Nothing else he can say, as CEO of EPF and as someone beholden to the MOF.

All depends on how much actual outflow, vs inflow and if they have enough cash ready. That's why need time before actual payment.

I am curious what it actually means... does it mean that firms known to be cronies of certain political parties will not be invested in (governance)? what about institutions that pretty much do not embrace diversity such as 90% of a certain ethnicity?

Yes, I can confirm what magika said.
Whatever deposited on the month, the interest calculation will start on the last day of the month. Hence the 1 extra day interest.

Hard to blame.... not many have the faith in EPF like us, even lesser would want to keep more of our retirement funds in EPF, and even lesser (extinction level event... haha) have such good retirement gratuity such as what you have now.

Definitely not in their training manual.

They should include numbers from ASN/PNB and Pension scheme receiver...

most probably.... my secondary school teachers shared that many of the teachers choose retirement at 50 as they can get full pension benefit (they already have no chance of any meaningful promotion or salary increment) and then go private sector.
I just forgot to ask if they contribute to EPF at their current age.

so now the proposal is any withdrawal from EPF is taxable as if it is income?
KWAP and TH and ASN should be included as well?

Would be a damn big headache to setup proper tax laws and mechanism to track what should be taxed or not taxed. (not true also that all my deductions are before tax)
Need to be similar to US's 401K vs IRA (and all their permutations)....

Don't know about you, but I definitely do not trust our Malaysia government to get it right.

It is seriously not as simple as that, if government is to ensure fairness to those who contributed into EPF all this while, vs moving forward. (just extending retirement age, we are lucky to have EPF thought it trough and created the 3rd account of Account Emas, and this is a very simple employment change in grand scheme of things).

Take a simple example. 401K is voluntary, and no one forces the employee nor employers.
EPF is forced upon most employees and employers, and is on all income and most benefits the employee receive.
Would gov be so kind to change this part of the rule, and I am sure half the employers will stop contributing.

If EPF is to follow 401K method, then should it not be voluntary? The poor surely will not bother to contribute.
else, make all EPF contribution be tax-free and then tax later with penalty (but think about this first and see who will benefits more).


and there are plenty of other issues but really no point enumerating as we are just discussing for fun.

May I know how did you convert your usd to myr? is it via a bank?

[quote=sjteh,Apr 20 2022, 09:15 AM]
[quote=coolguy_0925,Apr 20 2022, 12:50 AM]
I still remember as a kid I saw the board outside MBF FD rate >10%

Wonder how was the BLR like back then

Saw it with own eyes of the statement from bank bumiputera & commerce, whopping of 10.6%!!!

[/quote]
my dad shared that back in 1970s and 1980s, it is very hard to borrow money to buy properties.... and can only borrow like up to 60 or 70% only.

So we can be grateful of easy liquidity nowadays....

nice share. tq.

I love it how EPF also massages how the stats is displayed to us. They should have stick with the same cutoffs, unless their focus somehow is on 2K and 5K rm as the holy grail numbers of salary.

I think EPF employees do read our /K comments, because I remember we did discuss about how those who are earning minimum wage since 20 years old will have at least couple hundred K by retirement, even without increments.

thats when people/economists like to use PPP index. But too mah fan.

but in all practical purposes in daily discussion, we can just use 1 to 1 if it is talking about SG. cos many prices gyrate around there when SGDMYR = 3 or below. rental, restaurant food etc. cars?

This post has been edited by Wedchar2912: May 31 2022, 01:38 PM

if election this year, no way in hell or heaven.

but if election is next year, then got nice chance on earth....

why not give that something to the kids while still alive?

just don't make the mistake of giving everything....

One can only hope that FD rate returns to the good old days (so old that I was still in school) of 7 to 9% pa. nice....

nothing to worry about by then... those working will still need to contribute into EPF.... and all of us have many assets to invest in.

only wish at the time will be that our ringgit goes back to 2.5 level vs USD at least.

It is all "fake"... the real return of EPF doesn't really matter. many of the assets in EPF's book are not even marked to market...

at the end, it is basically whatever the MoF, or more accurately like you said the gov of the day, decides will be the dividend rate for the year.

Hopefully Anwar is not so naive and silly to force EPF to announce a low dividend yield... the people need to have feel good effect for 2023, else his rule will start off poorly and PN will use the same of political excuse of why PN is better vs PH+BN+...

Just because one can treat epf as bank account doesn't mean it is.

If you fulfill the requirements, u can treat epf as a savings account in terms of withdrawal.
However, the return is not guaranteed except the min 2.5% part.

The discussion here about the financial numbers being irrelevant is just in reference to actual div rate declared vs actual portfolio return of Epf holdings. Epf can over or under declare and there is no law to govern this. Robbing Paul to pay Peter is real.

In a rising rate environment, EPF is superior to bonds.... our funds in EPF are not subject to mtm swing... we still get free min 2.5% return regardless of what happens... and we still get to participate in equity like returns.
(plus we don't need to pay the bid-offer spread of buying and then selling the bonds... EPF managers can get a much better spread vs us retailers)

Nonetheless, need to revisit this "concept/idea" if and when interest rate in Malaysia reach 7% type. Cos when it does, it maybe better to just buy govies or place our retirement funds into FD directly for like 10% type.
(like back in 1995 before Asian crisis.... finance firms could offer like 7 to 9% pa FD.... if memory serves me)

This post has been edited by Wedchar2912: Dec 20 2022, 07:48 PM

me not Peter... at least I don't think I am...
but for sure me is not Paul... in terms of EPF benefits....

None of us know for sure if there is a BIG hole in EPF or not.... hopefully there is no big hole (the British pension funds come to mind). So far, all the recent dividend yields declared since 2000 have been reasonable and not extraordinary like that of Madoff's type.


but me definitely Paul's cousin when it comes to taxes. Malaysia gov already taxed me kau kau for my active employment income. haha. EPF is practically the only benefit I enjoy from Malaysia gov, directly or indirectly.

This post has been edited by Wedchar2912: Dec 20 2022, 07:58 PM