Hmm..

” • Stimulus package to be funded by RM2 trillion savings from BNM, Tabung Haji, KWSP”

https://www.theedgemarkets.com/stimulus-package-2020

Yep, the stimulus package is to be funded by our savings.

I don't see it? Where?

Could it be he is referring to the contribution cut from 11% to 7%?

Seems to be a new version up. The excerpt was from the original. It also stated no need for new bond funding for the stimulus package.

Yes, that is exactly what the EPF contribution cut means. It's using our retirement funds to stimulate the economy, since the government doesn't want to borrow more.

So next question..
maintain old contribution rate or follow the latest EPF contribution cut rate 😋

It's voluntary.
Not first time doing this move by the government.
If my old memory is still good, this should be the 3rd time.

I'll stick to my original contribution even though next year dividend could slide to below 5%.

This post has been edited by GrumpyNooby: Feb 27 2020, 10:03 PM

Yes, I recall that we needed to submit a form if we wanted to remain at same level. Extra work for same outcome..

Your company HR will take care of it I presumed.
They'll submit to the EPF office in one whole batch.

how much % can we actually increase it to by ourselves? 15% possible?

per this form...
NOTIS PILIHAN MENCARUM MELEBIHI KADAR BERKANUN (SYER PEKERJA) -- KWSP 17A (AHL)
https://www.kwsp.gov.my/documents/20126/147...ac-5e3e52cc122e
there is no mention of max limits..

This post has been edited by MUM: Feb 28 2020, 08:24 AM

noted MUM - for a moment i thought my mum replied me .. lmao .. scarry ..

found an interesting article :

https://www.thestar.com.my/news/focus/2020/...tribution-rates

This post has been edited by netken: Feb 28 2020, 08:59 AM

Just to post to clarify just in case misunderstanding of above statement.
It is not gov using EPF money to spend to stimulus the economy.

It is just reducing EPF contribution, so that people have more money in hand, that potential being spent to stimulus the economy

Yes, the government wants us to consume money that should be going into our retirement savings as "stimulus". Spending other people's money and taking credit for it as "fiscal stimulus". Good job indeed LGE.

Actually I'm confused..
Want to maintain or follow the new rule...
That's why I'm asking around..
I'm getting mix response.... Some says Yes. Some says maintain old rate..

It depends on your current cash flow and retirement goal.
It's very subjective and nobody can help you except yourself/your spouse/your financial/wealth planner.

Well if I get the extra..
Sure would spend it...
So guess I better maintain at old rate...
HR here I come with my borang 😁

Well the extra wont make much different in unker spending, however saving it makes bigger impact on the "compounding" factor.

Unker old mentality, save for rainy season than use it to buy payung

It is optional, one still can contribute the old rate.
Self contribution also has, if want to contribute more.

anyone here contribute more than 11% ?

what is the highest % here ?