KWSP 2009 Statistic & Annual Report

The EPF's Annual Report 2009 was tabled in Parliament on 13.7.2010 and it is good to know that the information is available for public to access.

• The statistic 2009 (12 pages) is available here.
• The full financial statement (72 pages) is available here.
• The Nanyang newspaper cutting is available here.

I did some analysis myself, interesting facts:

1. Only 1% (of total member of 5.7 million) has saving above RM400,000
2. Of this 1% (56,085 members) , 77.7% was Male.
3. 88.3% (5,111,772) members have RM100,000 and lesser in their saving.
4. Withdrawal application increased by 237% since year 2005. A lots more people drawing money. (1.95 million in Year 2009 vs. 0.58 million in Year 2005)
5. Withdrawal for housing related increased by 1,576% since Year 2005. Wow!!! Mainly from the Housing Loan Monthly Installment Scheme.

Why?? The following may be part of the answer, if not all:

1. Saving (or rather earnings) is not enough, if salary only RM2,000 per month, one needs almost 15 years plus to achieve RM100,000 saving, assuming he/she didn't apply for any withdrawal - That is why we need to aim for high income nation with high standard of living.

2. Too many withdrawal schemes. Over 1.9 million applications received for various withdrawal scheme during year 2009, 73.1% is housing related and 16.8% is age-related.

3. People don't trust EPF investment and its return, so they are not willing to keep their saving with the EPF for golden year, and try to withdraw any much as possible for whatsoever reason and manage by themselves.

It may not really that people don't know how to manage finance and thus having low deposit with EPF, right? Anyhow, I tend to believe most people have not save enough for their golden years (at least the those born in the '70 and '80).

If YOU can and able to save more for golden years, why not doing it now, why wait?