’t have a problem with it.

“It’s never an issue in terms of being serviced by 1MDB,” said Shahril, after the release of EPF’s 2015 annual report in Kuala Lumpur today.

He however admitted that the EPF has been following the current developments with interest.

“It’s quite clearly a cause of concern that there seems to be some kind of dispute going on at 1MDB in relation to their other exposures.

“But as far as the exposure that we have, we are fairly fine with it. In any event if there’s any major problems with 1MDB, the government will step in to cover the debt to all the bond holders.”

https://www.malaysiakini.com/news/340048

1 April 2016

This is not true:

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http://www.bharian.com.my/node/139546

 (吉隆坡1日訊)僱員公積金局(EPF)今日駁斥早前在面子書流傳,指該局半年將發放一次2500令吉撫恤金給會員的消息,並澄清該局的死亡撫恤金是一次性發放。  該局今日
chinapress.com.my

EPF slams ‘false’ Facebook post on RM2,500 monetary assistance

KUALA LUMPUR, April 1 — The Employees Provident Fund (EPF) has refuted a Facebook post which claimed that it provides RM2,500 every six months as a form of monetary assistance.

In a statement, the fund urges members, as well as the public to abstain from spreading the false statement.

“The EPF takes such cases seriously and is stepping up action to issue warnings.”

“This includes the right to take legal action, against any individuals spreading false information with regards to the EPF and its products, services which can create confusion or unnecessary alarm amongst members,” it added.

The individual who posted the false statement claimed EPF members would need to fill a form to claim the RM2,500 and even included a link to it.

However, the link was a form meant for claiming the death benefit.

“The death benefit payment of RM2,500 will be given to the dependents of deceased members when an application for withdrawal is made,” the EPF said.

– See more at: http://www.themalaymailonline.com/malaysia/article/epf-slams-false-facebook-post-on-rm2500-monetary-assistance?utm_source=twitterfeed&utm_medium=twitter#sthash.r80UHKMY.dpuf

20 February 2016

[LATEST] EPF declares a dividend rate of 6.40 per cent for 2015 with a total payout amounting to RM38.24 billion

16 February 2016

You pay more taxes with reduced EPF contribution, IRB admits

Kow Gah Chie

Employees with a taxable income of more than RM35,000 may find an issue with opting to have their Employees Provident Fund (EPF) contribution reduced to eight percent as they may see a drastic increase in their income tax.

Inland Revenue Board (IRB) assistant director (revenue collection) Chua Tian Siang said this when explaining on the tax impact to the employers in a seminar.

“Off course, when you reduce the EPF contribution from 11 to eight percent, your taxable income will increase and you have to pay more tax,” he said.

In certain cases for example, the increase can be from RM500 to RM900, he added.

Chua was commenting on how the EPF slash, which was announced by Prime Minister Najib Abdul Razak in his 2016 budget revision, may impact the tax payers.

In his revision, Najib announced the move as one of the 11 key measures to stimulate the economy and increase private consumption expenditure by RM8 billion a year.

“For those taxable income of less than RM35,000, we allow the employees to claim a rebate of RM400.

“But when the taxable income is more than RM35,000, then you are not entitled anymore,” said Chua.

“For those with EPF deduction of over RM6,000, and opt to reduce from 11 to eight percent, you will have no issue – you have a take home pay and would not affect your tax (will not increase drastically),” he said.

Retain the 11 percent contribution

On this note, the Malaysian Employers Federation (MEF), which jointly organised the seminar entitled “A year into final tax-issues and challenges”, urged the workers to retain the 11 percent contribution.

MEF executive director Shamsuddin Bardan said over 70 percent of the workers contribute below RM6,000 annually to EPF.

“For those who contribute more than RM6,000 annually to EPF, they can take out the money to invest elsewhere.

“Based on the previous EPF reduction exercise (in 2009), we were informed that only 22 percent employees opted to retain at 11 percent, while 78 percent chose eight percent,” Shamsuddin said.

https://www.malaysiakini.com/news/330614

12 February 2016

Scandals, weak ringgit spurring Malaysians abroad to cash out EPF funds

Pinned Tweet

Scandals, weak ringgit spurring Malaysians abroad to cash out EPF funds

When Joanne Koo first emigrated to Australia with her young family six years ago, she never planned on renouncing her citizenship as she was eager to hold on to her Malaysian ties, savings and investments.

However, earlier this month, Koo and her husband made a trip to Kuala Lumpur to surrender their Malaysian passports for the sole purpose of making a full withdrawal of their Employees Provident Fund (EPF) savings. (Savers are allowed full withdrawal at age 55.)

“It was never on our mind to take what my elders see as a drastic step (of renouncing our citizenship). But we’ve been monitoring the situation in Malaysia for a few years now, and we’re not confident,” she told The Malaysian Insider.

Koo, 44, is one of thousands of overseas Malaysians who have been spooked by the financial scandals and political instability plaguing the country over the past two years, and who have decided to withdraw their retirement savings to “safer environments”.

“The current government is likely to look towards institutions like EPF and Tabung Haji to bail out failed projects or companies,” said Koo, whose savings were in the “hundreds of thousands”.

“EPF is hard-earned savings, and nobody would want to wake up one day and find their retirement savings in someone else’s pockets.”

In 2014, a total of 3,098 Malaysians renounced their citizenship and left the country, withdrawing RM303 million from the retirement scheme fund.

This figure is a startling 63% increase from 2010, where only RM185 million was withdrawn by those leaving the country, according to statistics obtained from the EPF website.

For ML, a former lawyer who moved to Switzerland in 2010, renouncing her citizenship and withdrawing her retirement fund was mostly because of the negative news about Malaysia that she kept reading about from Zurich.

Apart from the growing fears of economic and political uncertainty, the ringgit’s continued decline over the past year is also believed to be a reason for Malaysians abroad to renounce their citizenship to make a full withdrawal of their EPF savings, said opposition lawmaker Ong Kian Ming.

“In the past, many people will leave their money in EPF even if they are living or working abroad, because the EPF has been offering decent returns.

“But probably one of the factors which motivates some of them to do this early withdrawal is the fears regarding the currency depreciation.  At the rate of the ringgit’s decline, no matter how well your performance is, it cannot make up the depreciation,” he said.

– See more at: http://www.themalaysianinsider.com/malaysia/article/scandals-weak-ringgit-spurring-malaysians-abroad-to-cash-out-epf-funds?utm_source=dlvr.it&utm_medium=twitter#sthash.p7EHmsac.dpuf

31 January 2016

WILL A LOWER EPF CONTRIBUTION RESULT IN MORE BEING PAID TO THE GOVERNMENT AS INCOME TAX?

EPF contribution lowers to 8%. You spent more on GST, you pay more income tax and your retirement money greatly reduced. Only in Malaysia.

EPF contributors would have 3% less in their saving – every month – from March 2016 until December 2017….

Okay. I’ve seen so many version of income tax calculation comparison between 11% and 8% EPF contribution. I can’t tell which one is true.

 …

EPF contribution lowers to 8%. You spent more on GST, you pay more income tax and your retirement money greatly reduced . Only in Malaysia.

½ of workers in Malaysia earn less than RM1,575 per month. EPF contribution cut will put less than RM50 into their pocket every month

Borneo Post Online

EPF option will not pay more income tax to govt — Consultant

KUCHING: A financial consultant dispelled the notion that opting to contribute eight percent towards your Employee Provident Fund (EPF) instead of 11 percent will end up paying more income tax to the government.

This comes as a text has been made viral via WhatsApp and Facebook, causing confusion among readers.

“You need to read this together with the new special tax relief of RM2,000 for those earning RM8,000 per month or less,” the source told thesundaypost, declining to be named.

According to the consultant’s estimations, we take into account a gross salary of RM4,000 per month (which is RM48,000 per annum); personal relief of RM9,000; maximum EPF of RM6,000; a tax rebate of RM400 (if chargeable income is less than RM35,000 per annum) and special tax relief of RM2,000.

Assuming the contributor keeps his or her EPF contributions at 11 per cent, his or her tax payable is calculated at RM168.50 per month.

If the contributor opts for eight per cent contributions, tax payable per month amounts to RM180.50.

“Technically, you are paying RM12 more per month to have extra RM120 in your pocket instead of in your retirement fund,” the source further clarified.

“The RM2,000 special tax relief has somewhat compensated for the additional tax which would have otherwise apply to those earning RM4,000 per month if he or she opt for the eight per cent employee’s contribution.”

Read more: http://www.theborneopost.com/2016/01/31/epf-option-will-not-pay-more-income-tax-to-govt-consultant/#ixzz3ynTaAcGj

IS THIS MESSAGE ON FACEBOOK AND WHATSAPP CORRECT?

The message reads, “Assume monthly basic salary is RM4,000, if your monthly EPF contribution is 11 per cent, taxable income will be RM3,560 and income tax payable will amount to RM77.

“However, if your monthly EPF contribution is eight per cent), taxable income will be RM3,680 and income tax payable is RM109.”

This indicates that contributors pay a difference of RM32 more tax should they opt for the eight percent EPF option.

The message further states that “this measure is meant to boost up the slow-down market, but from this example we see that the money does not go into the market.

“Instead the money goes direct into the government’s pocket through the greater amount of income tax that we will have to pay,” it further claimed.

Read more: http://www.theborneopost.com/2016/01/31/epf-option-will-not-pay-more-income-tax-to-govt-consultant/#ixzz3ynToh7x5

3 January 2016

Contributors expecting higher EPF dividend, says MTUC

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Private sector workers are hoping for a higher dividend pay out by the Employees Provident Fund (EPF) this year to cope with the rising cost of living and the impact from the goods and services tax (GST), the Malaysian Trades Union Congress (MTUC) has said.

MTUC deputy secretary-general A. Balasubramaniam said the majority of the 10 million private sector workers were looking forward to a better dividend from the fund as it was the only source of savings for them.

