Wednesday, November 19, 2008

Reducing EPF...

I have mixed feelings about this. Seriously, who wouldn't want extra cash to spend aite? But then aku tak nak la nanti bila dah tua2 struggle nak mati dengan savings, so thinking back, its a bit unfavourable at my end.

Working in private firms means no pension money, which equates to no guarantee of a confortable nest egg at your retirement age. Sigh. Its sad, but true. Sebab tu la mak mak selalu encourage kerja, stable and hmmm....

But knowing me I would NEVER fit in with the government culture. So adios kudos to that.


So here I am, slaving in a corporate company who doesn't pay pension and the only secure savings I have for my retirement age is EPF.

I hate to be too reliant. But I am not joking.

With the price (of everything) increasing and a need to maintain the living standards I am in now , obviously there is a constant money pressure. I think all of us is facing the same problem. (Nasib baik harga minyak sudah turun lagi, harga barang bila mau turun??). And the wedding coming up, lagi la aku terkial-kial menabung.


I have to admit that I am tempted to reduce my contribution.

But then the temporary plus points of opting for the reduced rate diminishes when I picture myself at old age, wrinkled (though aged gracefully) , still struggling with money because I stupidly decided that I want to contribute less.


So here I am, eagerly waiting for 1st December to sign off the forms to maintain my EPF contribution rates.


Bersusah-susah dahulu, bersenang-senang kemudian. Takpe la, at least my nest egg is 3% higher at old age.

*Ini semua akibat the grossly images of me at old age with no one to take care off me. Sigh. Paranoia!*


zie said...

Sebenarnyer i pung kira-kira gak. Better stay at 11%, not wise la nak reduce to 8%. Not wise, not wise.

Zuraida said...


tau takpe...

fifi said...

hi..silent reader here..
klu u cut to 8% but the balance 3% tu u masuk asb.. lagi worth tak?more dividend given i think

Zuraida said...


that's actually a good point. but then it depends on how much the total real value of 3% we are talking about kan??

i think that if you are at the higher end of the payscale and life is comfy enough that you wont spend it, ok, maybe ASB is a better option la sebab ur 3% may end up quite a sum in the first place.

But the if the pay scale is between low to medium range and at the end of the day u have money control issues, better let it stay where it is in the first place. Why?


1. at the end of the day not much dividend will be gained anyway, since the principal injected is still low.

2. combats the urge to spend the money. Sometimes money can get lost in between banks/activities/etc...

*yeah yeah yeah, pppl with a lot of control issues like me usually have that problem every month.*