A study on public awareness and perception towards employees provident fund monthly payment withdrawal scheme / Ismail Taha

According to the study done by EPF in 1994, 70% of the EPF members had exhausted their EPF saving with in 3 years after retirement, the Board of EPF feels that their contributors should be better protected for the rest of their life after they have retired, therefore the EPF management have introduced Monthly Payment Withdrawal Scheme (MPWS) in July 2002. MPWS is an optional plan, which is available to all EPF contributors who have sufficient amount of savings. This scheme allows them to opt for their EPF saving to be paid monthly instead of a lump sum payment (Conventional Scheme) paid at the age of 55 years old. Under this scheme EPF will pay the minimum of RM 100 in respect of a minimum saving in MPWS RM24000 for the period of 20 years. Apart from that, members are guaranteed of dividend not less than 2%. This study has tried to obtain the level of awareness among the EPF contributors towards the MPWS, their knowledge, understanding and how do they perceive scheme.