“We have more than four million active contributors in EPF. Higher dividend would add more value to their retirement savings.

He said the highest dividend paid by EPF was at 6.75% for 2014, the highest since 1999. – Bernama, January 3, 2016.

– See more at: http://www.themalaysianinsider.com/malaysia/article/contributors-expecting-higher-epf-dividend-says-mtuc?utm_source=dlvr.it&utm_medium=twitter#sthash.ZCkZpRXP.dpuf

Star

Wednesday October 21, 2015 MYT 8:57:54 AM

EPF to pay 2.5% dividend under amended EPF Act

to pay 2.5% dividend under amended EPF Act

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KUALA LUMPUR: Contributors to the Employees Provident Fund (EPF) may choose to have a KWSP-I account managed and invested in compliance with Syariah principles when amendments to the Employees Provident Fund Act 1991 are passed.

Deputy Finance Minister Datuk Johari Abdul Ghani said the amendments to the Act 1991, tabled for second reading at the Dewan Rakyat on Tuesday, also provides for the establishment of a Syariah Advisory Committee and an Investment Panel to ensure syariah compliance.

“In line with the creation of the KWSP-I account, Section 27 will be amended to enable two dividend rates to be announced for EPF contributors,” he said.

Further under the new amendments, the EPF board may have the power to declare a dividend of not less than 2.5% per annum for members who have not elected for their accounts to be managed according to syariah principles.

The Bill also states that the EPF may have the power to declare a dividend of not less than 2.5% per annum for those whose elections have not taken effect.

“In respect of contributions made by the members of the Fund whose elections for their accounts be managed according to the Syariah under the proposed section 43A have come into effect, the Board shall declare dividend at any rates according to the actual performance of the investment made by the Board in relation to the accounts,” reads the Bill.

The proposed law also seeks to introduce a new definition of “loan” to include financing in accordance with syariah.

Apart from that, the Bill also seeks to introduce a new section to provide that any contribution that has been credited into the account of a member after he or she has attained the age of 55 may only be withdrawn when the member turns 60.

It also seeks to introduce a new section which states that no dividend shall be credited into the account of a member who is not a Malaysian if no contribution has been credited into his or her account over a period of three years.

http://www.thestar.com.my/News/Nation/2015/10/20/EPF-dividend-EPF-Act/

BUY A COPY OF FOCUS MALAYSIA TODAY. It’s only RM4.80 and could be the most relevant report you read today.

It features the EPF and the KLSE.

Copy of EPF 3 July 2015 001

Copy of EPF 3 July 2015 002

Copy of EPF 3 July 2015 003

Copy of EPF 3 July 2015 004

Copy of EPF 3 July 2015 005

Copy of EPF 3 July 2015 006

Copy of EPF 3 July 2015 007

EPF’s total portfolio exposure in GLCs totals RM79.99 billion as of 31 March 2015.

It loaned RM25 billion to Pembinaan PFI which has debts of up to RM26.6 billion.

It invested RM200 million in 1MDB.

Malaysian Insider

EPF loaned RM25 billion to debt-ridden Pembinaan PFI

Malaysia’s largest pension fund is the main creditor for the government-owned Pembinaan PFI Sdn Bhd, loaning RM25 billion to the construction company, but the Ministry of Finance has said the loan is guaranteed by revenue from leasebacks.

Finance minister Datuk Seri Najib Razak said the Employees Provident Fund’s (EPF) financing exposure in government-linked companies (GLCs) was in the form of fixed-rate loans and bonds or sukuk subscriptions were part of it, based on government guarantee, asset mortgage and bank guarantee.

In a parliamentary written reply, he said EPF only had investments of RM200 million in debt-laden 1Malaysia Development Berhad (1MDB).

“EPF’s investment in 1MDB is only limited to RM200 million where it is guaranteed by the Malaysian government.

“While EPF’s exposure towards Pembinaan PFI Sdn Bhd totalled RM25.29 billion, which is guaranteed by the lease back from the government of Malaysia,” he told Khalid Samad (PAS-Shah Alam).

These two are among EPF’s total portfolio exposure in GLCs totalling RM79.99 billion as of March 31 this year.

Pembinaan PFI Sdn Bhd has racked up debts of up to RM26.6 billion in just seven years since its inception.

– See more at: http://www.themalaysianinsider.com/malaysia/article/epf-loaned-rm25-billion-to-debt-ridden-pembinaan-pfi#sthash.ozK5LB88.dpuf

Less than a week after EPF assured us that their investment in 1MDB is safe, the Finance Ministry says that EPF’s investment in 1MDB is ‘slightly risky’!


Malaysian Insider

Now, Finance Ministry says EPF’s investment in 1MDB ‘slightly risky’

The Finance Ministry today said that the Employees Provident Fund’s (EPF) multi-billion ringgit investment in debt-ridden 1Malaysia Development Bhd (1MDB) carried a “small risk”, a week after the pension fund denied there would be any problems in the venture.

Deputy Finance Minister Datuk Ahmad Maslan said EPF had purchased RM200 million in bonds from 1MDB in 2009, which was completely guaranteed by the government, and invested RM1.52 billion in two other power assets that were eventually taken over by 1MDB.

However, he refused to elaborate on the “small risks” involved in the investments when questioned by reporters later in the Parliament lobby.

He told reporters to refer to the previous response of EPF chief executive officer Datuk Shahril Ridza Ridzuan, who had said that the bonds were not a risk.

Ahmad’s statement today differs from Shahril’s stand last Tuesday over the pension fund’s bond holdings in 1MDB.

– See more at: http://www.themalaysianinsider.com/malaysia/article/now-finance-ministry-says-epfs-investment-in-1mdb-slightly-risky#sthash.0QfCkMb7.dpuf

EPF assures us that their investment in 1MDB is safe.

Star

Wednesday May 20, 2015 MYT 6:44:50 AM

EPF: Investment in 1MDB bonds not risky

KUALA LUMPUR: The RM200mil 1Malaysia Development Bhd (1MDB) bond subscribed to by the Employees Provident Fund (EPF) in 2009 is not risky as it is guaranteed by the Government, said EPF chief executive officer Datuk Shahril Ridza Ridzuan.

He said the bond was highly secured and there was no risk to EPF’s investment.

http://www.thestar.com.my/News/Nation/2015/05/20/EPF-Investment-in-1MDB-bonds-not-risky/

Oh no! Just as we thought that the ‘cancer’ had not spread here to the EPF, we are told that

EPF had subscribed to RM200mil in bonds issued by 1MDB in 2009 and has exposure of RM1.5bil to 1MDB subsidiaries, Panglima Power Sdn Bhd (PPSB) and Jimah Energy Ventures Sdn Bhd (JEV).

Star

Tuesday May 19, 2015 MYT 11:45:55 AM

EPF, KWAP invested over RM3bil in 1MDB and subsidiaries

KUALA LUMPUR: The Employees Provident Fund (EPF) and Retirement Fund Inc (KWAP) have both invested in 1Malaysia Development Berhad (1MDB) and its subsidiaries.

In a written response to Rafizi Ramli (PKR-Pandan), the Finance Ministry said that EPF had subscribed to RM200mil in bonds issued by 1MDB in 2009.

The bonds, the ministry added, were guaranteed by the Government.

“EPF also has exposure of RM1.5bil to 1MDB subsidiaries, Panglima Power Sdn Bhd (PPSB) and Jimah Energy Ventures Sdn Bhd (JEV),” said the reply.

The ministry said the EPF’s investment in these subsidiaries, PPSB and JEV, took place in 2003 and 2005 before the government investment arm took over the companies in 2012 and 2014.

The ministry added that KWAP has invested a total of RM1.4bil in 1MDB and its subsidiaries as of Mar 31.

They were JEV, Bandar Malaysia Sdn Bhd, 1MDB Energy Limited and 1MDB Global Investment.

http://www.thestar.com.my/News/Nation/2015/05/19/EPF-KWAP-invested-in-1MDB/

Malay Mail Online

EPF says not offered to buy or invest in 1MDB’s land

KUALA LUMPUR, May 12 — The Employees Provident Fund (EPF) confirmed that it has not been approached to buy or invest in the debt-laden 1Malaysia Development Berhad’s lands or assets, financial daily The Edge reported today.

According to The Edge, the retirement fund was asked if it was weighing any deals involving land within 1MDB’s two planned development projects — Tun Razak Exchange and Bandar Malaysia.

“The EPF has not been approached regarding any purchase of or investment in 1MDB’s Tun Razak Exchange (TRX) land or any of their other assets,” an EPF spokesman was quoted as saying.

“The EPF always reviews any proposal for investment to determine whether it meets our risk-return criteria and has always applied the highest level of governance to ensure that our members’ interests are protected,” the spokesman added.

– See more at: http://www.themalaymailonline.com/malaysia/article/epf-says-not-offered-to-buy-or-invest-in-1mdbs-land#sthash.cFPP55Jr.dpuf

With 14,000,000 members, a total of 94,448 responses is not even 0.01%. That’s overwhelming response?

Star

EPF consultation on withdrawal gets overwhelming response

Wednesday, 6 May 2015

KUALA LUMPUR: The Employees Provident Fund’s (EPF) members’ consultation was completed with an overwhelming response with a strong support for the option to maintain a full withdrawal at age 55 as well as towards other initiatives.

EPF said on Wednesday that this has been the largest ever public consultation carried out in the country, receiving 94,448 responses from its members.

http://www.thestar.com.my/Business/Business-News/2015/05/06/EPF-consultation-receives-overwelming-response/?style=biz

Breaking News!

Star

Thursday April 23, 2015 MYT 10:54:50 AM

EPF withdrawal stays at 55, says Najib

KUALA LUMPUR: Members of the Employees Provident Fund (EPF) will retain their right to withdraw their money at the age of 55,  said Datuk Seri Najib Tun Razak on Thursday.

