Question 1 is super tricky like some other LYNer said.

Remaining is 70:30
By not doing anything, your money will be 70:30:0

By moving max amount on this one time transfer, it will be 75:15:10. (Notice the Acc 1 locked is increased to 75%)

The issue is ~1 year later when Acc 3 dividend is changed to be less than Acc 1 / 2.
They mention we can transfer Acc 3 to Acc 2 / 1 via “Savings Transfer To Akaun Persaraan/ Akaun Sejahtera Form (KWSP 12)” but didn’t give details of it.

If transfer will cause more amount to be stuck in Acc 1?
Means if you did max transfer and be 75:15:10 to transfer with example 50% each, it will be 80:20:0

Now notice your locked amount until age 55 have increased from 70% to 80%? Previously Acc 2 can withdraw 30% have become 20% if you keep transferring your money around.

I won’t be surprised scammers will have a field day scamming ppl making funny story about EPF account 3.

Nv understood the idea of acc3 beyond political expediency

Acc2 allows u to withdraw for medical/housing/educational reasons, what other big life issues that needs u to withdraw your pension?

Breakdown of my epf monies after withdrawal :

bike/car maintenance: 400
health emergency: 300
petrol backup : 200
grocery backup: 300

2 months backup
room rental: 800

2 months backup monthly
expenses: 800

phone/telco backup: 400

friend/collegue/sibling borrow money: 500

savings for new bike/car : 600
dating/etc money: 400
money give parent: 800
insurance : 200

health supplements/ some
stray cat food: 300

hutang: 2000

total rm8000 - ngam² for my epf acc3 withdrawal

*this my own list. single person. after mco, i lose all my saving. all the above list i dont have. now only spend how much i can earn. using very old bike/2nd hand phone always spoil 😞. no more dating. everyday cook own food. only buy 1mix rice, drink during hot day-rm9.

initial i thought the money can last 2 years. probably last a year only. now very regret last time lazy,  didnt study hard,properly. now stuck in low paying job. i tried  study part time, while work, but cannot cope.. 😞. see la if can get better paying job in coming months. if ur short on cash, my advice, plan very properly, bcs u shd already know what are the future expenses

There has been so many differing opinions on what to do with your money in EPF acc 3. Some say maintain the split, some say change. Some withdraw, some will keep. So after pondering on these options for some days, here are my honest thoughts:

1. Should you maintain the split of 70/30 for your existing fund or opt for initial amount transfer to Acc3?
Answer: Best option - Regardless of your financial condition or whether you plan to withdraw, just opt for initial amount transfer. This is because no matter what, the dividends are the same across all 3 accounts. In future, if epf reduce the dividend for acc3, you still can move back to the other accounts. You may have plenty of emergency funds, you swore not to touch epf money but you never know what will happen in the future. Keeping the initial funds in acc3 allows you to use it for your emergency funds.

2. Should I withdraw the money in Acc3?
Answer: This very much depends on what you PLAN to do with your money. So I break it down in questions below.

3. Should i withdraw to close my bad debts - eg. Credit card loan, personal loan, etc.
Answer: YES. As these loans have higher interest rate than epf, then you should withdraw.

4. Should i withdraw to reduce my housing loan balance?
Answer: NO. Your housing loan interest is only 4.x%, and historically epf had been giving 5-6% of dividends, so mathematically you should keep it in epf.

5. Should i withdraw to put in ASB/ASM/Tabung Haji and the likes?
Answer: NO. These funds have been giving lower returns than epf especially in the last decade.

6. Should I withdraw to put in Bursa/S&P500?
Answer: Mostly NO, YES for some cases.
Before you withdraw for this purpose, ask yourself: Do you have extra funds in FD , ASB/ASM etc? So rather than using epf money , you should be withdrawing the other funds that are giving you lower returns.
Generally, epf is a SAFE funds. Withdrawing it to use in the stock market is high risk. You could lose money if you are not careful. So unless you are a seasoned investor and is absolutely sure that you can make money, then yes you can withdraw. But, if you are that good, do you still need epf money?

7. Should i withdraw the money to buy car/overseas vacation/iphone/etc?
Answer: YES. If you need epf money to get these things, then you are hopeless. You need the latest iphone to take photo to record how much of a fool you are.

8. Should i withdraw to buy/build/renovate your house?
Answer: Yes. In fact, this is the purpose of Acc2, to allow you to do this. After all, house is an asset, which will appreciate over time. One might opt to get funds from Acc 2+3 for this purpose. Of course, as much as possible you should try to lessen the amount you plan to withdraw.

1. Should you maintain the split of 70/30 for your existing fund or opt for initial amount transfer to Acc3?

Are we given the option to maintain 70:30? I thought regardless of whether you transferred to Account 3 or not, future contribution ratio will change?

I think there's some misinformation here.

Regardless u opt in for the initial amount transfer from Acc2 or not, eventually your future contribution will still flow into Acc3 with this new distribution 75:15:10

Correct me if I'm wrong?

1. Should you maintain the split of 70/30 for your existing fund or opt for initial amount transfer to Acc3?

Are we given the option to maintain 70:30? I thought regardless of whether you transferred to Account 3 or not, future contribution ratio will change?

Not too sure where you get 80% (or 80:20:0) suddenly. The split will always be 75:15:10

The only issue here is now 5% from account 2 will go into account 1, meaning your account 2 is lessen by 5% and "lock in" account 1 (cannot touch).

That's the only downside I see here with opting with initial amount transfer. For most people, this 5% is a small amount and negligible though.

Correct
There is no option to remain it using the old allocation.

But you can tell EPF to reinvest account 3 into 1 and 2. You need to fill up a form though.

Correct
There is no option to remain it using the old allocation.

But you can tell EPF to reinvest account 3 into 1 and 2. You need to fill up a form though.

That is the exact downside which does not make sense for me in my current scenario. I already have account 2 ready to be used for housing loan purposes. It replicates liquidity for me, as I can remove my housing loan commitments up to the amount in my account 2 (thus freeing up my income stream for other purposes which can be used just like account 3). Opting for the initial transfer locks out 5/30 of my 'liquidity' of account 2. If one has MYR 100k in account 2, that means MYR 16,666.67 locked.

I think there's some misinformation here.

Regardless u opt in for the initial amount transfer from Acc2 or not, eventually your future contribution will still flow into Acc3 with this new distribution 75:15:10

Correct me if I'm wrong?

Nv understood the idea of acc3 beyond political expediency

Acc2 allows u to withdraw for medical/housing/educational reasons, what other big life issues that needs u to withdraw your pension?