Yes, everyone will have health insurance thru EPF, and suddenly if became affordable, even RM 5k also considered affordable in future because as per the minister says :-

"A small percentage can be used for insurance payment. They won't even feel it, as it doesn't come out of their pocket. It's from the EPF. This is the best way. Eventually, our people will have coverage like in Singapore. But we can't force it," he said.

DOESN"T Come out of their pocket, its from EPF.......he deemed that the money in EPF is not yours unless you're at retired age lol.....tsk tsk tsk no wonder so many ppl yolo and ask for withdrawal asap because only when its withdrawn, then only it consider is yours.

If you do that, just be aware of the age 55,for once you reached 55, all new deposits will be locked till 60

It's only the contributions into EPF after age 55 that is locked until 60.

So not that bad really.

390k as per RIA framework
200k is just too low

Contribution rate should also be changed following cpf model employer 17% employee 20% . One shot changed all the grouses about low epf balances. No other policies can do it.

KUALA LUMPUR: The Employees Provident Fund (EPF) has been central to Malaysia's retirement system, ensuring financial security for workers.

Yet economists warn that longer lifespans, higher healthcare costs, and mounting financial pressures may test its sustainability.

Certified Shariah Advisor (CSA) and Islamic Financial Planner (IFP) Dr Mohamed Hadi Abd Hamid said the EPF's structure must reflect the financial and demographic realities of modern times.

"A sustainable mechanism such as structured monthly payments will help prevent retirees from depleting their savings too quickly.

"It is not only an economic reform but a moral one, ensuring that those who have contributed to the nation's growth can retire with dignity," said Mohamed Hadi.

This evolving challenge has prompted the government to consider a major reform, introducing a monthly pension-style withdrawal scheme under the 13th Malaysia Plan (RMK13).

Announced earlier this year, the proposed scheme would split members' savings into two parts: a flexible portion accessible at age 55 and a dedicated pension component providing monthly payments for life or until the balance is exhausted.

The aim is to create lasting income stability while preserving individual choice.
According to the Ministry of Finance, contributors should ideally have RM240,000 by 55 to receive roughly RM1,700 a month for 20 years.

Yet most Malaysians retire with less than RM50,000, a sum that often lasts only a few years.

To address this, the government is studying a dual-structure model where one portion of EPF savings remains accessible upon retirement, while another is reserved for structured monthly payouts.

Deputy Finance Minister Lim Hui Ying recently clarified that existing members will retain their current rights, with the new structure applying automatically to future contributors while remaining optional for others.

In practice, the model could be flexible enough to suit various retirement goals. For instance, a contributor with RM53,000 at 55 could withdraw RM250 monthly while preserving capital, or RM500 a month for about 12 years.

Meanwhile, for those with RM500,000, monthly payments of RM2,500 could be sustained without eroding the principal entirely.

"This dual structure provides both freedom and stability. It recognises that while some flexibility is necessary, many contributors need a system that protects them from outliving their savings.

"It also nurtures financial discipline, an essential element of retirement security," said INCEIF University Centre of Excellence for Research and Innovation in Islamic Economics (i-RISE) interim director Dr Mohd Zaidi Md Zabri.

By 2040, one in five Malaysians will be aged 60 or older.

Without reform, Mohd Zaidi believes the nation risks a generation of retirees without adequate income, creating heavier social and economic burdens.

"The proposed monthly pension option under RMK13 is therefore not merely an economic initiative.

"It is a national responsibility and a moral commitment to protect workers who have dedicated their lives to building the country," he added.