Talkback Tuesday: Pension vs EPF for the Private Sector - Which Would You Prefer?

The government is considering the possibility of a life-long pension scheme for the private sector.

This is, of course, to counter the problem of poverty amongst retirees and the elderly in this country.

Currently, retirees are able to withdraw their EPF savings upon retirement. However, the problem is that these savings are not enough to sustain them especially those in the lower income brackets.

Ex: Upon retirement, lower income bracket may only have 50k, which will only last for between 3 - 5 years. But the reality is that Malaysians are living longer these days.

Hence, the possibility of introducing a pension scheme!