How EPF Account 3 Will Affect Malaysians?
HTML-код
- Опубликовано: 17 окт 2024
- KWSP has introduced a New Account named Akaun Fleksibel for Malaysians and it is free to withdraw anytime. But how will this affects Malaysians? Does it has a different dividend rate? Let's find out in this video!
What to Watch Next:
🍀This Is How Much Money You Need if You Stop Working in Malaysia
• This Is How Much Money...
🌲Netflix: Should You Invest?
• Netflix: Should You In...
🏡 I Wish I knew This In My 20s...
• I Wish I knew This In ...
🥑 How to invest with RM1000 in 2023!
• ALL Malaysians Should ...
#malaysia #mrmoneytv #kwsp #epf #malaysian #news #finance
--
Come say Hi to us at,
🌐 Website: www.mrmoneytv....
📘 Facebook: / mrmoneytv
🐦Twitter: / mrmoneytv3
📱 Instagram: /
🖊️ LinkedIn: / mr-money-tv
🤳 TikTok: @mrmoneytvchannel
🎙️ Podcast: open.spotify.c...
For business & job enquiries, do contact us at
✉️ mrmoney@mrmoneytv.com
Disclaimer:
This is not an investment advice. All content produced is solely for education and entertainment purposes only. Please consult your financial advisor before making any investment decision.
I do not recommend people who lack investment knowledge to take money out from EPF to invest elsewhere. Let the Pro do the job for you. Yes, you will hear a lot of these financial agents or friends encouraging you to take money out. Because you do not have knowledge nor time to manage, you'll end up not making in fact losing your hard earned money if you aren't careful. While EPF returns hovers around 5% yearly, you are sure that your money is safe. When you lose money in your investment, your friend and that investment agent isn't going to be able to get you those money lost. Just don't be greedy. Just my 2 cents.
Totally agreed. Epf 5% is more secure & reliable.
how about investing in Public Mutual unit trust?
@@yukigumarnament5916 I am no expert to give investment advice. Just asked yourself, do you have the knowledge & time? Do you think you can afford to lose $ while you gain knowledge? If your answer is yes because you young and just stepping into the working world, then I would say no harm to take this route to learn. If you are in your late 30s or 40s, with family and kids, less than 20 years for retirement, I suggests that you reconsider. End of day, make or break, you are impacting your family's & your life. Your financial advisor or friends isn't going to help carry your burden if investment fails. While 5% doesn't seemed a lot but if you have sufficient fund in your EPF, yearly compounding interest can give you & your family a comfortable life when you retire. Having more $ is great but $ isn't everything. Focus on getting a steady & safe investment via EPF.
@@yukigumarnament5916 Base on my past experience it is more secure putting your money in Kwsp then mutual fund. I still have mutual fund in P bank & it is always negative & have change a few agents due to they resigning without border to inform you.
Maybe i am unlucky.
@@yukigumarnament5916 so far, my public mutual unit trusts are worse than FD rates from bank. the oldest fund i bought is 5% higher than the price i invested 13 years ago (lebih kurang), means that it is worst than FD. the reason i bought unit trust is i don't how to invest. but with this kind of result, it is better to just park in bank in FD
I'm 25 year old and got a decent amount, didn't withdraw a single penny worked hard and hope it grows.
Dun worry it will grow so well trust me 🙏I’m also start around 25 now I’m 44
@sherrykoo6103 hope im still working at 44, not sure if ai is going to replace jobs, but i also have more investment on the side so i have a buffer for disaster.
If you can manage and know to invest, stop lost and self-control, have forseen a better opportunity, why not withdraw? But before withdraw, just think twice if you can achieve better return than epf 5% average.
Bro, u speak truth. Unfortunately I guess 95% of the population cannot turn profitable via the investment route. Education levels, IQ level, mastery of mathematics & statistics, not to mention the market is filled with false teachers that they themselves are not profitable.
I've come to this realisation too. Whereas it's such a struggle to work and save 100k or more to get that kind of dividend with a bank, EPF already gives you this. Needless to say my personal savings is a loser compared to what I've contributed to EPF because of the returns.
