What you described was actually one of my earlier plans too. Luckily, still plenty of time to rethink and restructure before the time to execute.

Already ran the numbers:
Start at age 14, contribute 100K a year, assume 6% div... by age 22 balance hits 1m ... the young adult could enjoy 5K pm extra “pocket money” (or simply reinvest it).

With the new 1.3m limit, no big deal.. qualify by age 23/24 anyway.
And 1.3 × 6% / 12 = 6.5K pm of passive cashflow.

But by then, quite sure RIA will reset the threshold and it ain't 1.3m anymore... what is it? who knows.

Now layer on all the other possible policy shifts:

a) “pension-like cashflow” structure,
b) “no withdrawal until age 70”,
c) “tiering system”…
and so on. We can all imagine where this may go. Nothing is cast in stone... even if it was, any incumbent gov can just change it with a waive.

Good news is some claim these changes won’t affect us/me here... some are already quite old, some already planned to withdraw everything, some kept EPF as a small fraction of total net worth, etc. any here no money at all in EPF hence it won't affect him/her? lol

But as a prudent parent/elder, I still like to think ahead for the next generation.
Plenty of time to ponder… but also plenty of moving parts to navigate.

like you, I never lost confidence....

in fact, I am highly confident.... that EPF rules will change yet again in next 10 years...
hence, can never put all eggs in 1 basket.

Many had said previuosly in investment threads, ....
If the age is young and hv very long investment durations, ....better put in equities investment than FI (KWSP).
Unless it is for sort of legacy locking purposes. ( until your child reached KWSP withdrawal age).

Ya, can never pull all eggs in 1 basket.

And also, the way i am planning things might not suitable for others, due to age, methods of holding my cash, etc.

I think i am in a pretty safe position now due to i am holding USD too. If ringgit becomes shit, i can survive with my USD.

Anyone knows if EPF has a cut-off date for calculation of dividends? I would like to redeem all my investments from the various unit trust funds back to my EPF account before the cut-off date.

whatever deposited into epf in a particular month, will just get 1 day div worth for that particular month... (div for all months moving forward will accrue full days of the month)

If I am not wrong, ...
If you redeem all your outside investment today, ...and put in to kwsp, ...all these money will get only 1 day of dividend for this month ( this year 2025).
These money will to earn fully prorated monthly dividends starting next month.

Make sure your money will be in and reflected in kwsp account by end of the month, else if it is only reflected in 1-31 Jan, then 1 day dividend you will get for that Jan money but in Feb then start to get full prorated dividend for 2026

we are of similar view...

i drastically reduced my myr exposure to like 20%...
(I still depend on epf and my banking stocks in malaysia for div/spending money)

Nonetheless, I am of the view ringgit will be fine... but the uncertainty is definitely there... too many changes. and lack of investment oppurtunities that suits me.
(also works as a hedge/counter to PMX's request to EPF to increase weightage of investment in Malaysia and reduce overseas exposure)

yes for those who have enjoyed good returns from equities
that is what we expected he will do for his kids investment

but No.
he was planning to put 100k every year in EPF for 10 -12 years
for his kid aged 14yrs only,

EPF is better than equity for a 14 yr old?

I set up (allocated) that sum in my FSM account, ...Will transfer them to their investment own account once my kids "can" open the own investment accounts

same same with epf accounts it seems you can do so... just the upload to their epf is subjected to 100K rm.

I guess this is why some asked how come EPF don't provide a facility to directly transfer from say Parent account to Dependent's account.

At this rate, the kid will be a millionaire by the time masuk uni

Who knows... Some of these kids are already millionaires.
Cos many parents planned their spending budget to have their wealth lasts past death.

Some already usd millionaires and didn't realize too...

Epf is just one of the free publicly available financial tool to safeguard and expedite the transfer of wealth.
Trust funds too expensive and suboptimal for many.

This post has been edited by Wedchar2912: Dec 3 2025, 04:01 PM

New app update for epf. No more using tac for withdrawal but using secure with device binding.

many years even my mom believe in EPF going bankrupt that's why withdraw everything and put in FD instead.
coz her circle of friends also said EPF bankrupt, Najib used all that money soon, faster withdraw out from EPF.
EPF no more money. faster.

i told my mom, i never believe in rumors. i only believe facts and figure.

My era it was Mahathir/Umno stolen all the money in EPF

And these rumour spreaders all talked like they got such info from trusted sources

My parent was victim, instead of able to get 5-6% yearly dividend, the past 25+ years they only gotten 1-3% from FD.

until today my mom said she has no regret. earning 3% is better than losing all to government.
and in September 2024, EPF was the 13th largest pension fund globally and the fifth largest in Asia.

Slowly becoming like banks apps...

Yay. Maybe can offer ewallet facilities like payment etc. Hehe.

It's ego issues...

Don't want to admit mistake...

EPF actually can become High interest CASA for most old folks.... Risk of losing money also lower vs bank account...

Did you hear anyone losing their EPF money suddenly from account... Only hear money lost missing from banks account.... Or even illegal FD withdrawal case....