KOTABAR: Deputy Finance Minister Datuk Seri Ahmad Maslan said workers in the country need to have saved at least RM240,000 in the Employee Provident Fund (EPF) before reaching the age of 55 so that they can retire comfortably.
He said his estimated savings would allow him to sustain himself for 20 years after retirement at a spending rate of MYR1,000 a month.
“If someone retires at 55 and has 20 years of retirement, the total is 75. This is the average life expectancy for Malaysians,” he said after visiting the Kelantan EPF headquarters here.
Ahmad said among the suggestions given to workers to increase EPF savings is to make voluntary donations through the i-Saraan scheme.
He said that as of June this year, more than 500,000 donors have chosen to donate through the i-Saraan scheme and the government intends to maximize participation in the scheme.
“We want to maximize the participation of workers, especially those in the informal sector such as merchants, fishermen, farmers and rubber extractors. Even civil servants are encouraged to contribute, even if they have pensions.”
“Through this scheme, eligible donors will also receive a dividend of up to 5%, as well as incentives provided by the government (up to RM300 per year) if they donate at least RM2,000 per year,” he said.
Ahmad Maslan said 26 mobile EPF counters were opened on 4 July in the eastern region, especially in rural areas, to promote and provide information about the scheme and retirement-related matters.
“Through these mobile counters, EPF contributors and the general public can receive retirement advice, calculate their retirement savings, assess their own adequacy and ultimately secure a better retirement life,” Barnama added.
