How to calculate EPF investment withdrawal amount?

Although EPF members investment scheme was launched years ago, yet many Malaysians still do not know the existence of it. Follow by next question: "How to calculate the withdrawal amount?". Hope this post can give all of you an insight on this matter.

First, we must know that EPF members investment scheme only allows eligible members to withdraw eligible amount to EPF-approved investment schemes. The schemes was being monitor closely by EPF authorities, by reviewing it every year, in order to protect the interest of EPF members.

Am I eligible?

Members can withdraw up to 20% of access amount from the minimum required Basic Saving in Account ONE. The minimum amount for each withdrawal is RM1,000. Sounds confusing, right? Let's explore it step-by-step.

Step 1:

Determine the age (what is your celebrated last birthday?)

Step 2:

Determine the required Basic Saving in Account 1. (Please take note that the table below has changed. You may refer to 2014 table update here)

Step 3:

Determine your Current Saving in Account 1.

Step 4:

Applying the formula : (Account 1 - Basic Saving) x 20%

Example of Calculation

Still find it difficult to understand?

Easy. Just register for an EPF i-Akaun (an online EPF account), click on the "Withdrawal" button, then you can view the eligible withdrawal amount for various purposes. It's just that simple and accurate, without calculator. What's more? You can view the withdrawal status and history too.

Related Post: EPF i-Akaun (Series 1)

Related Post: 2012/2013 List of Unit Trust funds for EPF Members Investment Scheme

Source: EPF website

Maybank Silver Investment Account

After the successful launching of Gold Investment account, Maybank had come out with another innovative option for mass market --- Silver Investment Account. This would be part of its portfolio of precious materials being offered to consumers. Yes, Maybank was the 1st bank in Malaysia to offer a silver investment passbook account, allowing deposits and withdrawals in silver at a daily price in ringgit at any of its branches nationwide.

How about the return? Of course, it all depend on the silver price fluctuations. For ease of recording and maintenance, all the transactions would be recorded in the customer's passbook. It's simple, transparent and affordable.

More about "Silver Investment Account"

Who can apply?

• Individuals aged 18 years and above
• Joint account - maximum 4 persons

Key Features of Maybank Silver Investment Account:

Benefits:

• A great way to increase the degree of portfolio diversification
• A better security against inflating economies
• It is convenient to manage your investment with your passbook
• Start right away with an affordable initial purchase

Why affordable?

Let's take the silver selling price of RM2.93 per gram (as at 9th July 2012) multiply with minimum 20 grams, it only cost you RM58.60 to kick-start your silver investment portfolio. Please add-in one off RM10 stamp duty to open the account.

Finance Malaysia Blog thinks that this is a very innovative products being offered to investors to diversify their investment portfolio to include silver as another asset class. This type of account brings us the ease of investment, forget about the hassle of trading silver. Happy investing!!!

Source: Maybank website

Want to know more about the tricks and strategy of Silver Investing in Malaysia, click here for the Silver Investment eBook...

What is INTEREST SCHEME?

There are numerous interest scheme being offered to public to participate for the past few years. It heats up when investors are looking to various instruments to grow their money after the 2008 global financial crisis. But, before we participate in those scheme, are we really fully understand what is Interest Scheme?

Interest Scheme is a way of doing business in Malaysia. Interest Scheme involves the pooling of financial contribution from the public in exchange for an interest in a particular scheme. Such interest includes the usage of the facilities and services provided under the scheme or profit or returns, depending on the nature of the scheme.

Rules and Regulations

Promoter of an interest scheme must register the scheme with SSM before it can be offered to the public. The sale of interest is governed by the provision of Division 5 of Part IV of the Companies Act. The promoter of an interest scheme is also required to comply with the Policy Guidelines and Requirements issued by SSM from time to time.

'Interest' is defined under section 84 of the Companies Act as:

A right to participate or interest in any:

• profits, assets or realization of a business;
• common enterprise with expectation of profits, rent or interest;
• time sharing scheme; and
• investment contract.

How to identify an Interest Scheme?

• You will be required to make payment to participate in the scheme
• You are not a shareholder of the company
• You are not involved in the day-to-day management of the scheme
• You have interest in the business or the scheme offered

AND any one of the following criteria:

• You have interest in the profit, asset and realization of a business or a scheme in Malaysia or elsewhere
• You are promised that you will procure returns from the payment you made
• You acquire the rights/interest in a property which includes the right to use the facilities on the property for a period of more than 12 months
• You have the right to occupy any property for 2 or more times during the tenure of the time-sharing scheme

There are various types of Interest Scheme which offers:

1. membership subscriptions of more than 12 months by Gold Clubs, Recreational Clubs and Fitness Clubs
2. participate in time-sharing scheme
3. invest in plantation and aquaculture scheme for commercial purposes (etc. Sharefarming)
4. invest in Breeding of Livestock for commercial purposes (etc. swiftlets, catfish)
5. invest in business whereby the investors are not involved in day-to-day management
6. purchase burial plots, urns and columbaria by Memorial Park
7. purchase undivided interest in greebelt land where by purchasers are let to expect profit from the sale of the appreciated value of the land (Land Banking Scheme)

Click here for FULL list of registered scheme in Malaysia
Click here for FULL list of TERMINATED scheme in Malaysia

Source: Suruhanjaya Syarikat Malaysia (SSM)

RHBRI: Market Outlook & Strategy 2H2012

In our view, the equity market will likely be stuck in a range-bound trading pattern for now, but will likely trend up as global economic uncertainties clear out towards the later part of the year. Investors’ key worries include :

1. worsening of the euro-debt crisis that remains unresolved
2. fears of China’s and India’s economies crashing down into a hard landing; and
3. the risk of US falling off the “fiscal cliff”.

External Volatility And Impending Election 2 Key Headwinds

On the home front, the major event to watch out for is the impending general election that could also create volatility to the local bourse given the uncertain election outcome. Nevertheless, we believe the market will eventually trend higher towards end-2012, premised on:

1. the ECB making a more decisive move to mutualise the debts of Eurozone governments;
2. China policymakers ease policies substantially and its economic growth re-accelerates;
3. US Congressional leaders cobble together some deals to mitigate the impact from the “fiscal cliff” and allay the fear of its economy falling off the cliff; and
4. domestically, the general election produces a result where the ruling coalition party remains in control of the government.

Meanwhile, global financial markets are still likely to be awash with liquidity as central banks in advance countries have pledged to maintain extremely loose monetary policy and could unveil more quantitative easing programmes to support economic growth should the situation warrant. 


On the home front, the economy is more resilient than feared and we expect real GDP growth to stage a modest rebound to 4.7% yoy in the 2H, from +4.4% estimated for the 1H. In the same vein, net EPS growth for the market is projected to recover to +10.8% in 2012 before moderating to +7.8% in 2013. Consequently, we are maintaining our end-2012 FBM KLCI target at 1,650 based on 14.6x 2013 earnings.

Given global macro headwinds and general eletion risks on the home front, we believe it pays for the more discerning investors to hold some defensive stocks that have strong cash flows to pay sustainable dividends in their portfolios. In addition, we believe investors would still need to accumulate fundamentally-robust stocks on weakness in order to outperform the market. Sector-wise, our key overweight are telecommunications, consumer and banking, although we also have an overweight stance on the utilities, gaming and semiconductor sectors.


Source: RHB Research Institute