Johor EPF branch Retirement Advisory Service (RAS) officer Faizal Abu Al-Ashari said those aged below 55 can register as EPF members to make savings until they reach retirement age.
“This also refutes the perception that Malaysians working abroad are not eligible to make savings with EPF. Actually, they can still save with EPF.
“The SP1M was introduced to encourage the self employed and those without fixed incomes to contribute voluntarily, based on their capability. This includes Malaysians working abroad.”
No fixed amount has been set. EPF members can make contributions of between RM50 and RM60,000 a year at any time, according to their capability and will receive annual dividends based on the current rate, just like other contributors.
Registration can be made at the EPF office by filling out a special form and payment can be made at the counter or via agents such as Maybank, Public Bank, RHB Bank, Bank Simpanan Nasional and online through Maybank or Public Bank.
Faizal said besides SP1M, those eligible can make personal saving deposits via voluntary contributions.
Last year, 65% of EPF members aged 54 with savings of RM50,000 and below spent their EPF savings within three to five years.
In an effort to raise awareness about the importance of retirement planning, RAS provides advice and guidance to members for free.
RAS, the first of its kind in Southeast Asia, is an initiative under EPF’s Social Security Excellence and Strategic Plan 2013-2017.
Faizal said since its launch in 2014 until August this year, some 17,805 EPF members had received advice from RAS face-to-face at the branches.
“Johor RAS branch was officially opened in October last year. A total of 1,500 members have come to our branch for advice about planning their savings so far.
“The customers come from various ages, races and background. They include civil servants, private sector employees, factory workers and the self-employed.
“They were very satisfied and left with a better understanding of financial planning for retirement.”
On a separate matter, EPF today dismissed as false the claim spread via WhatsApp that the government has allocated an incentive of RM2,500 for senior citizens and that they should withdraw the amount from their EPF account before Dec 31, 2016.
It said information on the purported incentive for those contributors aged below 55 was spread through a WhatsApp audio message.
“EPF wishes to state that the information is false and the incentive in the message does not exist.”
It advised EPF contributors not to be influenced by such false information and not to spread such messages.