【正文】 d Questions amp。 Withdrawal EMPLOYEES PROVIDENT FUND 19 Employee?s share of EPF contributions together with life insurance premium of up to RM6,000 is tax deductible. Employer?s share of EPF contributions of up to 19% is tax deductible. EPF?s returns on investments are not taxed. All preretirement and retirement withdrawals are not taxed. BACKGROUND Tax Incentive EMPLOYEES PROVIDENT FUND 20 PRESENTATION ROADMAP Background Governance Investment Risk Management Challenges Way Forward Questions amp。 Withdrawal 2. Other full withdrawals A member can withdraw all the savings: ? When a member is permanently incapacitated. ? Member?s nominee/nextofkin can withdraw upon member?s death. ? When a members leaves the country permanently (revokes his/her Malaysian citizenship). EMPLOYEES PROVIDENT FUND 17 3. Preretirement withdrawals A member can withdraw part of the savings: ? To purchase/build and to reduce housingmortgage loan. ? On attaining 50 years of age. ? For health care and. ? For education of members and members? children. 4. Members? Investment Scheme ? Members who have savings of at least RM 55,000 in Account I can invest 20% of the savings in excess of RM 50,000 through approved external fund managers. ? The investment can be made at intervals of 3 months. BACKGROUND Benefit amp。 Assets Year Cumulative Investments (RM Million) Annual Gross Ine (RM Million) Cumulative Assets (RM Million) 6/2020 306,410 2020 285,451 13,299 290,255 2020 253,968 12,773 263,865 2020 237,106 11,758 240,362 2020 217,051 11,046 220,161 2020 179,047 10,542 181,518 1990 45,642 3,259 46,680 1980 9,261 637 9,481 1970 2,193 119 2,240 1960 629 31 633 1952 17 0 28 EMPLOYEES PROVIDENT FUND 12 7 , 1 2 49 , 9 9 12 1 , 9 6 81 2 , 7 2 71 1 , 5 0 11 3 , 4 0 3 1 3 , 4 2 31 5 , 0 8 31 6 , 8 4 71 8 , 1 7 22 0 , 1 4 32 1 , 8 6 02 5 , 2 5 12 7 , 9 5 21 5 , 1 2 12 0 , 0 5 605 , 0 0 01 0 , 0 0 01 5 , 0 0 02 0 , 0 0 02 5 , 0 0 03 0 , 0 0 01999 2020 2020 2020 2020 2020 2020 2020W I T H D R A W A L C O N T R I B U T I O N(RM Million) BACKGROUND Contribution amp。 challenging working environment to employees and socioeconomic development to the nation Vision: To be a leading social security anization in the world and the best government agency in Malaysia Integrity Customer First Continuous Improvement Teamwork EMPLOYEES PROVIDENT FUND 8 The EPF was established on 1 October 1951. It is governed by the EPF Act 1991. The EPF is a national pulsory savings scheme. It provides retirement benefits for the private sector and nonpensionable public sector employees. The employees and their employers pay monthly contributions to the Fund and the contributions are then credited into the individual member?s account to which interest or dividend is added annually. Employee?s contributions + = + RETIREMENT SAVINGS Employer?s contributions Dividend PreRetirement Withdrawals = BACKGROUND History EMPLOYEES PROVIDENT FUND 9 To receive and recover contributions. To maintain members? and employers? accounts. To invest the funds. To return the savings to members through the various withdrawal options. BACKGROUND Main Functions EMPLOYEES PROVIDENT FUND 10 BACKGROUND Membership Growth, No. of Active Members amp。 Others % GDP (2020) : USD Billion GDP Growth Rate: % Percapita Ine: USD 2, Unemployment Rate (2020): % Inflation Rate (2020): % EMPLOYEES PROVIDENT FUND 5 BACKGROUND Malaysia in Brief Labour Force: million Mortality Rate: death/1,000 population Life Expectancy (at birth): Male: 71 years Female: 76 years Poverty Rate % Hardcore Poverty Rate: % EMPLOYEES PROVIDENT FUND 6 Benefit Organisation Retirement ? Public Service Pension Scheme ? Employees Provident Fund (EPF) ? Armed Force Provident Fund ? Employment Injury ? Invalidity ? Social Security Organisation (SOCSO) Social Assistance Social Welfare Department Health Care Ministry of Health Others ? Workmen Compensation Scheme 1952 ? Employment Act 1955 BACKGROUND Social Security System in Malaysia: Social Security Benefits EMPLOYEES PROVIDENT FUND 7 BACKGROUND EPF?s Vision, Mission and Values Mission: Provide retirement benefits to members。 I