Workers should have EPF savings of at least RM240,000 to retire gracefully - Ahmad Maslan

KOTA BHARU: Workers in the country should have Employees Provident Fund (EPF) savings of at least RM240,000 by the time they reach the age of 55 to enable them to retire gracefully, according to Deputy Finance Minister Datuk Seri Ahmad Maslan.

He said the estimated savings would enable someone to sustain life for 20 years after retirement, with an expenditure rate of RM1,000 per month.

"If someone retires at the age of 55, plus 20 years of post-retirement life, it would bring the total to 75 years, which is the life expectancy of Malaysians," he said after visiting the Kelantan EPF headquarters here.

Ahmad said among the suggestions given to the workers to increase their EPF savings is by making voluntary contributions through the i-Saraan scheme.

He said that as of June this year, over 500,000 contributors had opted to make contributions through the i-Saraan scheme and that the government intends to maximise participation in the scheme.

"We want to ensure maximum participation of workers in the scheme, especially among those in the informal sector such as traders, fishermen, farmers, rubber tappers, and others. Even civil servants are encouraged to contribute, even if they have a pension.

"Through this scheme, eligible contributors will also receive the incentive offered by the government, which is up to a maximum of RM300 annually, if they contribute at least RM2,000 per year, in addition to the dividend of up to five per cent," he said.

Ahmad Maslan said that 26 mobile EPF counters were launched on July 4 in the Eastern Region, especially in rural areas, to promote and provide information about this scheme and retirement-related matters.

"Through these mobile counters, EPF contributors and the general public can get retirement advice and calculate retirement savings to assess their sufficiency, and ultimately secure a better retirement," he added.

-- BERNAMA