The Prime Minister said he was aware of the concerns by the public about any future changes to the EPF.

“In just two days of the online consultation process that was recently set up, more than 50,000 Malaysians have taken part and given their views.

“It is already the largest ever public consultation carried out,” he said.

Najib said the Government always listens to the views of the rakyat.

“It is clear that the vast majority of EPF members, while understanding the importance of retirement savings at the age of 60, want the right to use their retirement fund at the age of 55.

“I want to assure the rakyat that EPF members will retain their right to withdraw at the age of 55,” Najib said in his keynote address at Invest Malaysia 2015 at Mandarin Oriental KL.

He said EPF would ensure that any new enhancement will only apply to new contributors if members decide to work beyond 55.

http://www.thestar.com.my/News/Nation/2015/04/23/EPF-Najib/

THERE ARE 14,000,000 MEMBERS.

EPF receives feedback from 30,000 members on pension schemes – Bernama (See more at: http://www.themalaysianinsider.com/malaysia/article/epf-receives-feedback-from-30000-members-on-pension-schemes-bernama#sthash.TZPF6Tw9.dpuf)

The 1st day of EPF Survey netted 30,000 responses. Is that impressive?

NO.

Give EPF 31 days, a full month. At 30,000 responses a day, that means almost a million.

Let’s be optimistic and make it 100,000 responses a day, which means 3 million in 31 days.

With 14 million members, what about the remaining 11 million?

—–

Free Malaysia Today

EPF’s survey irrelevant, says Cuepacs

April 23, 2015

Open meeting between EPF and workers, employers would be more suitable.

KUALA LUMPUR: The online survey, i-Account conducted by the Employees’ Provident Fund (EPF) to obtain the views of contributors on aligning the age for full withdrawal to 60 years is not relevant, said the Congress of Unions of Employees in the Public and Civil Services (CUEPACS).

Its president Azih Muda said an open meeting between EPF and interested parties such as workers and employers would have been more suitable.

“It is obvious many do not agree with the proposal, EPF need not carry out the survey,” he said at a media conference here yesterday.

EPF recently asked its members to consider two options – to extend the full withdrawal age from 55 to 60 years in stages over a 15-year period or maintain the full withdrawal age at 55 for existing savings and introduce the
new withdrawal age at 60 for contributions of those working after the age of 55.

Azih said CUEPACS was firm on its stand that the proposal would cause retirees greater financial hardship with existing commitments such as house instalments and other expenditure.

http://www.freemalaysiatoday.com/category/nation/2015/04/23/epfs-survey-irrelevant-says-cuepacs/

In announcing the proposals yesterday, EPF chief executive officer Datuk Shahril Ridza Ridzuan had said the suggestions are gathered through a survey on the EPF website or at EPF branches nationwide.

HOWEVER, to take the survey (1) you must have an i-Akaun or (2) you must go to an EPF branch.

(1) How do you get an i-Akaun?

We are told:

Information on the proposals and options are available at the myEPF website at http://www.kwsp.gov.my.

Blogger: Why don’t you click on http://www.kwsp.gov.my? Just do it and see where it leads you! To a complicated website.

BLOGGER: TRY GOING TO THIS WEBSITE INSTEAD:

http://www.kwsp.gov.my/portal/en/member/faq/i-akaun
KWSP – i-Akaun – KWSP
http://www.kwsp.gov.my

Then go to the i-Akaun FAQ, and read until you get to:

» How do I register for the i-Akaun?

For members, you can obtain the Activation Code at any EPF Kiosk or Counter nearby by using your MyKad or contact the EPF Call Centre at 03-89226000. You are then required to visit the EPF website and click on ‘Login to i-Akaun (Member) >> i-Akaun Activation’ to activate your i-Akaun with the Activation Code within 30 days.

For employers, representatives who have been appointed to manage the i-Akaun for the company can visit any EPF counter to obtain the i-Akaun Activation Code using Form KWSP 1 or KWSP 1(i).

Upon receipt of Activation Code, visit the EPF website and click on Login to i-Akaun (Employer) >> i-Akaun Activation to activate your i-Akaun with the Activation Code within 30 days.

» What is the eligibility to register for the i-Akaun?

For members, you must own a MyKad and a valid EPF number.

For employers, a valid EPF number is required.

Blogger: Okay, see the process involved? Are you conversant with the computer and the Internet? Yes? Good for you. However, there are 6,000,000 members and the majority have no access to a computer or the Internet.

(2) What about going to an EPF branch? Spend money and time travelling to one. All 14,000,000 members! In 2 weeks?

Sigh.

The Star received 200 responses:

za

http://www.thestar.com.my/News/Nation/2015/04/22/Save-your-proposals-EPF-told/

Star

Wednesday April 22, 2015 MYT 6:59:55 AM

Most contributors not interested in other withdrawal options

PETALING JAYA: Keep your propo­sals, just show us our money at 55. That seems to be the opinion of an overwhelming majority of The Star readers who were polled on the four choices proposed by the Employee Provident Fund (EPF).

The majority of them responded to the two options in the first proposal – either to gradually raise the withdrawal age to 60 or to allow one withdrawal at 55 and then to lock in contributions until the age of 60.

The 200 or so Malaysians who responded to the two-day poll wanted a third option – to refuse both the options and just stick to the way things are now.

Many ridiculed EPF’s third proposal, which would pay dividends to members who chose to keep their money with the fund until they reach the age of 100.

“How many of us will live till 100? Even if we are still alive, at this age, what will we use the money for? Cannot walk properly, no teeth to enjoy good food,” said Sally Ng.

http://www.thestar.com.my/News/Nation/2015/04/22/Save-your-proposals-EPF-told/

Star

Wednesday April 22, 2015 MYT 6:37:53 AM

Many prefer to make full withdrawal at 55 instead of 60

PETALING JAYA: Having contributed to the Employee Provident Fund (EPF) for over two decades, Sarah Lim, is not happy with proposed changes which may delay full withdrawal until age 60.

The 46-year-old general manager of a freight forwarding company wants EPF to maintain the status quo.

The mother of three from Klang said she had already planned to withdraw and use the money for her children’s education when she turns 55.

“My husband and I have also worked too long and hard. We also wanted to use the money for the honeymoon we never had,” she said.

M. Susan, 35, said it should be left to contributors to decide what to do with their money.

The financial planner said it was not EPF’s job to determine how and when retirees should spend their own money.

“EPF has no right to dictate when people should withdraw their mo­­ney. It’s called employees fund for a reason. It belongs to us,” she said.

Susan said EPF’s second option to allow full withdrawal at 55 and the next withdrawal at 60 for the last five years of service is the rational choice.

http://www.thestar.com.my/News/Nation/2015/04/22/Many-prefer-to-make-full-withdrawal-at-55-instead-of-60/

EPF told to extend 2-week deadline to gather feedback

By Nuradzimmah Daim – 21 April 2015 @ 1:32 PM

KUALA LUMPUR: The Employees Provident Fund (EPF) have been asked to extend the two-week deadline to gather feedback on its proposed enhancements for its members which was announced yesterday.
..

Deputy Finance Minister Datuk Datuk Chua Tee Yong said the extension would allow it to reach out to more members before any decision is made.

“I can’t tell any set timeframe for the extension that EPF should implement as what is more important is for it to gather as many feedback as it can. It should also expand its channels for the members to air their opinion.

“What is the point of setting a deadline where many members are not able to express their views?” he said, adding that there are currently more than 6 million EPF members.

Malay Mail Online

Why people distrust EPF proposal, even if it sounds good

Ibrahim is a government pensioner but even he is against the proposal to change the age when private sector workers can withdraw their retirement savings, from 55 to 60.

Criticism of the Employees Provident Fund (EPF) proposal has highlighted once again, the problem of low wages among a majority of Malaysians which leads to paltry retirement savings.

Arguments that it would increase their savings are also being ignored as workers don’t trust Putrajaya to manage their money in the first place.

Plus, the proposal overlooked the vital fact that most Malaysians don’t spend their retirement savings wisely in the first place, said a financial planner.

“It does not matter if you take the savings out at 55 or 60, or how much money you have. If you don’t manage it properly, no matter how much you have, it will still run out in a few years,” said the financial planner, who requested anonymity.

Contributors are also sceptical of the proposal as it comes at a time when almost everyone knows of the 1Malaysian Development Berhad (1MDB) financial scandal and its consequences for the country.

“Many workers are losing confidence that the EPF is properly managing their money,” said Malaysian Trades Union Congress (MUTC) secretary-general N. Gopal Kishnam.

“There are worries that the money will be used for questionable business deals and that is a big worry among workers.”

– See more at: http://www.themalaysianinsider.com/malaysia/article/why-people-distrust-the-epf-proposal-even-if-it-sounds-good?utm_source=twitterfeed&utm_medium=twitter#sthash.NgMleCga.dpuf

Star

Tuesday April 21, 2015 MYT 7:32:19 AM

Four choices for EPF members

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KUALA LUMPUR: The Employees Provident Fund (EPF) has drawn up four proposals to boost contributors’ savings – and has left it to its 14 million members to decide on which they want to accept.

For two weeks from today (Tuesday), members will be able to give their views on the proposals online. The proposals include raising the age for full withdrawal from 55 to 60, a subject which has created much controversy.

http://www.thestar.com.my/News/Nation/2015/04/21/Four-choices-for-EPF-members-Fund-to-let-contributors-decide-and-give-their-views-online/

EPF offers four choices, seeks feedback from contributors

Proposal 1. Raise the full withdrawal age from 55 to 60, which will be implemented gradually over the space of 15 years.

Proposal 2. Maintain the current practice of allowing full withdrawal at the age of 55. Further contributions by the employer from the age of 55 can only be withdrawn upon retirement at 60.

Proposal 3. Extend dividend payments for members who choose keep their money with the fund, from the age of 75 to 100.

Proposal 4. Introduce Syariah-compliant retirement savings in addition to the existing retirement savings scheme. Members would be given the option to switch to Syariah compliant retirement savings when introduced.

