EPF to Raise Basic Savings Level Starting Jan 2014



EPFStarting from January 2014, Employees Provident Fund (EPF) will revise upwards the basic savings level of its members. The aim is to ensure  its members have enough savings to finance their retirement needs.

The new quantum is RM198,000 by the age of 55 compare to RM120,000 at the current level. It will be equivalent to RM820 a month for 20 years from age 55 to 75. The new rates are benchmarked against the minimum pension for public sector employees which are currently at RM820 a month. This will avoid the monthly retirement income not fall below the poverty level.

The impact to this new revision is, members will need to have more funds in their account to be eligible to withdraw for the purpose of EPF Members Investment Scheme.

The table below is the current & new Basic Savings Level for EPF members.

Basic Saving (RM)
Age Current Jan 2014 Difference
18              1,000              1,000                   –
19              2,000              2,000                   –
20              3,000              4,000            1,000
21              4,000              5,000            1,000
22              5,000              7,000            2,000
23              7,000              9,000            2,000
24              8,000            11,000            3,000
25              9,000            13,000            4,000
26            11,000            15,000            4,000
27            12,000            18,000            6,000
28            14,000            21,000            7,000
29            16,000            24,000            8,000
30            18,000            27,000            9,000
31            20,000            30,000          10,000
32            22,000            34,000          12,000
33            24,000            37,000          13,000
34            26,000            41,000          15,000
35            29,000            46,000          17,000
36            32,000            50,000          18,000
37            34,000            54,000          20,000
38            37,000            59,000          22,000
39            41,000            64,000          23,000
40            44,000            69,000          25,000
41            48,000            76,000          28,000
42            51,000            81,000          30,000
43            55,000            88,000          33,000
44            59,000            95,000          36,000
45            64,000          102,000          38,000
46            68,000          109,000          41,000
47            73,000          117,000          44,000
48            78,000          125,000          47,000
49            84,000          134,000          50,000
50            90,000          143,000          53,000
51            96,000          153,000          57,000
52          102,000          163,000          61,000
53          109,000          174,000          65,000
54          116,000          185,000          69,000
55          120,000          196,000          76,000


Leave a Comment

  • kk 3rd September, 2013, 1:50 pm

    I got the feeling that much of EPF money has been borrowed by the government and used up; that is
    the reason for this move as EPF is cash strapped-now.

    Reply
  • aaa 6th September, 2013, 9:44 am

    No la. people live longer, dats the prob!.

    Reply
  • tt 29th January, 2014, 8:19 am

    The inflation rate increase

    Reply