many does. but that is not the main point. only 16% have 240K does not mean 84% of population are not ready for retirement. It is just a over-simplification kept on being used by EPF and gov to say Big Brother knows better.

another point: practically any family that owns a property already has more than 100K pretty much (if not much higher). this value can be released using creative financial structuring.

I think it is fair to assume that the expected return is not low... so many mushrooming for the past 10 years. Even hospitals also start creating such old folks home. its like 10K monthly per pax thereabout.

no idea... but if i were to make guestimates...

but the way return is calculated is based on initial outlay... ie the book value of the property and reno costs, etc.

Lets say a single old folk will take the package of a studio of around 500 sf. On their book and reno cost, is 600rm psf. A normal rental of 4rm per sf (4 x 500=2K rm pm) would be fair right? that would make it a 8% return pa before yearly maintenance.
so if they can charge 8 to 10K pm, it is anyone's guess whats the real profit margin cos a good old folks home should provide medical services of sorts too. and I really doubt they don't try to make a big cut also from the medical services too.

hence my bet, way north of 10%... who knows... 20% also possible...

(maybe we should lobby that if the client is a EPF member, the client gets 20% discount if payment is from direct debit from EPF account 1. haha)

and it is backed and financed by EPF.... the elderly can be confident that this old folks home will not go belly up and throw them out on the street after taking their money....

who knows... we can market it to Singaporeans too for them to take up the more expensive package... much like medical tourism...
(just please please EPF don't go buy the abandoned condos at places like Forest City in order to bail out cronies only)...

I know it didn't come from you....

but how does lower return to the rich is fair to the poor?
sounded like I am poor but at least I have my health... rich people should not have their health kinda saying...

But I see no problem gov implementing UBI for all Malaysians, and tax the high income kau kau... that is fair.... jack up income tax to 50% (for example) and remove all fuel subsidies and intro GST. Then give everyone 2K rm per month, for example. If want, remove GH medical subsidies also, and tell all insurance firms that they have to provide medical cards to everyone.
The poor will benefit for sure.

Savings and EPF savings are due to hard work and prudential spending and some luck, not free money from gov.

This post has been edited by Wedchar2912: Oct 11 2023, 01:47 PM

Haha. This minister also funny.

How to have more B40? By definition, it is the bottom 40% families. Unless he meant these families really likes to breed because they know gov will save them???

the bolded part... you sure you got that right?

then may as well PMX inform EPF that anyone with balance above 240K rm, just return the money to these people.... then for sure the balance left in EPF will earn 8% div pa. lol...

or can go to more normal places in Australia like Adelaide, or US like Pittsburgh/Chicago, or outskirts of London.
20K rm per month clean spending money is all that is needed. gam gam /k standard.

haha.... said person should not aspire for retirement... aspire to work till death or reach 100 million, whichever earlier...
cos obviously having 100 million ringgit is enough to retire in Manhattan or central London or Tokyo or Shanghai rite?
(waiting for someone to say 100 million ringgit is not enough... hehe)

each of us on average has 80 years of life.... unless one is a certain ex-PM... hehe.

This post has been edited by Wedchar2912: Oct 12 2023, 01:06 PM

Short answer is yes. I am in early 40s, zero income and I am definitely defined as B40. And receive some str and brim. Ho ho.

That's not what is defined to be a B40. It's all about active income.

So need to make sure not employed and not a director somewhere.

Go and study math or stats first. Cheers.

if they (as in gov of Malaysia, ie LHDN or some relevant agency of gov) do not know anything about it, I am sure you are still B40.

getting share options by right need to file tax, but my experience previously was my firm declared the gains vs strike price as my income...

edit: of course my firm is a Malaysian entity, so LHDN sure know... your case I doubt anyone knows...

This post has been edited by Wedchar2912: Oct 13 2023, 09:11 PM

edit: I sounded too harsh in my reply.

ok lar... you are the smart one... I look forward to the news that B40 now consist of 41% to 80% (pick a number you like) of all families in Malaysia....

This post has been edited by Wedchar2912: Oct 13 2023, 09:20 PM

but I don't think this account is going to be too flexible (as in one can throw any amount one wants into it). Most probably will have minimal impact on FDs...

more interested to know what kind of rate will it get.... until now, EPF has never gave different rates previously and I wonder if it was due to some rule in EPF's Act.
(shariah vs conventional aside, because they are not fully separated. Maybe I overthink on this).

ah... you are on to something...

maybe there will be another option, like instead of "i-saraan option", one can select "flexible option" and then the money in will be all into the flexible account.

then hopefully that account can earn like 1 or 2% higher than normal div...

(but when want to withdraw, for those above 1 million, hopefully they allow us to select from Account 1 or Account 2 first. hehe)

logically yes... like you said, already flexible... but if put lower div like -2% or -3%, most probably people will just take it out right?
then whats the point of creating this flexible account? may as well just lower the employee mandatory contribution rate from 11% to 9%?

that's why some of us assume the div will be higher.... else that account will most probably be empty most of the time (using the reasoning above).

haha.... understand what you mean.... this is really gov creating work for no reason except for optics and keep those simple minded people quiet... can hire more people cos of the extra work, and same time looks like gov is prihatin... while the problem of retirees running out of money remains.

haha... I seriously give up and don't know to laugh or feel sad....

you win... you are right. math is not what it used to be.... my apologies.

saw your question and just login to check. Nope....