After KWSP launched flexible accounts, the dividend payment rates of the three accounts remained unchanged for the time being.
According to information disclosed by the Chief Executive Officer of the Employees Provident Fund Board (KWSP), the dividend payment rates for the three provident fund accounts will remain unchanged, but may be subject to change in the future.
Many people are worried that the launch of KWSP’s third account (flexible account) will lead to a reduction in dividends. KWSP CEO said there will be no changes for the time being. The third account accounts for a relatively small proportion, so it has little impact on the investment portfolio and should not affect the overall dividend rate.
KWSP announced last year’s provident fund dividends in March this year. At that time, it was announced that traditional accounts would receive 5.50%, while Islamic accounts would receive 5.40%.
The flexible account will be officially launched on May 11, 2024. Members can apply to transfer the deposits from the second account to the third account through the KWSP i-AKaun APP or KWSP branch counter from May 12 to August 31, 2024 ( Flexible account). If the member does not apply for transfer, the deposit will continue to remain in the second account.
Members have several options for transferring deposits.
1. Deposit RM3,000 or above in the second account
Members can choose to transfer ten-thirty (10/30) of the second account deposit to the third account, transfer five-thirtieth (5/30) of the second account deposit to the first account, and keep three thirds of the deposit in the second account. Fifteen out of ten (15/30).
2. The deposit in the second account is less than RM3,000
If the member’s second account deposit does not exceed RM1,000, all deposits can be transferred to the third account. If the member’s second account deposit is between RM1,000 and RM3,000, the member can transfer RM1,000 to the third account and keep the remaining deposits in the second account.
WINRAYLAND
