Last updated : 30 Aug 2023    

EPF-retirement savings

The EPF strives to grow our members' retirement savings while continuously developing a wide range of products and services to support their journey towards a comfortable retirement.

Who Can Contribute

Who Can Contribute

Individuals who are employed, self-employed or business owners can opt to contribute based on their own requirements. In the following pages, we have entailed the details that go with Mandatory and Voluntary contributions. As a member, you are eligible to not only enjoy annual dividends on your retirement savings, but also the many withdrawal options and benefits that come with being an EPF Member.

  • Persons Liable To Contribute

    Is a person employed by an employer under a service contract or apprenticeship which is not covered in the First Schedule, Second Section of the EPF Act 1991.

  • Persons Not Liable To Contribute
    1. Nomadic aborigines unless recommended in certain cases by the Director-General of the Department of Aborigines.
    2. Domestic servants as defined under Section 3 of the Workmen's Compensation Act 1952 [Act 273], for example maid, cook, house guard, gardener and personal driver EXCEPT when hired:
      1. by any employer as stated in the Second Schedule of the Act
      2. by an association already registered or required to register under any written law currently in force with respect to the registration of associations - or co-operative bodies
      3. in any business registered or licensed or required to be registered or licensed under the Registration of Businesses Act 1956 [Act 197], Trades Licensing Ordinance for the State of Sabah [Sabah Chapter 144], Business, Profession and Trade Licensing Ordinance for the State of Sarawak [Sarawak Chapter 33], or Business Names Ordinance for the State of Sarawak [Sarawak Chapter 64], as the case may be
      4. by corporations incorporated under any written laws
    3. Out-workers (as defined under Section 3 of the Workmen's Compensation Act 1952 [Act 273]).
    4. Persons detained in any prison, Henry Gurney School, detention centre, mental hospital or rehabilitation centre defined under the Drug Dependants (Treatment and Rehabilitation) Act 1983 or leprosariums.
    5. Members of the administration (refer to Article 160 of the Federal Constitution).
    6. Expatriates whose country of domicile is outside Malaysia (foreign citizens) and who elect not to contribute.
    7. Employees who have reached age 75.
  • Employees Who Are Not Malaysian Citizen And Have Elected to Contribute
    1. Employees who are not Malaysian citizen and have elected to contribute are required to submit a notice, KWSP 16B together with the registration form, KWSP 3 (Daftar) when registering to be an EPF member.
    2. The contribution rates for employees who are not Malaysian citizen  are as follows;

      Employee’s Status

      Monthly Salary Rate

      Stage 1
      (Below 60 years old)

      Stage 2

      (Age 60 & above))

      Non-Malaysians (registered as member from 1 August 1998)

      No limit

      Employees share: 11%
      Employer’s share: RM5.00(Ref Contribution Rate – Section B)

      Employees share: 5.5%
      Employer’s share: RM5.00(Ref Contribution Rate – Section D)


    3. Employees who are not Malaysian citizen and have elected to contribute must ensure employers pay contributions consistently. If the member’s account does not have contributions credited within three years, all of members’ savings will be transferred to the Unclaimed Money Division  as provided by Section 70H of the EPF Act 1991.

      ‘Notwithstanding subsection 50(2B) and section 51, no dividend shall be credited into the account of a member of the Fund who is not a Malaysian citizen if no contribution has been credited into his account after a period of three years from the date of the last contribution was credited, and the Board may transfer all sums of money standing to his account to the Registrar of Unclaimed Money after the expiration of such period.’

    4.  EPF members who are not Malaysian citizens are eligible to make a withdrawal request subject to the  terms and conditions as determined by EPF.

Our Members


million members

December 2022


million members

December 2022



November 2022

  • Private Sector Employees
  • Non-Pensionable Public Sector Employees
  • Voluntary Contributors

EPF-employer employees monthly contribution

Mandatory contribution



Mandatory contribution

for monthly salaries of RM5,000 & below


Mandatory contribution

for monthly salaries of more than RM5,000

Your Benefits
Annual Tax Exemption

As an EPF Member, you may opt for any one or more of these benefits.

  • Account 1 Savings Top-Up

    Through this facility, the Topper may voluntarily make additional contributions to their spouse or family members' (Toppee) EPF account.

    Who Can Benefit

    • Husband to wife
    • Wife to husband
    • Children to parents
    • Parents to children
  • Hajj Registration

    An EPF Member is eligible to register for EPF Hajj Registration as long as they meet the criteria. On top of this, you can also change your initial registration for Hajj under the Lembaga Tabung Haji (LTH) to the current EPF Hajj Registration facility without affecting the Hajj rotation date provided earlier.

    Who Can Apply

    • Malaysians & Permanent Residents
    • Of Muslim faith
    • At least RM1,300 in Account 1
    • Below 55 years of age
    • Has savings with Tabung Haji

    What You Need

    To register, please bring along the following documents to your nearest LTH branch.

    • MyKad
    • EPF Member Statement
  • Retirement

    Your EPF savings is meant for your retirement. This savings is comprised of the member's and employer's shares of the contributions plus the yearly dividends.

    When you contribute 11% of your monthly salary to the EPF, your employer will contribute another 12% or 13% of your salary (the statutory contribution rate is subject to changes by the government) to your EPF savings.

    However, either you or your employer or both may contribute at a rate exceeding the statutory rates.

  • Incapacitation

    This benefit of RM5,000 is paid to members who are eligible and have already made an Incapacitation Withdrawal.


    • Malaysians
    • Below 60 years of age
    • Has applied for Incapacitation Withdrawal (within 12 months of termination)
    • Must have served for a minimum of 6 months in the last period of service
    • Reason of termination must be incapability to work and not disciplinary action or voluntary resignation
  • Death

    This assistance of RM2,500 is paid to the member's dependent or next-of-kin (subject to the EPF's consideration) when the Death Withdrawal is made.


    • Member is Malaysian (including Permanent Resident) and Non-Malaysian *Registered before 1 Aug 1998
    • Members passed away before age 60
    • Member's dependent (widow/widower/children/parents)

    *Subject to member's marital status

    • Application for Death Withdrawal received within six (6) months from the date of member's death
    • Member still has savings with the EPF
  • Annual Tax Exemption

    EPF contributions are tax-deductible up to a maximum amount of RM4,000, subject to periodic amendments by the government (excluding of exemption for life insurance premium).

    You are exempted from paying income tax for monies withdrawn as an EPF savings withdrawal. Returns on the EPF investment are also tax-exempted.

Choose Conventional or Shariah

Each member may choose to:

  • Maintain their account under Simpanan Konvensional where their savings will be managed and invested conventionally; or
  • Switch their account to Simpanan Shariah where their savings will be managed and invested according to syariah principles

Investments & Dividends


The EPF invests in a diverse portfolio to ensure that members receive dividends yearly. The following are the asset classes that the EPF invests in to generate revenue.

  • Fixed Income
  • Equity
  • Real Estate and Infrastructure
  • Money Market
EPF-investments to generate revenue


The EPF guarantees a minimum 2.5% dividend through approved investments to ensure your savings are secured. (Conventional Account)

An Annual Dividend payout is credited based on your savings as at 1 January yearly. Your dividends are calculated based on your daily aggregate balance.

Whereas your monthly contributions will earn dividends based on:

  1. A day in the month of said contribution
  2. Said month's contribution will earn dividends based on the daily calculation starting the following month until the end of December of that year
EPF-annual dividend