Members can provide input and comments on the proposals for a two-week period through the EPF i-Akaun from Tuesday.

http://english.astroawani.com/malaysia-news/epf-offers-four-choices-seeks-feedback-contributors-58244

12:48PM Apr 16, 2015

Rafizi suggests compromise in withdrawal .

PKR vice president Rafizi Ramli today proposed a compromise solution to allow Employees Provident Fund (EPF) contributors to withdraw their money in stages beginning at age 55.

This comes after contributors being up in arms over EPF’s announced plan to raise the withdrawal age from 55 to 60 in line with the new retirement age.

Rafizi said he acknowledges EPF’s explanation that contributors may have insufficient amount of contribution if they were to withdraw it at age 55 and that it will deplete in a matter of a few years after withdrawal.

“Taking the above considerations, I propose that EPF contributors be allowed to make withdrawals in stage beginning at age 55 until 60.

“For example, contributors can choose to withdraw 60 percent of funds at age 55 and the remaining 40 percent at age 60,” Rafizi said in a statement.

Alternatively, he said it can be withdrawn at a ratio of 50:50 or 40:60 which can be left to contributors to choose.

http://www.malaysiakini.com/news/295444

EPF PROPOSES CHANGES TO WITHDRAWAL AGE: FROM 55 TO 60

Star

Tuesday April 14, 2015 MYT 7:36:37 AM

EPF plans programmes over proposed withdrawal age

PETALING JAYA: The Employees’ Provident Fund (EPF) will carry out a series of programmes next week to engage members over its proposal to increase the retirement savings withdrawal age from 55 currently to 60.

Its deputy chief executive officer (strategy) Tunku Alizakri Alias said the programmes were important as they would give the fund a chance to explain the benefits of the proposal.

Presently, he said many members were confused by the proposal, thinking that they could not make withdrawals for education, housing or medical treatment.

“Members must understand that they still can make such withdrawals from Account 2, even if full withdrawals were only to be allowed at 60,” he said in an interview here yesterday.

http://www.thestar.com.my/News/Nation/2015/04/14/EPF-plans-programmes-over-proposed-withdrawal-age/

KiniBiz

APRIL 10, 2015 6:01 PM

EPF mulls changing withdrawal age to 60

The Employees Provident Fund (EPF) is considering to realign its members’ withdrawal age for retirement savings closer towards the retirement age at 60, said chief executive officer, Shahril Ridza Ridzuan.

He said the country had to address the issue of withdrawal at 55 versus the new retirement age at 60, otherwise it would be a burden to the society to manage people who are retiring without enough money in their accounts.

Shahril cited independent research conducted by economists as well as EPF’s internal research that showed the average people tend to exhaust their retirement savings within three to five years after making full withdrawal.

“Roughly about 70% of people who withdraw their retirement savings in full will essentially deplete the money within three to five years time.

“Malaysians now make the withdrawal first (at 55) before actually retiring (at 60), and we are looking at this issue for the right policy response,” Shahril told a media briefing here today in conjunction with the release of the pension fund’s 2014 Annual Report.

He said while the EPF recommended an amount of at least RM196,800 upon retirement, statistics showed that only 22% of active 54-year-old contributors met this minimum last year.

Even more alarming, 68% of all EPF members of the same age had less than RM50,000 in their accounts, he said.

http://www.kinibiz.com/story/corporate/159824/epf-mulls-changing-withdrawal-age-to-60.html

Star

No GST for EPF withdrawals

Thursday, 2 April 2015

KUALA LUMPUR: The Employees Provident Fund (EPF) has informed its members that the goods and services tax (GST) will not be imposed on EPF withdrawals.

In a press release on Thursday, the EPF also advised its members not to appoint any agents or third parties to help in withdrawals.

“Members who meet the requirements are advised to deal directly with the EPF to make withdrawals,” it said.

On the EPF Members Investment Scheme, it would not impose GST on the amount transferred for investments.

http://www.thestar.com.my/Business/Business-News/2015/04/02/No-GST-for-EPF-withdrawals/?style=biz

Malaysian Insider

EPF to declare 6.75% dividend for 2014, highest since 1999, says source

The Employees Provident Fund (EPF) will declare a dividend of 6.75% for last year to its 14 million members, sources said.

The payment was the highest since 1999, when the dividend was 6.84%, the source said.

“EPF chief executive officer Datuk Shahril Ridza Ridzuan will make the official announcement tomorrow,”  the source told The Malaysian Insider.

The source said the EPF board met with stakeholders, including representatives of the government and employers, to convey its decision about the payout.

The Edge Financial Daily reported yesterday that the pension fund expected to sustain its high payout ratio by declaring a higher dividend payout for 2014 compared with 6.35% for 2013 and 6.15% for 2012.

http://www.themalaysianinsider.com/malaysia/article/epf-to-declare-6.75-dividend-for-2014-highest-since-1999-says-source

EPF CLARIFIES IMPORTANT ISSUES (AT LONG LAST)

EPF Response to Chain Emails on Nomination and Dividends on Monthly Housing Withdrawals

In the past, there were chain emails on Nomination and Dividends on Monthly Housing Withdrawals circulating which contained distorted information regarding the EPF. The EPF has responded to the chain emails through press releases and emails.

However, these emails have resurfaced once again. Below are the chain emails and the EPF’s responses to the said emails for your information.

2. Chain Email on Nomination
Subject: EPF Rules: A must read

If ONE (1) of your Nominees in the EPF Nominees list dies, automatically the whole
arrangement (EPF Nominees list) is VOID. Meaning if, you only put in One (1) name &
unfortunately he/she dies before you? Automatically EPF will channel your EPF
money to trustee of AMANAH RAYA upon your death.

Even though if you have few names in the EPF Nominees list, -the whole
arrangement is VOID & none of the individual names left in the EPF Nominees list will get their portion & automatically EPF will channel your EPF money to trustee of
AMANAH RAYA upon your death.

Piece of advice – if any of the your Nominees in the EPF Nominees list dies, please do immediately approach the nearest EPF counter & present the Death Certificate of the individual & register your NEW / LATEST Nominee in the EPF Nominees list + NEW /LATEST percentage.

If you & the other party (maybe spouse) involved in the same misfortune (accident/ illness) that caused death to both yourself /spouse please, please, please alert
your siblings / relatives / parents to immediately approach the nearest EPF counter & share the information within 3 days to AVOID all EPF money to be surrendered to trustee of AMANAH RAYA.

Upon surrender to trustee of AMANAH RAYA, your children will have to battle the money thru 3 channels;

• Majlis Agama
• Pejabat Tanah
• Mahkhamah


EPF’s Response

The EPF emphasizes that the information in the chain email is NOT TRUE.

If a member has nominated more than one beneficiary and one of them dies, only the portion that was bequeathed to the deceased beneficiary will be invalid.

If the member later dies without updating his/her nomination, the surviving beneficiaries
will receive their portion accordingly.

Only the portion that was bequeathed to the deceased beneficiary will subject to procedures under the “EPF savings without nomination” in which case priority for the right to claim the deceased member’s savings shall go to next of kin or appointed administrator of the deceased member’s estate.

Hence, it is not true that when a member has named more than one beneficiary, the entire nomination will be deemed void when one of the beneficiaries dies before the member.

However, if a member has named only one beneficiary and the beneficiary dies before the member, the nomination will then be deemed void unless a new beneficiary is
nominated.

Please note that members do not have to produce the death certificate of a deceased
Beneficiary to change their nomination. Members can change or update their nomination anytime by completing a new KWSP 4 Form. This will automatically revoke any earlier nomination made.

Another allegation in the chain email which mentioned that members need to go to the EPF counter within three (3) days to avoid the EPF savings being “surrendered to Amanah Raya” if no nomination is made or if a beneficiary and the member die at the
same time is also not true.

If a member dies without nominating a beneficiary and depending on the amount the
member has in his/her EPF account, the following conditions will apply:

If the member has less than RM25,000in his/her EPF Account, the initial sum of RM2,500 will be paid to his/her next of kin.The balance will be paid two months after
the member’s death.

If the member has more than RM25,000 in his/her EPF Account, the initial sum of RM2,500 will be paid to his/her next of kin.

The second payment (not more than RM17,500) will be paid to the next of kin two
months after date of death.

The balance of the savings will be paid upon submitting the Letter of Administration/Grant of Probate/Distribution Order/Faraid Certificate from estate administrators such as Amanah Raya Berhad or the Court or the Land Office.

The EPF wishes to remind that obtaining these documents can be time-consuming and fees may be imposed by the issuing authorities.

By nominating beneficiary(s), members will be able to ensure that all the documents
will not be necessary and that the withdrawal process by his/her beneficiary(s) will be hassle-free and free of any charge.

For Muslim members, the Faraid Law will apply, in which case the beneficiary will act as an administrator or “wasi” who will be responsible for distributing the savings in accordance to the Faraid Law.
This is why nomination is very important.

Members are also advised to check their nomination and update if and when necessary, particularly if the member has gone through life-changing events such as marriage, divorce or birth of a child.

-End-

Click to access 15_04_2014_-_Star_-_Nomination_Chain_Email_Final-1__website_version_-clean.pdf

1. Chain Email on EPF Death Benefit
ATTENTION to everyone who has an EPF account!!!

No matter how old are you, no matter how long you have held your EPF account, no matter how much money you have in you EPF account, and no matter how long you have paid for your EPF, according to Government Law, EPF will need to pay RM 2000 to an EPF account holder’s family when he/she died (family members need to claim the RM 2000 within 2 months).

EPF never inform us about this, I reckon very few people’s family did actually
receive this RM 2000 when his/her family member died because not many people know about this.

Where did this RM 2000 goes when the died’s family did not claim for RM 2000? someone’s pocket?? We don’t know!