For developing countries with potentially weak and falling currencies, keeping that much money locked in for decades might result in much lower purchasing power at the end. Therefore, being able to withdraw more now (and perhaps invest it elsewhere) could be better for some people. [Edit] I should add that withdrawing the money now to purchase something that you need or really want could also be a good idea if in two or three years the cost could very well go up from say, RM 2000 to RM 2800. This is because the EPF returns cannot compensate for real inflation AND the devaluation of the currency on the global stage. Not to mention the risk of hyperinflation. Even salary adjustments will be of no benefit to those already retired or close to retirement.
You don't really need to withdraw from account 3 and invest elsewhere. EPF holders actually can apply for unit trust investment through the account 1 without even touching account 3. You can even choose funds with different exposure such as the US or China ... For those who invested their EPF in unit trust funds related to the US market the last few years would have gained significantly.
It has been more than 10 years that EPF allow holders to invest in unit trust via account 1.
The function of account 3 is really for emergency use.
You can invest in unit trust through account 1 with way more amount than your account 3..
MYR is getting stronger. I think it will hit low 4's by year end to USD.
Everyone that I've asked have lost their epf money to unit trusts. @@eugp4198
If and only if the reason people withdraw is to invest. The only ones I see withdrawing that small fraction of money from account 3 are the ones taking it out to help fund his new iPhone
1:23 min, Below RM 5K employee 11% employer 13%. Above RM5K employee 11% employer 12%
I'm not Malaysian and was a bit confused by the final minute of the video. From what you have described, the EPF system is a collection of individual retirement accounts, like savings accounts, and you are only able to withdraw what you have saved. This is unlike a pooled pension system, where all contributions go into a central pool before a portion is re-distributed to retirees as say, annuities. If it's not a pooled pension system, even if the total of individual withdrawals exceed total of individual deposits, there should not be a problem, because everyone is basically funding themselves, not funding others. Or is your worry that without a critical mass of funds, EPF will be unable to achieve good returns and dividends for all members as good returns often require substantial investment?
In theory as epf is a self funded system, unlike a pooled system, so withdrawals shouldnt be an issue, but as for ur concern on fund size affecting perfomance, most people assume big fund = good returns, but its not always the case, the bigger the fund, the less nimble you are, and u need to hold more cash for withdrawal, and big funds cant invest in small cap stocks with low liquidiuty / volume without pumping up the price, but investing in small caps is how u get the best returns
@@Eugenewong794actually, I'm not concerned about fund size, Mr MoneyTV is. I'm just baffled as to why he made those statements towards the end of the video. So if we accept that bigger funds are less nimble, then Mr MoneyTV should not worry about fund size.
@@Eugenewong794actually, I'm not concerned about the size of the fund (I'm not Malaysian), but Mr Money TV is. I'm just baffled, since it is not a pooled pension system. So if we accept that bigger funds are less nimble, than Mr Money TV need not worry about a smaller fund.
EPF is not pension system
i think its more of a concern that sudden outflow of funds will cause the returns to suffer because investment strategy requires a certain timeframe. with retirement accounts there are some patterns from influx and withdrawals as the age and time of retirement is known. everyone is funding themselves, but the pooled amount is invested with a singular strategy. that strategy require a good timeframe to achieve the intended returns. the third account is a pressure release valve as the government realize most malaysians don't actually have good personal savings.
Shrinking work force already started, and it is not because of low birth rate. Most graduate dont have intention to stay in Malaysia. A big portion of malaysia professional work in Singapore for better salary and career prospect. Thus, EPF already experiencing lower monthly contribution while seeing higher withdrawal.
Lower birth rate will happen to every industrialize society. But unlike others developed country , we had a very large size unintegrated labor force, point is only do we want to include them..
Why do I want to keep the Malaysian ringgit as the value is so weak? I’d rather withdraw and buy property or invest in some other instrument which can give higher returns. The ringgit is a joke and turning worthless.
If you can beat EPF return constantly , then yeah just withdraw. Else everyone will spend on vacation, bags, gadgets after their small win from investing..
@@jepertine0 buy real estate. It's a decades long win win investment.
