Mixed reactions on EPF special aid of RM500

BY AMYRA VARKISA & MARGARET RINGGIT

KUCHING: The public are divided in their opinions on the government programme under the revised Budget 2023 whereby contributors of the Employees Provident Fund (EPF) with less than RM10,000 in their Account 1 will be eligible for a special financial aid of RM500.

These EPF contributors must also be aged between 40 and 54 to be eligible for the aid.

As such, some members of the public think that with the rising inflation rate, it seems that the initiative is insufficient to cater to everyone as people who are aged below 40 will not eligible for the same aid.

Here are some views from the public on the government initiative which was tabled by Prime Minister Datuk Seri Anwar Ibrahim in the Budget 2023.

In my opinion, it is a good way to reduce the burden of the affected people. Unfortunately, it is only for a temporary period. I think the government should make a long-term initiative such as reducing the price of goods. If the retirement fund keeps being withdrawn, then it will burden them more in their older days in terms of financial needs. The government should focus on how to reduce inflation that impacts our people’s lives for a quite long period.

Budget 2023 does not reflect the overall principle of the current government, wanting to help the people. We only see certain groups or levels of the community who will benefit from it. What about us, the small entrepreneurs surviving on a day-to-day basis or those blue collars working in the private sector? Where’s our share?

The decision to put an extra RM500 into the account of EPF members aged 40 to 54 is not practical because the government should focus to help new contributors (EPF) aged 35 and below. It seems to be impossible that those aged 40 and above only have savings below RM10,000.

The percentage of people who benefit from this is very small. I think less than 5 per cent. Considering the age like those within the B40 group they benefit nothing from the decision.

It is an initiative that takes into account the increasing living cost, especially in Sabah and Sarawak. It shows and proves that the government is willing to help the members of EPF who has less than RM10,000 in their Account 1. This initiative also urges those who have less than RM10,000 in their account 1 to continue to save their retirement savingS in EPF for their future,” he said.