So please bombarded this info to all your families, relatives, colleagues and friends, let them know about this info and remember to claim RM 2000 when his/her family die.

Don’t let this RM 2000 goes to someone’s pocket!!
EPF’s Response
The above email contained untruthful accusation. The EPF would like to inform its members that a Death Benefit payment of RM2,500 will be presented to the dependents of the deceased members as a gesture of compassion and to ease their financial burden.

However, this benefit will only be given once and subject to the following conditions:

•Malaysian citizen;
•Member has not reached the age of 55 at time of death;
•Application for Death Withdrawal is made within 6 months from the date of the demise of the member.

The Death Benefit is payable to the members’ dependent or next-of-kin when the application for Death Withdrawal is made.

The EPF would also like to emphasise that the money for Death Benefit comes from EPF’s investment earnings and not from the members’ savings. If the dependent does not qualify under the conditions for Death Bent, the money will still remain with the EPF to be distributed to all members as annual dividend.

Corporate Affairs Department
Employees Provident Fund
Date: 7 October 201

Chain Email on EPF Death Benefit

http://www.kwsp.gov.my/portal/documents/10180/4230235/Chain_Email_on_EPF_Death_Benefit.p

DID YOUR HOUSE GET DROWNED? OR THE HOUSES OF KIN AND FRIENDS?

YOU CAN WITHDRAW YOUR MONEY AT THE EPF TO REBUILD YOUR HOME!

Here’s an important  requirement: To be eligible for the withdrawal to build a second home, members are required to obtain a confirmation from the local city council, municipal council or head of village, that their houses, previously purchased or built under the EPF housing withdrawal scheme, have been destroyed in the recent flooding.

EPF withdrawals for flood victims to rebuild homes

Victims of the recent floods will be allowed to utilise their Employees Provident Fund (EPF) savings to purchase or rebuild their homes, according to a statement by the EPF.

“Withdrawals will be from the EPF Account 2. Those who have never made housing withdrawals and wish to rebuild their homes destroyed by the floods can do so by applying for the withdrawal to purchase or build a house,” said EPF in the statement.

Disposal of ownership refers to the loss of ownership of the first house owned through previous EPF withdrawal due to several conditions including the destruction of the house caused by natural disaster (such as flooding, earthquake and landslide), fire, abandoned housing project or cancellation of purchase.

“The EPF will assess the property and verify the amount needed to purchase or rebuild the house, and check the balance of savings members have in their Account 2. The eligibility for withdrawal is subject to other terms and conditions,” said EPF.

CONTACT THE EPF AT: EPF Call Centre at 03-8922 6000
or log onto the EPF website at www.kwsp.gov.my

http://www.kinibiz.com/story/corporate/138458

Star

Tuesday January 6, 2015 MYT 8:32:17 AM

EPF online withdrawal facility for housing loans

PETALING JAYA: Employees Provident Fund (EPF) contributors who have housing loans with Maybank or RHB Bank now have the option of submitting their EPF withdrawal applications online.

EPF contributors can use the e-Pengeluaran facility to apply for withdrawals to repay their monthly housing loan instalments or reduce or redeem their housing loan balance with these banks.

However, this service is only applicable to contributors who have already made such withdrawals before.

To be eligible, the EPF contributor must be the buyer and owner of the house as well as the borrower of the housing loan from either RHB Bank or Maybank

http://www.thestar.com.my/News/Nation/2015/01/06/EPF-online-withdrawal-facility-for-housing-loans/

會員必須是電子戶頭(i-Akaun)的註冊用戶才能使用電子提款(e-Pengeluaran)設施進行網上申請,通過公積金戶頭的存款償還每月的房屋貸款… http://bit.ly/1vRAedC

za

Malay Mail Online

EPF goes after Perwaja over arrears in monthly contribution

Published: December 23, 2014 09:33 PM

KUALA LUMPUR, Dec 23 — The Employees Provident Fund (EPF) has taken legal action, including prosecution and civil suits against Perwaja Steel (Kemaman) Sdn Bhd (PSSB) and its directors for not making monthly contributions worth RM9.17 million.

EPF deputy chief executive officer of operations, Datuk Mohd Naim Daruwish in a media statement here said the amount in arrears included contributions from August 2013 to September 2014.

“The EPF has completed investigations into PSSB Kemaman and there are civil suits which have not been settled by the management and directors of the company at the Kuala Terengganu High Court to get back the outstanding contributions.

“The EPF has informed the company’s directors about the outstanding contributions in efforts to recover the money, including preventing them from leaving the country, under the provisions of Section 39 of the EPF Act 1991,” he said.

http://www.themalaymailonline.com/malaysia/article/epf-goes-after-perwaja-over-arrears-in-monthly-contribution

The rumour was unfounded. No change in the age of withdrawal. It is still 55.

Star

Monday November 17, 2014 MYT 9:50:15 PM

EPF withdrawal age remains at 55

PETALING JAYA: The Employees Providend Fund (EPF) has reiterated that the age for full EPF withdrawal is at 55.

In a statement on Monday, EPF said the savings were meant for retirement, and that 55 is the minimum retirement age in this country.

However, EPF said that the matter is still being studied and it is obtaining feedback from stakeholders and members.

There were suggestions to extend the age limit of full withdrawal to 60.

http://www.thestar.com.my/News/Nation/2014/11/17/EPF-age-55/

*THERE IS NO DEATH BENEFIT ONCE YOU REACH THE AGE OF 55! Your benificiary/nominee won’t get the RM2,500.

THE DEATH BENEFIT: RM2,500.

The death benefit is a compassionate aid to sympathise, help with the funeral arrangement and reduce the financial burden of dependants.

1. 1984-2013: RM1.18 billion in death benefit to beneficiaries or nominees of members.

2. 2007 to Oct 2014:
(a) Beneficiaries of 119,065 members received the death benefit.

(b)  Beneficiaries of 6,212 members did not receive the death benefit.

3. Why was the death benefit not received?
Factors included
(a) Making the application more than six months from the date of death.
(b) No savings in the member’s account when the application was.
(c) The beneficiary named as nominee did not meet the conditions.
(d) The beneficiary died after reaching 55 years-old and the application was received within six months from the date of death.

theSundaily, EPF gives RM1.18b in death benefit to beneficiaries of members
Posted on 4 November 2014 – 05:37pm
http://www.thesundaily.my/news/1217479

Members who encounter any instances of fraud or attempts to commit fraud relating to EPF withdrawals are urged to report it to the EPF anti-fraud hotline at 03-26162121.

EPF does not appoint or endorse any third party to facilitate members’ application for withdrawals,” said Nik Affendi, adding that members who wish to make withdrawals from their account can deal directly with EPF, which offers withdrawal services free of charge.

theSundaily

EPF warns members against using withdrawal agents

PETALING JAYA: The Employees Provident Fund (EPF) today cautioned its members against abetting with syndicates or agents who offer assistance to purportedly help them withdraw their EPF savings in return for a fee.

EPF head of corporate affairs Nik Affendi Jaafar said: “EPF views fraudulent withdrawals as a serious offence and will not hesitate to take stern action against members withdrawing their retirement savings via fraudulent means.”

Members, particularly those who are in need of cash, are reminded to be vigilant over advertisements on several websites or agents who distribute business cards and flyers offering services to assist members to withdraw their EPF savings.

Fraudulent withdrawals, which involve the submission of falsified documents by members to facilitate the approval of withdrawals from their own EPF accounts, is an offence under the EPF Act 1991. Under the Act, members found guilty of a fraudulent withdrawal are liable to a maximum jail sentence of three years or a fine of RM10,000, or both.

http://www.thesundaily.my/news/1212319

YAHOO! NEWS MALAYSIA

Retirement crisis brewing as EPF savings suggest pensioner poverty

KUALA LUMPUR, Oct 5 ― Malaysia may be headed for a retirement crisis as tens of thousands of Malaysians depart the workforce for their golden years with less savings than is needed to keep them out of poverty.

According to recent figures from the Employees Provident Fund (EPF), the approximately 70,000 active 54-year-old contributors have an average savings of just under RM167,000 last year. The recommended minimum savings level is RM196,800.

The situation is made more alarming by the revelation that 69 per cent of all EPF contributors of the same age have less than RM50,000 in their accounts, as made known by the fund’s chief executive, Datuk Shahril Ridza Ridzuan, last month.

But even RM167,000 is scant consolation. As the average Malaysian expected to live until 75, retiring at 60 with that amount would mean surviving on just RM700 a month for the rest of their days.

With that amount, retirees would technically slip below the RM830 per month threshold that is indicative of poverty conditions in peninsular Malaysia, based on the Statistics Department’s poverty line income (PLI) for 2012.

According to Harveston Wealth Management financial adviser Annie Hor, a nest egg of RM167,000 could be made to last, but only if the retiree is completely free of debt and need not pay for accommodation.

“Otherwise you would be suffering a bit because if you just want a simple life, with three meals a day, maybe just get from point A to point B, petrol, you would need at least RM1,000 to 2,000 per month because, not forgetting when you are older, medical bills are expensive,” she told Malay Mail Online recently.

THIS IS AN IMPORTANT ARTICLE. Click on the link below to read the whole write-up:

https://my.news.yahoo.com/retirement-crisis-brewing-epf-savings-suggest-pensioner-poverty-225700733.html

According to recent figures from the Employees Provident Fund (EPF), the approximately 70,000 active 54-year-old contributors have an average savings of just under RM167,000 last year.

https://my.news.yahoo.com/retirement-crisis-brewing-epf-savings-suggest-pensioner-poverty-225700733.html

THE SITUATION AS IT STANDS:
1. In 2008, the EPF decided on a policy of not paying dividends to account holders above the age of 75.
2. However, it had not implemented the policy yet and all members who have savings in the fund, including those aged 75 and above, have been receiving their due dividends.

theSundaily

EPF refutes report that members above 75 get no dividend

PETALING JAYA: The Employees Provident Fund (EPF) may decide not to implement its 2008 policy of not paying dividends to account holders above the age of 75.

