The Employees Provident Fund (Abbreviation: EPF, Malay: Kumpulan Wang Simpanan Pekerja) is a government organisation in charge of social security or retirement planning for employees in Malaysia. Membership to the EPF is voluntary for Malaysian citizens, or non-Malaysian citizens who are either permenant residents or have been EPF members before 1 August, 1998.^[1] An abbreviation (from Latin brevis short) is a shortened form of a word or phrase. ... The Malay language, also known locally as Bahasa Melayu, is an Austronesian language spoken by the Malay people who reside in the Malay Peninsula, southern Thailand, the Philippines, Singapore, central eastern Sumatra, the Riau islands, and parts of the coast of Borneo. ... Social security primarily refers to a field of social welfare concerned with social protection, or protection against socially recognized conditions, including poverty, old age, disability, unemployment, families with children and others. ... A retirement plan is an arrangement to provide people with an income, or pension, during retirement, when they are no longer earning a steady income from employment. ... To become a Citizen of Malaysia, a person must meet the requirements of the Malaysia Citizenship Rules 1964. ... Permanent residency refers to a persons status such that the person is allowed to reside indefinitely within the country despite not having citizenship. ...

Overview

The Malaysian EPF was formed after the enactment of the Employees Provident Fund Act 1991 (Act 452), which grants employees retirement benefits via a body that is intended to manages their savings.^[2] As of 31 December, 2006, a total of 11.4 million members have registered to the EPF, of which 5.4 million are active and contributing members, and 416,000 are active employers.^[2]

The EPF, is intended to help employees from both private and non-pensionable public sectors save a fraction of their salary in a lifetime banking scheme, to be used in an event that the employee is temporarily or no longer fit to work. The EPF primarily applies to retirement, but sickness, disabilities or unemployment are also covered. The EPF also provides a framework for employers to meet legal and moral obligations to their employees.^[2] A pension is a steady income given to a person (usually after retirement). ... Retirement is the point where a person stops employment. ... Look up disability in Wiktionary, the free dictionary. ... An 1837 political cartoon about unemployment in the United States. ...

Savings and investments

As of 2007, the EPF functions by procuring at least 11% of each member's monthly salary and storing it in a savings account, while the member's employer is obligated to additionally fund at least 12% of employee's salary to the savings at the same time.^[2]

While in savings, an member's EPF may be used as investments for approved and stable financial instruments by the organisation, from which dividends are banked to respective members' accounts. The EPF guarantees a 2.5% dividend annually. Alternately, members may use their EPF savings in their own investments, although such activities are not covered by the EPF and the members are to bear any losses made.^[2] Invest redirects here. ... // This article is about corporate dividends. ...

Withdrawal

As a retirement plan, money accumulated in an EPF savings can only be withdrawn when members reach 50 years old, during which they may withdraw only 30% of their EPF; members who are 55 years old or older may withdraw all of their EPF.^[1] When a member dies beforehand, the EPF fund is withdrawn to the member's family members.^[3] Withdrawals are also possible when a member will emigrate,^[4] becomes disabled,^[5] or requires essential medical treatment.^[6] It has been suggested that this article or section be merged with Immigration. ... Look up disability in Wiktionary, the free dictionary. ...

Accounts

Effective 1 January, 2007, a member's EPF savings consists of two accounts that vary by their share of savings and withdrawal flexibilities. The first account, dubbed "Account I", stores 70% of the members' monthly contribution, while the second account, dubbed "Account II", stores 30%. Account I restricts withdrawals to the moment the member reaches an age of 55 years old, is incapacitated, leaves the country or passes away. Withdrawal of savings from Account II however, is permitted for down payments or loan settlements for a member's first house, finances for education and medical expenses, investments, and the time when the member reaches 50 years of age.^[7] The term down payment is used in the context of buying large expensive items like cars and houses, whereby a loan is required to make the full payment. ...

References

1. ^ ^{a b} Life Events » Retiring from Workforce. Official EPF website. Retrieved on 14 February 2007.
2. ^ ^{a b c d e} About EPF » Corporate Information. Official EPF website. Retrieved on 14 February 2007.
3. ^ Life Events » In Event of Death. Official EPF website. Retrieved on 14 February 2007.
4. ^ Life Events » Leaving the Country. Official EPF website. Retrieved on 14 February 2007.
5. ^ Life Events » Disability & Incapacitation. Official EPF website. Retrieved on 14 February 2007.
6. ^ Life Events » Treating Illnesses. Official EPF website. Retrieved on 14 February 2007.
7. ^ Members » General Information. Official EPF website. Retrieved on 14 February 2007.

February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ... February 14 is the 45th day of the year in the Gregorian calendar. ... 2007 (MMVII) is the current year, a common year starting on Monday of the Gregorian calendar and the Anno Domini (common) era. ...

See also

• The Employees Provident Fund Organisation of India, also known as the "Employees Provident Fund".
• Central Provident Fund, Singapore's Provident Fund
• Provident Fund, for other "Provident Funds" in other countries.

The Employees Provident Fund Organisation (EPFO) of India was established in the year 1952 consequent to the enactment of the Employees Provident Funds and Miscellaneous Provisions Act, 1952. ... The Central Provident Fund (CPF) (Chinese: 公积金) is a comprehensive social security savings plan which aims to provide working Singaporeans with a sense of security and confidence in their old age. ... CPF Building, headquarters of the CPF Board, is located on Robinson Road. ...

External links

• Official Employees Provident Fund website. (English)
• Employees Provident Fund at the official Malaysian government website.