After 20 years, a RM10,000 deposit in an EPF account will be worth almost RM32,071!
After 20 years, RM10,000 placed in the EPF account will have grown to RM32,071 based on a 6% annual dividend rate!
Members can now withdraw up to RM10,000 from their EPF accounts once more, according to the government. Economic analysts estimate that the RM10,000 removed by members will take 12 years to rebuild their accounts.
According to the economist, the CPF pays a 6% yearly dividend. If RM10,000 is deposited in the CPF account, it will grow to RM17,908 after 10 years, RM32,071 after 20 years, and RM32,071 after 30 years. The value will rise to RM57,434.
If a member withdraws RM10,000 now, they will lose RM7,908 in interest in the next ten years, RM22,071 in the next twenty years, and RM47,434 in the next thirty.
Given my country’s typical yearly inflation rate of 2 to 4%, the annual interest distributed by the Provident Fund Board is more than enough to keep up with inflation, so there is no risk of the money in the provident fund account depreciating. Economic experts pointed out that if the member does not need the money right now, the best option is to deposit it in the provident fund account.
However, if the funds are needed to settle debts, begin a business, or meet living expenses, the withdrawal may be permitted. maximum usefulness
To summarise, people should withdraw money when they require a large sum of money in a hurry.
