Eight out of 10 Employees Provident Fund (EPF) members will retire in poverty with only RM4 a month to spend for 20 years, for the B40 (bottom 40 per cent income) group.
This as the median savings for the B40 group was reduced by 61 per cent to RM1,000, and the median savings for the middle 40 per cent income group (M40) fell 17 per cent to RM24,000, reported The Malaysian Reserve.
Prominent economist Dr Muhammed Abdul Khalid told the business daily that as such, the government should no longer consider calls for depositers to withdraw funds from the EPF anymore.
"There are no economical and moral arguments for allowing the depositors to withdraw from EPF. The government should provide sufficient assistance and not dig into the rakyat's savings.
"Because of the reckless decision to allow the withdrawal last year, many of the depositors will face a bleak future. It is immoral if the government forces them to use whatever is left of their retirement savings to mitigate the fiscal problems," he said.
Muhammad noted that the "short-sighted" policy will impact Malaysia in the near future as it is an ageing nation, and expected to be an aged nation by 2030, where 15 per cent of its popylation will be senior citizens.
EPF members were allowed to tap into their retirement savings through various schemes, for withdrawals amounting to RM101 billion, since the COVID-19 pandemic hit in early 2020.
Umno leaders have urged the government to allow yet another round of withdrawal, but Prime Minister Ismail Sabri Yaakob has rejected such calls.
It was previously reported that more than six million EPF members have less than RM10,000 in their accounts to last their twilight years.
Of this, 3.6 million people have less than RM1,000, a statement from EPF had revealed last year.
The Bumiputera and Malays made up the bulk of the group with the least number of savings left, with more 4.4 million (54 per cent) having less than RM10,000, and 2 million (25 per cent) having less than RM1,000 left in their accounts.
This was followed by the Chinese (13 per cent), and Indians (seven per cent), who have below RM10,000 in their accounts.
EPF estimates that an individual has to work another four to six years to rebuild the depleted savings nest.
Source: The Malaysian Reserve
Photo source: Malay Mail
Fri Jan 07 2022
Nisshaa, A Young Woman Who Is Not Letting Her Crippling Condition Get in the Way
Nisshaa Muniandy suffers from a crippling combination of dystonia and epilepsy, but the young woman is not letting that get in her way of achieving in life. This is her inspiring story...
Satyan Anandarishnan Helps to Create a Component for the James Webb Telescope
Did you know that former aeronautics engineer Satyan Anandarishnan from Petaling Jaya had a hand in creating a component for NASA's James Webb Telescope? Here's his story...
[LIVE] GE15 Results Update
The results of the contest for 220 of the 222 parliamentary seats and 116 of the 117 state seats will be announced tonight.
Learn, Not Memorize the Language: Says This Award-Winning Malay Language Professor
Professor Dr Vijayaletchumy Subramaniam has won various awards for her inventions in the Malay language, and her achievements are far from over. This is her inspiring story...
Educator Creates Second Record for Solving 51.3k Piece Jigsaw Puzzle!
Educator Shamini Vinoothan has secured another spot in the Malaysia Book of Records for solving a 51,300 piece jigsaw puzzle.
Meet The First Indian Horseback Archer
Rubentheran Sivagurunathan is the country's first Indian horseback archer, and he wants more Indians to be involved in the sport. Here's his story...
Meet The Baker Who Makes Surreally Lifelike Indian-Themed Designer Cakes
You would have probably come across images of Sundri Ramesh's works of art - cakes that look exactly like a saree, or other Indian traditional clothes. This is the story of the baker who gave up her corporate career to pursue her passion.
Standing Tall: Quick Facts About World's Second Tallest Building, Merdeka 118
Here are some quick facts about Merdeka 118, the world's second-tallest building, which has put the country back on the world map.
Five Quick Reasons We Are Lucky to Be Malaysians!
Malaysians celebrate our independence on August 31 and Hari Malaysia on Sept 16. No matter what our racial and religious beliefs are, here are five quick reasons we should all be proud of being Malaysians...
Once Malnourished India is Getting Fatter: Survey
Long known as a country of malnourished, underweight people, India is inching its way into becoming an obese country, a government survey has revealed.
Veteran Comedian Actor Siva Narayanamurthy Passes Away
Comedian of Tamil cinema Siva Narayanamurthy has passed away due to ill health.
Deepika Padukone To Unveil The Coveted FIFA World Cup 2022 Trophy
Deepika will be making an exclusive appearance at the FIFA World Cup 2022
Malaysian Trailblazing Women Graduates Inspire the Next Generation!
Meet the trios, who have set a high bar to accomplish their goals.
Watch Karthigai Deepam LIVE Streaming from Thiruvannamalai
Watch LIVE telecast of Karthigai Deepam 2022!
Radio Masti 24x7 is the First to partner from Singapore with Astro Malaysia!
Bollywood Masti (Fun) unlimited now on SYOK in Malaysia.
TFA’s Shantanand Festival of Arts 2022 Returns With Shrine of Artistic and Cultural Activity
With the theme “Remember, Reignite, Reconnect,” the Temple of Fine Arts’ annual arts extravaganza returns, rekindled, resilient, reignited, reconnecting to the world!
Karthigai Deepam 2022: Know The Significance, Rituals, & Time of This Grand Festival
As Karthigai Deepam is lit up at 6.00pm sharp each year on the top of the Thiruvannamalai hill, we may start to light up the lamps at the same time as the temple lights up.
Diiyaash Dev; A Young Prodigy with A Powerful Memory Holds the Malaysia Book of Records
Meet our Lil champ Diiyaash Dev who has carved his name in the Malaysia Book of Records (MBR) by being “The Youngest to Speak Expressive Vocabulary” in Malaysia.
Kangana Ranaut To Take On The Iconic Role Of ‘Chandramukhi’
Kangana Ranaut who plays the female lead role in Jayalalithaa's biopic film - ‘Thalaivii’ is all set to bring back her majestic appearance in the iconic role of Chandramukhi in P. Vasu’s Chandramukhi 2.
Check Out 6 Movies of Kamal Haasan That Celebrated Tamil Art & Tradition!
Let's take a look at the 6 movies Kamal Haasan brought Tamil arts and traditions to the mass audience...