don't get your point.

joke is more work for everyone else with worse expected outcome.

those lazy ones will see 15% of their contributions earning subpar div rate... what a smart move by EPF to lower the member's chance of comfortable retirement. lol

they don't force, but auto create and auto contribute into Account 3 for all your contributions...

not forced, but the effect is still the same... some will not notice or didn't bother and long behold, 10% of their contribution now earns subpar epf dividend. all thanks to those who wanted the opportunity to withdraw.... (kinda reminded me that the joke of how bad a democracy can be cos the majority is usually stupid).

in same time, EPF don't pay to pay so much div also cos 10% of contributions moving forward is into account 3.
to make it more "efficient", they should start the account 3 with 10% of funds in account 1 and 2.

could be the same old trick... test water to see public reactions... and then u turn....

malaysia mah... we are good in creating work that serves no purpose...

hush hush... poor... multiply a small number with 10% is a much smaller number.... let them take it out lar... if 100% of something in the future is not enough to retire, 90% of that something is still not enough... haha.

this way, the salary of workers in malaysia can be kept low... can still bullshit to citizens of malaysia that gov is doing something to help the poor.... (just by making epf members poorer... lol)

I am still pro EPF, just with much reduction in enthusiasm(have to say this as like it or not, am forced to keep the bottom 1 million inside like everyone else).

Been taking out almost every day since March to deploy to USD and/or SGD.

This post has been edited by Wedchar2912: Apr 17 2024, 12:39 PM

also every month it is still net net positive cashflow in into EPF... no need to rebalance anything.

why not move to account 2? since both 1 and 2 earns the same div rate, and 2 has more optionality?

That's just following the trend. All good.

Started with 500 during MCO... Then 10% into acct 3.
Next stop 33% lor.

Who cares ant retirement anymore.

One would think so right?

But still have a group of idiots who think those with high epf balance should subsidise those with low balance by giving the B40 extra dividend rate. Remember?

if div rate is same for all 3 accounts, no issue.

but judging from media reports, acct 3 may get the min div rate....
on second thoughts, a great way for those who worked hard and saved their retirement funds in EPF to move them out and spend to spur the economy....

hopefully not 1/3 of account 2... cos 0.3333 x 5.5% (this year's div rate) = 1.83% pa. This would be below 2.5 min guarantee...

this will involve a major EPF Act change, and need parliament approval.

Doesn't matter... this is a major change... hence need EPF act amendment.

This would mean that chap has 300K rm and above in EPF.... not bad... sure, he should be allowed to take out and help spur the economy...

since Epf kept on saying only need 240K rm for retirement...

lol... economists... if not much difference, then may as well change account 2 to fully account 3. lol...

then again, if one's wage is 1.5K rm per month, 5.5% div on 10% of a small number of 23% of 1.5K will not make much difference... that is true... lol.

bro... in the bigger picture, are you asking for the optimal solution to: Investing into a volatile pot from a fixed income portfolio (EPF) with FX currency fluctuation risk in the mix. This is a tough question (imagine if you took out all u could and bought SG shares 2 months ago... )

Or you are fixated at having 5 million in EPF? If that is the case, just assume this year div will be 5.0% and withdraw 250K/12 = 20.8K rm per month and ur principal next year will still be above 5 million (subject to declared div for 2024). at retirement age, precision is overrated vs ease of mind/calculation.

you are just being humble... although i agree that 5 million is a fictitious number for many, just not sure if its applicable to you ...

eitherway, after Nov last year (failure of KPI as set by myself) together with March's EPF rational, I expedited my portfolio balancing... and just threw a chunk out...
Slowing down this week, but may restart again next quarter (either from EPF or from my bursa equities)... now I am sad cos my Epf balance is no longer sizable but still gives enough dividend to cater to my minimum survival spending budget. lol.

moved to SGD and USD.... and basically bought DBS and OCBC, US T-bills and some small holdings in the likes to tesla and baba.

suspect EPF needed to amend the EPF act first to allow different rates for different accounts.

so in future is when they manage to get the FM to do so...