Freelancers! You’re working hard now, but the Employees Provident Fund (EPF) wants you to start saving up for the future too and are aiming to help you out.
Freelancing is the fastest-growing segment in the job market, where about 20% to 30% of the global workforce is pursuing freelance opportunities. EPF Chairman Tan Sri Samsudin Osman has pointed out that the growth in Malaysia is at 31%!
While freelancing offers independence and flexible working hours, they are not entitled to company-sponsored retirement savings. To combat this, EPF is calling on the government to provide more incentives under the 1Malaysia Retirement Savings Scheme (SSP1M).
Under the SSP1M, the government contributes 10% with the maximum amount of RM120 per year to self-employed individuals or individuals without a fixed monthly income such as taxi drivers on top of the scheme’s annual dividend. EPF hopes to increase the contribution to promote savings among these informal sector workers.
If this is done, this will help more freelancers to save for the future and help them retire with more security.