The fund said yesterday it is amending the EPF Act 1991 “to ensure that members receive a stream of income from their savings, even after they retire”.

Commenting on theSun‘s front page story titled “Zero dividends” which raised an outcry over the issue, the EPF clarified that it had yet to implement the policy and that all members who have savings in the fund, including those aged 75 and above, have been receiving their due dividends.

theSun reported yesterday that there are some 260,000 contributors aged above 75, who may have been earning zero dividends, because of the policy.

Admitting, however, that there is a policy to that effect, an EPF spokesman said this was why the fund has been advising members who have reached the age of 75 to take their money from the fund.

In a post in the EPF website dated Oct 10, 2012 the fund said members who have attained the age of 75 are encouraged to withdraw all their savings as after aged 75, no dividend will be paid.

EPF said the policy has not been implemented other than to encourage members to be aware of the risk of their money being transferred to unclaimed moneys if they are not utilised.

Among those who raised an outcry yesterday was former transport ministry secretary-general Tan Sri Ramon Navaratnam, currently a corporate adviser to the Sunway Group, who still works and contributes to the fund at the age of 79.

“It’s unfair to deny senior citizens of their annual dividend,” said Navaratnam, who is also the National Unity Consultative Council’s inclusive development committee chairman.

“If ever EPF decides to change its policy or Act to not pay its contributors after a certain age, then it must inform them individually. Many people at that elderly age do not usually keep abreast of developments on the internet and thus it’s better to inform them so that they can make a decision,” he said.

Navaratnam added that he was not aware of the 2008 policy.

http://www.thesundaily.my/news/1176988

SHAME ON YOU, EPF!

theSundaily

260,000 EPF accounts earn zero dividends

KUALA LUMPUR: Several million ringgit in the Employees Provident Fund (EPF) accounts of some 260,000 contributors aged above 75, have been earning zero dividends.

Whether it is known to them or not, the EPF has since 2008 stopped paying dividends to account holders once they turn 75.

EPF corporate affairs unit head Nik Affendi Jaafar, who confirmed the existence of the policy, said despite this, some 260,000 members have retained their money in the fund.

“This policy should be reviewed immediately as it is an ‘unfair’ policy,” said former Malaysian Trades Union Congress (MTUC) president Tan Sri Zainal Rampak when asked by theSun for his views on this recent discovery.

“Why should EPF stop paying dividends just because the account holder is 75 or older?” asked a bewildered Zainal, who said he is unaware of the policy.

“I am very sure most EPF contributors are also in the dark about this,” said Zainal, who called on EPF to continue paying dividends to all contributors irrespective of their age, and more so if they are old and still working and contributing.

“EPF uses the contributors’ money to invest and gain much more. We all know that the government uses funds from EPF for the nation’s development. They owe the workers for this.”

“In fact, beyond just revoking this absurd and discriminatory policy, the EPF should retrospectively credit back all the unpaid dividends to the accounts of the affected senior citizens since 2008,” Zainal said.

EPF had earlier confirmed that no dividend is paid to contributors from age 75 onwards and urged members not to keep their money in the fund beyond that age.

Meanwhile, in explaining the policy, Nik Affendi said EPF contributions are meant to act as a retirement fund and not a savings account.

http://www.thesundaily.my/news/1175991

—–

WELL DONE, EPF!

Free Malaysia Today

No EPF payment, 249 directors can’t leave the country

September 17, 2014

Errant employers were fined RM162,200 by the courts

KUALA LUMPUR: A total of 249 names of company directors have been submitted to the Immigration Department to prevent them from leaving the country for not settling their Employees Provident Fund (EPF) contribution arrears.

In a statement today, EPF said the names submitted was for the second quarter of the year.

Head of Corporate Affairs Nik Affendi Jaafar said the EPF would not hesitate to take firm action against employers and company directors who failed to remit their employees’ monthly EPF contributions.

During the quarter, 114 errant employers were fined RM162,200 by the courts under Section 43(2) of the EPF Act 1991.

A total of 270 civil suits were filed with the courts against company directors while 843 criminal cases were filed against employers who have defaulted on their employees’ monthly EPF contributions.

Among the errant employers were Jimat Padu Enterprise from Sarawak, which received the highest fine of RM6,000.

Kok Ann Construction Works (M) Sdn Bhd (Selangor) was fined RM5,300; Konsultant Timur (Sarawak) and two Penang-based companies — Kleasound Sdn Bhd and Bright Formula (M) Sdn Bhd (RM5,000 each); and LD Technologies (M) Sdn Bhd (Kedah) was fined RM4,000.

http://www.freemalaysiatoday.com/category/nation/2014/09/17/no-epf-payment-49-directors-cant-leave-the-country/

TWO FACTS ARE IMPORTANT!

1. The death benefit is not automatic. An application must be made within 6 months of the date of the member’s death. The Death Certificate, Marriage Certificate and other relevant documents are necessary for this application.

2. The Incapacitation Benefit: the member must be a Malaysian citizen who has not reached the age of 55. Applications for incapacitation withdrawal must be made within 12 months from the date of unemployment/termination.

The final service duration must be in at least 6 continuous months and if terminated by the employer, it must be due to incapacitation and not on voluntary basis or disciplinary action.

*More details are available in the EPF website under “Benefits As An EPF Member” within “Member’s Responsibility” and “Registration” link.

Star

Friday September 12, 2014 MYT 11:34:57 AM

Chua Tee Yong: EPF approved RM21mil in death benefits in first half of 2014

PETALING JAYA: The Employees Provident Fund (EPF) has approved a total of 8.410 cases for death benefit totalling to RM21mil this year, said Deputy Finance Minister Datuk Chua Tee Yong.

He said it has come to his attention that there were sections of the public who were not aware that the EPF aside has other benefits for its members and their families in times of need, beyond safeguarding our lifelong retirement fund.

Among these are “death and incapacitation benefits” which are not paid from the members’ savings but from EPF’s investment earnings.

“These benefits however are not automatically paid in the event of the member’s death. The member’s nominee or next-of-kin may apply to withdraw the member’s savings and payment is subject to the terms and conditions under Death Withdrawal,” he said in a statement on Friday.

Chua, who is MCA vice president, said to be eligible for the death benefit, the deceased member must be a Malaysian citizen who must not have reached the age of 55 at the time of death and has savings in his or her account.

“Applications must be made within six months of the date of the member’s death. The Death Certificate, Marriage Certificate and other relevant documents are necessary for this application.

“For Incapacitation Benefit, the member must be a Malaysian citizen who has not attained the age of 55. Applications for incapacitation withdrawal must be made within 12 months from the date of unemployment/termination.

The final service duration must be in at least six continuous months and if terminated by the employer, it must be due to incapacitation and not on voluntary basis or disciplinary action,” he said.

http://www.thestar.com.my/News/Nation/2014/09/12/EPF-death-and-incapitation-benefits/

THE FOLLOWING FACTS ARE NOT ENCOURAGING!

Did you know that 69% of EPF members aged 54 had less than RM50,000 in savings as of Dec 31 2013?

At an average spending of RM800 per month, which is equivalent to the current poverty line income, the savings of RM50,000 can only last five years. That means by 60, all that money will be spent! However, life expectancy is 15 years. Where will the money come from at 61-75 years of age?

Given the above, will it mean what I think it means?Your EPF contribution (and that of your employers) will have to go up from the current rates?

Read: Free Malaysia Today, Retirees’ EPF funds barely enough to last five years
(http://www.freemalaysiatoday.com/category/nation/2014/09/09/retirees-epf-funds-barely-enough-to-last-5-years/)

—–

A QUICK DECISION!

This person with withdraw all her EPF money.

Someone has been keeping her EPF money in her EPF account although she could have taken everything out 5 years ago (at 55). The dividend pay-out by EPF has been higher, and with compound interest, the sum in her account has grown much more quickly than if it had been in fixed deposit.

“No more,” she says. “I would rather earn less in fixed deposit than have my nominees or heirs encounter such problems posed by the new EPF rules in the eventuality that a nominee dies or my spouse and I die in the same accident.”

She will withdraw every single sen.

Read the following article!

THIS WAS SENT TO BE BY A FACEBOOK FRIEND

I have edited it for easier reading.

Alert : NEW EPF RULES

If ONE (1) of your Nominees in the EPF Nominees list dies, automatically the whole arrangement (EPF Nominees list) is VOID.

This means that if you only put in One (1) name & unfortunately he/she dies before you, automatically EPF will channel your EPF money to the trustee of AMANAH RAYA upon your death.

Even if you have a few names in the EPF Nominees list,  the whole arrangement is VOID & none of the individual names left in the EPF Nominees list will get their portion & automatically EPF will channel your EPF money to the trustee of AMANAH RAYA upon your death.

Piece of advice: if any of the your Nominees in the EPF Nominees list dies, please do immediately approach the nearest EPF counter & present the Death Certificate of the individual & register your NEW/LATEST Nominee in the EPF Nominees list + NEW / LATEST percentage.

If you & the other party (maybe your spouse) are involved in the same misfortune (accident/illness) that caused death to both you/spouse, all EPF money will be surrendered to trustee of AMANAH RAYA.

To avoid this, inform your siblings/relatives/parents NOW to immediately approach the nearest EPF counter & share the information within 3 days to AVOID all EPF money being surrendered to the trustee of AMANAH RAYA.

Once the money goes to the trustee of AMANAH RAYA, your children will have to battle the money through 3 channels: Majlis Agama, Pejabat Tanah and the Court. The normal period is 2-3 years.

READ THE FOLLOWING:

VERY IMPORTANT INFORMATION!

Someone told someone who told me that if you don’t change your beneficiary or renew it after 55, and you die, the money goes to unclaimed monies.

YES, IT IS TRUE. I was at the EPF office on Friday, 27 June 2014.

