I asked... the fella at counter said no. But I didn't try because I preferred to use my debit card.

actually why favour paying sspn with debit card? any benefit?

Some debit card got promo, for example. If not then you still get some sort of points (normally 1 point per RM3 spend).

hmm..

CC got? because if next year 8k for tax relief it will be 8k TP!!!

read in this lyn forum b4...
some cards does not gives points to these types "cash" withdrawal/transaction..

There was a 3-4 month period last time when CC accepted, but no longer. Debit card is as good as it gets.

Any withdrawn almost 100% of SSPN before? Is it possible? If so, what is the process, and how long does it take before it is banked in?

Usually bank in within 7 days.

i deposit early year and all the requirements are fulfilled but did not get the extra 500, asked the officer they told is due to akaun is tajaan pihak lain so not eligible...i really not understand what that is...

did you deposit into your own a/c?

looks like only for parents or guardian.....
Bermula 1 Januari 2018 hingga 31 Disember 2018, mana-mana ibu bapa atau penjaga yang membuat simpanan bersih di dalam SSPN sebanyak RM500 untuk anak-anak mereka yang berumur tujuh (7) hingga dua belas (12) tahun atau sedang belajar di sekolah rendah layak menerima Insentif Khas Geran Sepadan ini iaitu deposit percuma bernilai RM500 (GS500).

https://www.ptptn.gov.my/makluman-simpanan-...e/percuma-rm500

not own account. for kid age under 12.

This post has been edited by candyS: Nov 20 2018, 05:43 PM

then no idea why...."due to akaun is tajaan pihak lain so not eligible"

How soon does the RM500 "matching grant" should be credited ?

06/01/2018 - i deposited $500 via MBB2U
31/01/2018 - dated in SSPN online, "1078 GERAN SEPADAN-GS500"

I wonder if this strategy is workable:-

Step 1 - Deposit RM 6k in by Dec 31, 2018

Step 2 - Withdraw RM 6k in Jan 2, 2019

a) Eligible to claim for Income Tax deduction in for 2018 - my guess in YES
b) How to claim for 2019? - deposit RM 14k by Dec 31, 2019. Claim for RM 8k.
c) Repeat for all years but with incremental, e.g. for 2020, need to deposit RM 22k to claim the RM 8k

Benefit of this strategy

1. Claim income tax relief
2. If PTPTN goes bust (which they claim is somewhat likely due to so many students not paying), does not affect you as the money is your hands, not theirs

Caveat - you must be disciplined and set aside this for your kids and do not be tempted to use this money at all. There are so many good FD rates available now that you can park the money in- just refer to the FD thread.

Comments are welcome.

This post has been edited by saintmikal: Nov 22 2018, 08:59 AM

Other than the timing Vs "cut off date" by SSPN for their tax statement which i'm unsure, the pain with the above for me is physically getting to PTPTN to withdraw & the time.

Other than that, i think it's good as U've stated the balance of tax relief AND $ in our hands

sspn saving rate is about 4% pa.

RM8000 x 4% = RM320
app. RM 6 per week

time, petrol and parking charges going to PTPTN office to withdraw
time taken to wait for the arrival of money into saving a/c.
then do the banking into the FD.....

how much FD % must have to be better than sspn saving rate to make that effort, time and opportunity cost worthwhile?

Most important is that the money you invest comes back into YOUR hands of which you can control.

If you believe that the organization is sustainable, just read the many many articles such as:

https://www.freemalaysiatoday.com/category/...finds-at-ptptn/

And there are many many more...just google and you will find it in more mainstream publications such as The Star, NST, Malay Mail, etc.

Imagine if there was NO income tax relief, would you put the same amount of money into PTPTN/SSPN or into a normal Fixed Deposit or even education insurance? The fact that the government increases the tax break from 6k to 8k should indicate that the reserves are stagnant/ dwindling/depleting...just like when banks want more money from you to meet their minimum reserve/cashflow level, they increase their FD rates and attractiveness.

had been mentioned...for income tax relief...

sustainable or not....it is a Govt. entities.....so is the EPF.....
Savings guaranteed by the Malaysian government.

money in hands is better only if one know how to generate better use for it.....
switching to FD is to me not a good option.

This post has been edited by MUM: Nov 22 2018, 12:28 PM

Reckon your system works. But requires a lot of discipline and finding something secure in 11 months that can match 4% though. Of course if you're paranoid about PTPTN's sustainability of course this method is the way to go.

Was thinking of this alternative - going by "NET" deposits for the year, one can technically "select" a year to ignore SSPN tax relief and make full withdrawal.

If tax bracket is say max at 28% for 8k, that's 2.2k loss in relief for the selected year. But pro is you can double up the tenure with the same funds la.

What you guys think?