When the Star reported that the employee contribution to the EPF to be reduced to 8% automatically, I was in doubt of whether to stick to that or tell my employer via form 17A that I want to keep at the present 11%. That night, Dad messaged me this:
"Stick to 11%. It's not how much you earn, but how much you save."
Basically, I think it is a win-lose situation for company vs people. For the company, they tend to benefit but for the people, you get less dividend in long term. I think that if I stick to 11%, year end dividend is much higher. 23% against 20%? It's just saving somewhere around 30$ for every $1000 you earned. Nothing much really.
CAP's SM Idris said (in Malaysiakini):
Buat Minimum Wage, Lol!
Unfortunately, our bugger Najib once said that it is impossible to implement minimum wage. Maybe allow me to refine it better. For white collar groups earning no less than RM 7000 per month, the existing wage should be increased within the range of 20 to 33%. That's it. Everyone is happy, better buying power and could do like Singapore. Perhaps it's our time.
However having this idea has been objected by UMNO imbeciles like Abdullah Badawi, or even the Deputy H.R Minister Noraini Ahmad (yes, I remember you walked one step backwards before...) I surmised that you want to fool the commoners? Save money but in the end eat grass as meals everyday?
Syed Shahir wants it, MTUC wants it, employees want it...then do it, man!
"Stick to 11%. It's not how much you earn, but how much you save."
Basically, I think it is a win-lose situation for company vs people. For the company, they tend to benefit but for the people, you get less dividend in long term. I think that if I stick to 11%, year end dividend is much higher. 23% against 20%? It's just saving somewhere around 30$ for every $1000 you earned. Nothing much really.
CAP's SM Idris said (in Malaysiakini):
The EPF has often said that for most workers, their savings are already insufficient to see them comfortably through their old age.I find that what the government's idea of handling economy is not really efficient or shall I say wrong approach. To solve this idea, the solution is simple: implement minimum wage!
There will even be less available when the contributions are reduced.
Taking into consideration that at retirement age, the worker will find it more difficult to get a job, it is better that he tries to manage with the present take home pay than to have less savings upon retirement.
Buat Minimum Wage, Lol!
Unfortunately, our bugger Najib once said that it is impossible to implement minimum wage. Maybe allow me to refine it better. For white collar groups earning no less than RM 7000 per month, the existing wage should be increased within the range of 20 to 33%. That's it. Everyone is happy, better buying power and could do like Singapore. Perhaps it's our time.
However having this idea has been objected by UMNO imbeciles like Abdullah Badawi, or even the Deputy H.R Minister Noraini Ahmad (yes, I remember you walked one step backwards before...) I surmised that you want to fool the commoners? Save money but in the end eat grass as meals everyday?
Syed Shahir wants it, MTUC wants it, employees want it...then do it, man!
Well, we only lose, the company doesn't lose anything as they continue contributing at whatever % they are doing now. The reduction is on our part...On the income tax side, we will be screwed even more...Less EPF(tax exclusion), more income, more tax...
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