‘EPF flexible account a good way to manage immediate financial needs’
The EPF Account Restructuring Initiative appears to be a beneficial stride in empowering members with enhanced flexibility and autonomy regarding their retirement funds, says Sarawak Entrepreneur Association president Nizam Khalyd.
According to him, the introduction of a Flexible Account enables members to effectively manage immediate financial requirements without compromising their long-term retirement objectives.
“The allocation of contributions into three distinct accounts reflects a thoughtful approach to catering to members’ diverse financial needs at different life stages.
“The option for members to transfer part of their Akaun Sejahtera balance to the Flexible Account adds another layer of flexibility, allowing individuals to tailor their savings strategy according to their current financial situation,” he said in a statement yesterday.
Nizam perceived this initiative as having the potential to aid individuals requiring access to funds for immediate expenses, all while safeguarding their ability to sustain a robust retirement savings trajectory.
“Furthermore, the minimum withdrawal amount and the ability to make withdrawals online through KWSP i-Akaun or at EPF branches make the process convenient and accessible for members.
“Overall, this initiative appears to be a well-thoughtout measure by EPF to enhance member experience and support financial wellbeing throughout their lives,” he added.
Expressing similar sentiment, Kapit District Council chairman Lating Minggang said the restructuring could help alleviate some problems faced by Malaysians, especially those in the lower income group.
“This is especially in view of the government planning to reduce the subsidies.
“However, without prudent management of one’s Account 3, there could be issues cropping up later on, especially upon retirement.
“This is something all of us ought to think seriously about,” said Lating.