EPF's New Savings Structure Offers Members Greater Financial Flexibility

Starting May 11, EPF members under 55 will experience a change in their accounts as they are restructured into three distinct categories: Akaun Persaraan, Akaun Sejahtera, and Akaun Fleksibel.

How the Changes Work

The balance in Accounts 1 and 2 will stay the same, while Akaun Fleksibel (Account 3) will start with zero. Once the changes take effect, new contributions will be divided into three categories: 75% will go to Akaun Persaraan, 15% to Akaun Sejahtera, and 10% to Akaun Fleksibel.

The Role of Each Account

- **Akaun Persaraan** is designed to gather savings that will serve as income during retirement.

- **Akaun Sejahtera** is set up to meet life cycle needs and improve well-being during retirement.

- **Akaun Fleksibel** is a new account offering flexibility for short-term financial needs, allowing members to withdraw funds as needed.

Focus on Financial Empowerment

EPF Chief Executive Officer Ahmad Zulqarnain Onn stated that the goal of the restructuring is to empower members to balance future retirement needs with short, medium, and long-term financial demands. This initiative aims to improve members' retirement savings, ensuring they have enough income to sustain themselves post-retirement.

Opt-In Option

Members can choose to transfer a portion of their Akaun Sejahtera savings (previously Account 2) to Akaun Fleksibel as an initial amount. This allows members to make withdrawals from Akaun Fleksibel without waiting for new contributions.

Akaun Fleksibel

Akaun Fleksibel is a new account intended to meet short-term needs. Members can withdraw savings from this account at any time for any purpose, provided the minimum withdrawal amount is RM50. Applications can be made through EPF i-Akaun or at any EPF branch starting May 12.

For more details on the restructuring, members can visit any EPF branch, check the official website, or access the EPF i-Akaun.

**Transfer Options**

Here’s how transfers work when a member opts-in for the initial amount:

- **Akaun Sejahtera balance of RM3,000 or more**:

- 10/30 of the balance goes to Akaun Fleksibel.

- 5/30 of the balance goes to Akaun Persaraan.

- 15/30 stays in Akaun Sejahtera.

- Akaun Sejahtera balance under RM3,000

- All funds move to Akaun Fleksibel if the balance is RM1,000 or less.

- If the balance is between RM1,000 and RM3,000, RM1,000 goes to Akaun Fleksibel, while the rest stays in Akaun Sejahtera.

- No funds go to Akaun Persaraan for balances under RM3,000.

This distribution method provides members with lower balances a chance to build a meaningful starting amount in Akaun Fleksibel.

Members have until August 31, 2024, to opt-in for the initial transfer to Akaun Fleksibel. Once made, this decision cannot be reversed.

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