The chances are you couldnt beat the constant 6% return. 😅
Talk like real walaun. You can guarantee 5℅ confirm yield yearly ?
The flexible account is great as an emergency account 👍
Yolo, covid i took out 15k to buy stocks, already doubled and put back 16k in 🙂 i can only imagine how much the rich people made out of covid
Peter, if epf is dependent on new contribution from young population to pay retirees, isn’t that a ponzi scheme? Epf should be able to pay the contributor, without depending on new contribution rite?
I am wondering about the compounding effect for leaving acct 3 as it is versus actively move all amount on acct 3 to acct 1. I read there is one way option to transfer from acc 3 to acc 1 but yet to be available.
@@ect8565 no reason to move it to account 1 if EPF is not making account 3 having different dividend %. Unless, you are worried that you would withdraw from account 3 for unnecessary spending, then by all means, you can, else I don't see a need. Discipline is what is important for those who moved 10% into their account 3 from current account 2. If you didn't, then your current account 3 would probably don't have much yet since EPF just started doing this 75/15/10 distribution ratio.
Well . Theres a limit for withdrawal...so should not affect the retirement money.. i just know that many of us dont even can save for holidays ...so is a chance to draw out a little for enjoyment as is our own money also ..just draw out if needs..
well, newsflash: holidays are not a compulsory part of one's life. I don't know why Malaysians love to go for holidays so much eventhough they have no money, some of them to the extent of making personal loans just to go for holidays. What do you get after you come back from that trip? If i want to see a place, i'd just watch a 4k uhd youtube video of that place on my 60" tv while sipping my iced tea on my sofa...much better!
My friends withdrawal EPF to enjoy life - they withdrawal RM30k during previous government - now RM30K less in their EPF account - love to see how they would cope after their retirement
Actually Mr Money, I've noticed that EPF has started reducing its holding position on some key glc stock counters which they are a significant shareholder.
Probably indicating stress on their cash flow...
Most probably to fund withdraws for Acc 3.
As you have highlighted, 10-15yrs from now, it will get harder. Our EPF and politicians will probably take the route of SG, by increasing retirement age and full withdrawal age...Personally I think all Malaysian will do well to pick up skills to manage their own money and rate of returns. Unfortunately these skills are not taught in school.
EPF used to have 3 accounts before 2007 right? The third account was 10% for medical cost~
Ofc. Needed the money for insider trading.
I think people should withdraw. Buy stuff you want because it is sad when one day you withdraw to retire but the savings have no purchasing power
On the hindsight, the economy would be more active with the new purchasing power.
can I turn account 3 into a saving account?
I supported this types of methods because kwsp knows most people have living life of yolo in Malaysia.
Account 3 is good idea but there's a catch because if you doesn't control your desire over wants that makes this account 3 catastrophic failure for most people.
First peoples must know the difference between Needs& Wants...
12:00 There is no need to worry for our grand children. Our national retirement schemes is different because each of us has our own individual account and we are spending our own retirement saving. Life expectancy is higher but our gov doesn’t have to feed us with pension money until the last second of our breath.
I took out 30k from account 3 and invested it in unit trust. 2 months later i already realized 10% profit.
N/B: already invested via account 1 previously
I have been invested in unit trust with EPF account 1 since 10 years ago, and the fund is mainly focusing on the US market.. don't really need account 3 to do that.. And it doesn't limit me with just using the small amount from account 3..
@@eugp4198 i already invested around 200k in unit trust & realized some of the funds up to 30% this year alone. Just wanted to add more as cash investment
@@eugp4198 I already invested around 200k from account 1 prior to the 30k into unit trust.. some of the funds already realized 30% this year alone. Wanted to take opportunity to inject more under the "cash" category
Hi sir, can you share on wat type investment that u invest in? Seems good return in 2 month.
you can also lose all...
Can the rakyat know if EPF is audited? How are the fund manage? If it is a loss then who should be responsible.?
Hey deyy...Of course la epf diaudit..baru sekarang mau tanya soalan kaa?..orang sudah lama tau laa
I leverage a/c 1 to invest in unit trust, a/c 3 act as my emergency fund, monthly savings diversify into different investments portfolio (ie crypto, share market, ASM, ETF & etc.)
