The Employees Provident Fund (EPF) has unveiled their latest annual report, and some of the stats are pretty alarming.
According to the report, one in three Malaysians does not have a savings account, and most have not saved enough to last them more than five years after retirement. What’s even more disturbing is that in urban households, 86% do not have savings and 90% of rural households do not have savings.
“Malaysians need to be empowered and take charge of their own financial decisions according to their life stages,” EPF deputy chief executive officer (operations) Datuk Mohd Naim Daruwish told The Star Online at the unveiling.
The report also highlighted that 68% of EPF members aged 54 and above had savings of less than RM50,000 – a sum that would only last them a couple of years.
“Assuming that the members spend RM830 per month, RM50,000 in savings can only last them for five years,” said Naim.
Naim also revealed that only 18% of EPF members achieved the basic savings quantum according to age, way below EPF’s target of getting at least half of its members to meet the minimum basic savings.
