{"id":65713,"date":"2024-10-29T23:25:23","date_gmt":"2024-10-29T15:25:23","guid":{"rendered":"https:\/\/www.imoney.my\/articles\/?p=65713"},"modified":"2024-10-30T10:52:19","modified_gmt":"2024-10-30T02:52:19","slug":"budget-malaysia-2025-benefits-b40-m40-t20","status":"publish","type":"post","link":"https:\/\/www.imoney.my\/articles\/budget-malaysia-2025-benefits-b40-m40-t20","title":{"rendered":"All The Benefits You Will Get From Budget 2025 Based On Your Income Group"},"content":{"rendered":"

On the 18th of October 2024, the government tabled Budget 2025. With an allocation of RM421 billion, Budget 2025<\/a> continued the trend of each budget being bigger than its predecessors.<\/p>\n

Sure, a big budget is good and nice to hear, but what does it have for you? In this article, we\u2019re going to explain what each of the socioeconomic group gets from Budget 2025.<\/p>\n

<\/span>What are the socioeconomic groups of Malaysia?<\/span><\/h2>\n

Although people might say it\u2019s flawed<\/a>, the government still goes back to the B40, M40, and T20 classification of socioeconomic groups, largely because of a lack of an alternative.<\/p>\n

Recently, these categories have also taken into account the Basic Living Expenditure (PAKW – Perbelanjaan Asas Kehidupan Wajar<\/em> )<\/a> based on location and household size. This includes the Main Database System (PADU)<\/a> which was developed to better allocate the funds from government welfare programmmes.<\/p>\n

But what does that actually mean? Here are the explanations.<\/p>\n

B40 (Bottom 40%)<\/strong>: This group represents the lowest-income households. They often face challenges in accessing essential services and economic opportunities.<\/p>\n

M40 (Middle 40%)<\/strong>: Comprising the middle-income households, this group typically experiences moderate financial stability but may still face challenges such as rising living costs.<\/p>\n

T20 (Top 20%)<\/strong>: The wealthiest segment, this group generally enjoys higher disposable incomes and better access to resources. The prime minister further refined this category to the highest T15<\/strong> tier which he mentioned some subsidies would be reduced to this group.<\/p>\n

For a better understanding of which groups you belong to, you can read this article<\/a> for a more detailed explanation.\u00a0 So now that we\u2019ve gotten that out of the way, let\u2019s have a look at what each economic group will get, starting with the B40.<\/p>\n

<\/span>What will the B40 get?<\/span><\/h2>\n

Malaysia\u2019s current government has always been very outspoken about their vision and goal for the B40s, and that is to help them live with dignity. Budget 2025 helps them with that vision, through these programmes.<\/p>\n

Cash aid programmes<\/h4>\n

The government announced an increase in direct cash transfers for B40 households, aimed at alleviating financial pressures. For example, Budget 2025 announced that single individuals who are eligible for the Sumbangan Tunai Rahmah (STR) will now get RM600 instead of RM350 that they got in 2024.<\/p>\n

Budget 2025 also announced other cash aid and increases to existing cash aids as well, such as a RM100 cash aid per month under the Sumbangan Asas Rahmah programme , up to RM4600. This cash aid will be credited directly into the individual\u2019s MyKad, and recipients will be able to use this money to buy essentials and groceries at partnered supermarkets and shops.<\/p>\n

\"Budget<\/a><\/p>\n

Subsidies for essentials<\/h4>\n

Although Budget 2025 did say that the RON95 rationalisation initiative will happen in 2025, the government did take the time to assure that the B40 won\u2019t be affected by the subsidy rationalisation.<\/p>\n

The government also mentioned that essential food items will not be subject to the new sales tax introduced. There is also the Electricity Bill Rebate Programme of up to RM40 per month for hardcore poor households.<\/p>\n

Social welfare assistance<\/h4>\n

Various assistance targeting hardcore poor families, persons with disabilities (PWDs), and the senior citizens were also enhanced. Among the main highlights are:<\/p>\n