Malaysians are not ready for retirement. It's very scary looking at the statistics.
if balance in ur epf is high, i think withdrawing money from epf is a bad move even if ones put it on better returns bc the capital inside epf is still much higher hence giving u better return.
If shrinking workforce affect EPF that causes lower epf contribution will cause problem, and EPF needs more contribution than withdrawal
Isnt that basicly Legalized Ponzi Scheme then?
Basicly Future generation paying for Previous Generation's retirement?
Perhaps maybe there is a catch on what makes it not a Ponzi Scheme?
Correct.
Average withdrawal of Rm2k+ from Acc 3 with just 2 months since May, mean these aren't average people. U need a salary of Rm45k per month to accumulate Rm2070 in just 2 months in account 3.
You just described EPF as a defined benefit scheme like KWAP. EPF is a defined contribution scheme. You can only withdraw what you put in (+ the interest earned). Know the difference. Basically you called EPF a ponzi scheme. You should be responsible and unlist this video.
Is a good thing... put in foreign currency better in putting MYR
12:32 somehow i felt like this wasn't financial advice, more like father's advice 🤣
Hahahaha. Oops 🫢 go get some babies
@@MrMoneyTVsorry not my problem
@@MrMoneyTVmy kid is not to solve your problem
I made a withdrawal to jimat 2 months of contribution plan in achieving 1 year emergency fund (12 month salary). Afterwards, the fund I will put in several ASB account fund (ASB, ASM etc).
Many took money out to buy gold jewellery.
I mean the value of our currency will potential detroriate 20-30 years down the line when we have withdrawn it best withdraw and reinvest that 3rd acct
Should not withdraw la. Instead should keep adding also separately.
not really.. epf take 75% for account 1 compare to 70% before.. its look like win-win situation
No idea, how I am going to better investor than fund manager in EPF.
Let me shine some light to give u hope:
1. The epf fund managers are paid salary & performance bonus. This will be taken out from your epf investment profit.
2. EPF investment move needs approval & levels of hierarchy of check and balance. Harder compared to yourself investing. Pros - they mitigate more risk. Cons - they cannot go for certain high gain counters due to it not fulfilling all their checkbox, & slow to respond to 'attack'. If u r good, u have access to these counters.
3. Even if you perform as well as the EPF fund managers, you will already earn much more than EPF d. Cos no need pay management fee.
4. EPF trading is prone to 'shark attack'. Like a big tuna swimming in the ocean, a lot of foreign shark lurking around to attack. Not easy for EPF to run, sometimes they fight and win, other times I see them lose and lick their wounds the next day. Sometimes they split themself into small small fish and try to hide when swimming around. But then foreign sharks have developed sonar to detect these small groups of fish in disguise. Anyways, point is
Alone u small fish, won't attract big shark attack. Sometimes if u lucky & clever, when big shark attack, u can follow along attack EPF...
Best of luck. There's this saying, 90% ppl lose 90% of their trading funds within 90 days. Don't be greedy.
But duit tak cukup how to have kids 😅
Why worry no money just ask free money from the national ATM. Apa malu the top are taking free money so we can also right????
9:30 biggest challenge😅
No lah...
11:36 sounds like a ponzi scheme 🤔😂
🎉🎉🎉🎉❤
I have a feeling some idiots will take the money out of the Flexible account, to invest in bitcoin..😂
Take out just to convert to AUD migrate😂
🤑🤑🤑
KWSP too distracted by creating all these fancy withdrawals. I rather they focus on maximising returns and stop investing in loss making companies like Axiata, Serba Dinamik etc etc. 2023 returns are abysmal and we as EPF contributors can't say much or complain about it
SARS - 2002
H1N1 - 2009
COVID - 2020
Notice the pattern, so plan your finances accordingly for the future...
100k in epf means i can take out 10k from acc3 now theres 90k then i take 10% again so 9k then continue sampai kosong haha
pension scheme
More money in circulation. The rich will get richer.
Never withdraw , snowball effect is important. Epf account must achieve capital at least 100k for that effect