Talent & Tech Asia Summit 2024
human resources online

Flexible voluntary contribution to Malaysia EPF account now effective

Malaysia’s Employees Provident Fund (EPF) announced that effective last Monday (1 July), members who contribute voluntarily to their EPF accounts, either through the 1Malaysia Retirement Scheme (SP1M), self-contribution or the top-up savings contribution, can now do so in any amount; as the requirement to contribute a minimum RM50 at any one time is abolished. The accumulated maximum amount to be contributed into each account, however, remains capped at RM60,000 per annum.

EPF deputy chief executive officer Dato’ Mohd Naim Daruwish said: “A little savings set aside today will go a long way in ensuring the retirement wellbeing of our members in the future. Therefore we want to ensure that members are able to contribute in any amount, at any time within their financial abilities through the flexibilities introduced.”

“The option to make voluntary contributions is in line with a retirement agenda that is inclusive, as it is open to all Malaysians who are self-employed", he added.

ALSO READ: EPF reassures of strong framework to prevent fraud on members' funds

In addition to the removal of the RM50 minimum contribution, the Top-Up Savings Contribution will now enable members to contribute any amount to Account 1 belonging to their sons or daughters who are also EPF members. Previously, the scheme only allowed EPF members to contribute to their parents’ or spouse’s Account 1.

Photo / 123RF

Follow us on Telegram and on Instagram @humanresourcesonline for all the latest HR and manpower news from around the region!

Free newsletter

Get the daily lowdown on Asia's top Human Resources stories.

We break down the big and messy topics of the day so you're updated on the most important developments in Asia's Human Resources development – for free.

subscribe now open in new window