How EPF Interest Rate Was Set?
EPF interest rate is reviewed every year by EPFO (Employees’ Provident Fund Organization) with the Ministry of Finance. The review of the EPF interest rate for a financial year is set at the end of the financial year.
Interest Rate For 2108 Was: 6.15%
EPF Historical Interest Rates
Information reference from kwsp.gov.my, EPF Rate
How EPF Contribution Works?
EPF Contribution consists of two parts;
Employer Input + Employee Input
Calculate Interest on EPF
Basic Salary + Allowance = RM5,000
Employee’s contribution towards EPF = 12% of RM15,000 = RM600
Employer’s contribution towards EPS = 8.33% of RM5000 = RM415
Total EPF contribution every month = RM600 + RM415 = RM1015
*The interest will be calculated every month but will be deposited only at the end of the financial year.
If you would like to know more about EPF and Retirement Investment, don’t hesitate to contact us at sapwealth.com/contact