1. At 55, even if you don’t withdraw the money, you need to go to the EPF office to UPDATE them on your beneficiary or beneficiaries.

2. If you have withdrawn all the money at 55 but you are still working and get EPF from your employer, you will also need to go to the EPF office to UPDATE them on your beneficiary or beneficiaries.

3. The procedure is simple. Get a form, fill it in, and bring it personally to the EPF office.

As long as the form is complete, which includes having the member’s thumbprint and witness’s signature on the document, there is no necessity for a member to bring a witness along to the EPF branch, he added.

However, a beneficiary can’t be a witness!

4. EPF members who wish to make or update their nomination can do so by completing a KWSP 4 Form which can be obtained from the nearest EPF branch or downloaded from myEPF website (www.kwsp.gov.my).

(NOTE: KWSP 4 FORM FROM THE WEB IS PROBABLY NOT CORRECT. I think it was meant for submission through the website, but now, we have to do it  personally.)

EPF Reminds Members Nominations Via Mail To Cease

The Employees Provident Fund (EPF) today reiterated that members who wish to submit their nomination forms would now need to do so in person at EPF branches effective 1 August 2012. Submission of nomination forms via mail as in the past would no longer be accepted and processed.

In a final reminder to members before implementing the new ruling, EPF Public Relations General Manager Encik Nik Affendi Jaafar said, “The decision to stop accepting nomination forms via mail was made to protect the interest of our 13 million members given the confidential and important nature of a member’s nomination form which determines the beneficiary to the member’s savings in the event of death.”

He added that in protecting the confidentiality and authenticity of members’ nominations, submissions by members’ relatives, friends, or third parties would also not be accepted and therefore, be rejected.

“By getting members to submit their nomination form in person to any EPF branch, we are able to verify its authenticity thereby preventing any attempt at fraud by third parties. Furthermore, we are able to validate with the members on the spot about the particulars of the beneficiaries such as the spelling of their names, their MyKad numbers and also the percentage of savings apportioned if more than one beneficiary is nominated,” he explained.

As long as the form is complete, which includes having the member’s thumbprint and witness’s signature on the document, there is also no necessity for a member to bring a witness along to the EPF branch, he added.

Members who have yet to nominate should do so as soon as possible but are advised to make their nomination when they are still healthy and of sound mind. This is to ensure that their EPF savings will go to their intended beneficiary and avoid any attempt by dishonest parties to wrongly influence a member’s decision when he or she is facing physical or mental illness.

“Without a nomination, the family or next-of-kin of the deceased member will endure a lengthy and time-consuming process to claim the member’s savings. It takes time to produce a Letter of Administration, Letter of Probate, Distribution Order or Faraid Certificate from the relevant authorities to substantiate a claim on the deceased member’s EPF savings. With a nomination in place, there is no necessity to go through the inconvenience of having to produce these documents,” said Nik Affendi.

EPF members who wish to make or update their nomination can do so by completing a KWSP 4 Form which can be obtained from the nearest EPF branch or downloaded from myEPF website (www.kwsp.gov.my). For further information, members can call the EPF Contact Centre at 03 – 8922 6000 (7.30 am to 7.30 pm from Monday to Friday) or submit their query online via http://enquiry.kwsp.gov.my.

EPF Reminds Members Nominations Via Mail To – KWSP

—–

Star

Tuesday September 2, 2014 MYT 6:19:08 PM

EPF’S income up 13% to RM10.4bil

KUALA LUMPUR: The Employees Provident Fund (EPF) recorded a 13.47% surge in investment income to RM10.4bil for the second quarter ended June 30, 2014 compared with RM9.16bil last year.

Its chief executive officer, Datuk Shahril Ridza Ridzuan said on Tuesday the improved global and the emerging markets investment climate had facilitated EPF in carrying out investment and profit taking activities,

“We are able to maintain the previous quarter’s momentum on the back of a stable and encouraging Malaysian economy,” he said in a statement.

The EPF would continue to diversify into alternative investments, namely real assets, comprising both real estates and infrastructures, amid the rising trend in inflation.

http://www.thestar.com.my/Business/Business-News/2014/09/02/EPFS-INCOME-UP-13-PCT-TO-RM10BLN-IN-Q2-201/

—–

Under the Act, members found guilty of fraudulent withdrawal are liable to a maximum jail sentence of three years or RM10,000 fine, or both.

Star

Seven EPF members convicted for fraudulent housing withdrawals

KUALA LUMPUR: Seven members of the Employees Provident Fund (EPF) were convicted by the courts for fraudulent housing withdrawals in the second quarter of this year.

EPF said the seven were convicted under Section 59 of the EPF Act 1991 and fined a total of RM8,700 by the courts.

EPF Head of Corporate Affairs Nik Affendi Jaafar said the retirement savings fund viewed fraudulent claims by members seriously and would not hesitate to take legal action against dishonest members.

“We also do not deny the involvement of third parties or syndicates who helped desperate members withdraw from their EPF savings through fraudulent means,” Affendi said in a statement. – Bernama

http://www.thesundaily.my/news/1144655

—–

VERY IMPORTANT INFORMATION!

Someone told someone who told me that if you don’t change your beneficiary or renew it after 55, and you die, the money goes to unclaimed monies.

YES, IT IS TRUE. I was at the EPF office on Friday, 27 June 2014.

1. At 55, even if you don’t withdraw the money, you need to go to the EPF office to UPDATE them on your beneficiary or beneficiaries.

2. If you have withdrawn all the money at 55 but you are still working and get EPF from your employer, you will also need to go to the EPF office to UPDATE them on your beneficiary or beneficiaries.

3. The procedure is simple. Get a form, fill it in, and bring it personally to the EPF office.

As long as the form is complete, which includes having the member’s thumbprint and witness’s signature on the document, there is no necessity for a member to bring a witness along to the EPF branch, he added.

However, a beneficiary can’t be a witness!

4. EPF members who wish to make or update their nomination can do so by completing a KWSP 4 Form which can be obtained from the nearest EPF branch or downloaded from myEPF website (www.kwsp.gov.my).

(NOTE: KWSP 4 FORM FROM THE WEB IS PROBABLY NOT CORRECT. I think it was meant for submission through the website, but now, we have to do it  personally.)

…..

HERE ARE THE:
1. INSTRUCTIONS
2. EXAMPLE
3. FORM (WHICH YOU COULD PRINT OUT FROM HERE)

IMG_0003

IMG_0002

Click on the next form and you could probably download it and print it out. That would save a trip to the EPF office.

Use BLACK INK when you fill in the form!

IMG_0004

 PERINGATAN PENTING:

Ahli dinasihatan supaya membuat penamaan secara bijaksana dengan mengambilkira kepentingan semua waris dan melakukannya dalam keadaan yang sedar atas semua implikasi. Ahli juga perlu sentiasa menyemak status penamaan dari semasa ke semasa dan mengemaskinikannya, sekiranya perlu.

Google translation (as always, not altogether accurate)

IMPORTANT:
The nominees are advised to take
into account the interests of all beneficiaries and the implications. Members should also check the status of the nomination from time to time and update it, if necessary.

—–

*DID YOU KNOW ABOUT THIS?

1. Incapacitation Benefit (RM5,000)
Claim to be made within 12 months from date of loss of employment or termination of employment

2.Death Benefit (RM2,500)
Claim to be made within 6 months from date of member’s death

EPF Reminds Members Nominations Via Mail To Cease

The Employees Provident Fund (EPF) today reiterated that members who wish to submit their nomination forms would now need to do so in person at EPF branches effective 1 August 2012. Submission of nomination forms via mail as in the past would no longer be accepted and processed.

In a final reminder to members before implementing the new ruling, EPF Public Relations General Manager Encik Nik Affendi Jaafar said, “The decision to stop accepting nomination forms via mail was made to protect the interest of our 13 million members given the confidential and important nature of a member’s nomination form which determines the beneficiary to the member’s savings in the event of death.”

He added that in protecting the confidentiality and authenticity of members’ nominations, submissions by members’ relatives, friends, or third parties would also not be accepted and therefore, be rejected.

“By getting members to submit their nomination form in person to any EPF branch, we are able to verify its authenticity thereby preventing any attempt at fraud by third parties. Furthermore, we are able to validate with the members on the spot about the particulars of the beneficiaries such as the spelling of their names, their MyKad numbers and also the percentage of savings apportioned if more than one beneficiary is nominated,” he explained.

As long as the form is complete, which includes having the member’s thumbprint and witness’s signature on the document, there is also no necessity for a member to bring a witness along to the EPF branch, he added.

Members who have yet to nominate should do so as soon as possible but are advised to make their nomination when they are still healthy and of sound mind. This is to ensure that their EPF savings will go to their intended beneficiary and avoid any attempt by dishonest parties to wrongly influence a member’s decision when he or she is facing physical or mental illness.

“Without a nomination, the family or next-of-kin of the deceased member will endure a lengthy and time-consuming process to claim the member’s savings. It takes time to produce a Letter of Administration, Letter of Probate, Distribution Order or Faraid Certificate from the relevant authorities to substantiate a claim on the deceased member’s EPF savings. With a nomination in place, there is no necessity to go through the inconvenience of having to produce these documents,” said Nik Affendi.

EPF members who wish to make or update their nomination can do so by completing a KWSP 4 Form which can be obtained from the nearest EPF branch or downloaded from myEPF website (www.kwsp.gov.my). For further information, members can call the EPF Contact Centre at 03 – 8922 6000 (7.30 am to 7.30 pm from Monday to Friday) or submit their query online via http://enquiry.kwsp.gov.my.

EPF Reminds Members Nominations Via Mail To – KWSP

Jul 26, 2012 – The Employees Provident Fund (EPF) today reiterated that members … of a member’s nomination form which determines the beneficiary to the

—–

IMPORTANT MATTERS

*Fraud –Forged Documents

General & Additional Penalty
Return withdrawn amount in 6 months or less from the date of conviction – May apply to withdraw after 2 years.
Return withdrawn amount after 6 months/fail to return – shall not withdraw thereafter

General penalty – 3- year imprisonment @ fine not exceeding RM10,000 @ both.

*Disputing Authenticity of Withdrawal

Can dispute within 6 years

Under the Act, members found guilty of fraudulent withdrawal are liable to a maximum jail sentence of three years or RM10,000 fine, or both.

NST

Six EPF members fined for fraudulent housing withdrawals

KUALA LUMPUR: The Employees Provident Fund (EPF), Malaysia’s premier retirement savings fund, said six members were convicted by the courts in the first quarter this year for fraudulent housing withdrawals.

*IS THIS TRUE?

Someone told someone who told me that if you don’t change your beneficiary or renew it after 55, and you die, the money goes to unclaimed monies.

Is that a rumour or fact?

This week, I will visit the EPF office and ask them.

Come back for the answer.

*DID YOU KNOW ABOUT THIS?

1. Incapacitation Benefit (RM5,000)
Claim to be made within 12 months from date of loss of employment or termination of employment

2.Death Benefit (RM2,500)
Claim to be made within 6 months from date of member’s death

*LATEST ABOUT WITHDRAWALS FOR THOSE 55 AND ABOVE

When I accompanied a relative to the EPF office in Ipoh recently to apply for the withdrawal of all money, it took only 3 days!

Application was made on a Monday in January 2014, and on Wednesda of the same week, the money was already in the designated bank account.

Two weeks ago, the interest due on the money for 2013 was deposited in the same account: it was not necessary to apply for the interest (called dividend).

*FOR YOUR INFORMATION: 75-80 YEARS OLD

IF YOUR MONEY IS NOT WITHDRAWN, AT 80 YEARS OLD THE MONEY GOES TO THE REGISTRAR OF UNCLAIMED MONIES!

FROM 1 February 2008

G. Contribution:
Extension of liability to contribute from age 55 up to age 75 years
Two Tier contribution rates
Dividend payment up to age 75 years
Savings not withdrawn at age 80 years to be transferred to the Registrar of Unclaimed Monies.

*FOR YOUR INFORMATION WHEN YOU ARE OVER 55

1. Withdrawal of all the money in your account takes only five working days. Apply on a Friday and get the money the next Friday if there are no public holidays in-between.

2. You will need your MyKad. They will also take your thumb print.

3. They will ask for your bank account number, so have it ready. In the past, your bank account had to be a sole account, that is, in only your name. Today, a joint account is fine as long as your name appears as one of the two joint account holders.

—–

Free Malaysia Today

EPF withdrawals you can make

January 8, 2014

By Brendon Lee

Check your account balance

All EPF accounts are divided into two types: Account 1 and Account 2. The former is where most of our deductions are allocated (70% of every monthly deduction) and is strictly off-limits until you’ve reached the retirement age of 55 years. Account 2 is where you should be looking at if you need some extra funding for any of the following big ticket items.

If you need help to buy a house

Interested in buying a house but not sure if you can afford the downpayment? You can withdraw from your Account 2 EPF savings to ease your burden. The KWSP website states the guideline for withdrawal is either 10% of the house price or all of your available funds…

If you need help to finance a house

With this option you can choose to settle you home loan early or through monthly settlements with your available EPF 2 savings. You will need a balance statement from your bank if you wish to make a lump sum payment…

If you need help to finance your studies

Student loans may have lower interest rates than regular bank loans but at the end of the day they still need to be repaid. If you or your child have a PTPTN or MARA loan, you can opt to pay it off with your available EPF 2 funds either in lump sum or via monthly instalments…

If you are saddled with a medical bill

The EPF board has dictated a list of illnesses for this purpose so you will have to check the site to find out if the one you want to claim for is provided in the list. You are allowed to make this withdrawal not just for yourself but for a spouse, child or immediate family member such as a sibling or parent..

This was brought you by Brendon Lee from RinggitPlus.com. RinggitPlus compares credit cards, personal loans and home loans to help Malaysians get more for their money.

http://www.freemalaysiatoday.com/category/leisure/2014/01/08/epf-withdrawals-you-can-make/

YAHOO! NEWS MALAYSIA

EPF sets RM196,800 as minimum savings at age 55 starting January 2014 – Bernama

The Employees Provident Fund (EPF) has reminded its members on the new quantum Basic Savings set at RM196,800 as the minimum amount that must be in their EPF account by the time they reach the age of 55, effective next month.

EPF general manager for public relations, Nik Affendi Jaafar said the new rate was benchmarked against the minimum pension for public sector employees, currently at RM820 per month for a period of 20 years from the age of 55 to 75 years.

He said the current Basic Savings of RM120,000 at the age of 55 (RM500 per month for a period of 20 years) might not be enough to cover the retirement of EPF members as it was below the poverty line income.

He said EPF statistics showed that 71% of EPF members retired at the age of 55 with savings of less than RM50,000 in their EPF account.

Among the initiatives introduced by EPF to boost members’ retirement savings is an employer contribution rate of 13% for workers earning RM5,000 and below.

“Besides that, full EPF contribution rate for employees up to age 60 and flexible withdrawal at age 55 allows members to extend their savings for a longer period,” he said.

http://my.news.yahoo.com/epf-sets-rm196-800-minimum-savings-age-55-124518301.html


KWSP BANTUAN KEMATIAN…ATTENTION to everyone who has an EPF account!!!No matter how old are you, no matter how long you have held your EPF account, no matter how much money you have in you EPF account, and matter how long you have paid for your EPF, according to Government Law, EPF will need to pay RM 2500 to an EPF account holder’s family when he/she died (family members need to claim the RM 2500 within 6 months).EPF never inform us about this, I reckon very few people’s family did actually receive this RM 2500 when his/her family member died because not many people know about this. Where did this RM 2500 goes when the died’s family did not claim for RM 2500? someone’s pocket?? We don’t know!So please bombarded this info to all your families, relatives, collegues and friends, let them know about this info and remember to claim RM 2500 when his/her family die. Don’t let this RM 2500 goes to someone’s pocket!!—
networkblogs.com

Monday, December 16, 2013

INFO : Bantuan RM2500 Dari KWSP Yang Tidak Diketahui Oleh Orang Ramai! Sebarkan!!

PERHATIAN kepada semua orang yang mempunyai akaun KWSP!Tidak kira berapa umur anda, tidak kira berapa lama anda memegang akaun KWSP anda, tidak kira berapa banyak wang yang anda ada di dalam anda akaun KWSP, dan kira berapa lama anda telah membayar kepada KWSP, mengikut Undang-undang Kerajaan, KWSP perlu membayar RM 2500 untuk keluarga pemegang akaun KWSP apabila dia / dia mati (ahli keluarga perlu menuntut RM 2500 dalam tempoh 6 bulan).
Mungkinkah KWSP tidak pernah memberitahu kepada kita tentang pekara ini, kalau di hitung, sangatlah sedikit keluarga yang benar-benar menerima RM ini 2500 apabila ahli keluarga / beliau meninggal dunia, kerana tidak ramai yang tahu tentang perkara ini. Di manakah ini RM 2500 pergi apabila keluarga itu meninggal dunia itu tidak menuntut RM2500? poket seseorang?? Kita tidak tahu!Oleh itu, sila dihujani maklumat ini kepada semua anda keluarga, saudara-mara, rakan sekerja dan rakan-rakan, biarkan mereka tahu tentang maklumat ini dan jangan lupa untuk menuntut RM2500 apabila / mati keluarganya beliau. Jangan biarkan ini RM 2500 pergi ke poket seseorang!Rujuk dan isi borang di sini. Semoga bermanfaat sebarkan semoga menjadi pahala berterusan

Malaysian Insider

New EPF rules… good for retirement, bad for unit trust industry

BY RANJIT SINGH
September 09, 2013
Latest Update: September 09, 2013 09:28 am

Malaysia’s largest pension fund has decided to raise the minimum savings for its contributors to ensure they have more money in their twilight years, but this indirectly cuts investments into the country’s vibrant unit trust industry.

The new rules by the Employees’ Provident Fund (EPF) to cut investments in unit trusts comes at a time when rising costs have shown contributors’ savings are not enough to cover retirement after turning 55, five years below Putrajaya’s new retirement age of 60.

“The EPF will revise upwards the basic savings quantum of its members to RM196,800 by the age of 55 effective January 2014, to ensure enough savings to finance members’ retirement needs,” EPF general manager, Nik Affendi Jaafar told The Malaysian Insider in Kuala Lumpur over the weekend.

He revealed that under the old scheme, which was launched in 2008, members’ targeted savings of RM120,000 at the age of 55 was not sufficient for them to maintain their lifestyle during retirement.

But the new amount will be equal to RM820 a month for 20 years from age 55 to 75.

Following the revision, members need to have more in their Account 1 to be eligible for the EPF Members Investment Scheme, under which savings are invested in unit trusts. Currently members can use 20% of their balance in Account 1 to invest in approved unit trust schemes.

For the details, click on:

http://www.themalaysianinsider.com/malaysia/article/new-epf-rules…-good-for-retirement-bad-for-unit-trust-industry

—————————————————————————————-

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3 Responses to Your EPF/KWSP Money!

  1. KK says:

    Its true…. recently had 2 STENTS PUT IN, try to claim 19K only>>>hassle I”m going thru… the government thinks… i derived the money from their arse….. giving me shit, despite submitting all correctly and paying upfront…. fucking wankers….

  2. James Ooi says:

    EPF has the responsibility to update and explain clearly the rules & regulations which are affecting the public; employers, employees, beneficiaries…….every now and then, so that the members and their beneficiaries can decide what to do with the EPF monies. May be create a website for members to write in to void their concerns and enquiries.

  3. Pingback: See the #fireworks I created by blogging on #WordPressDotCom. My 2014 annual report. | weehingthong

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