NST : Set up Social Security Council to Help the Aged

KUALA LUMPUR: THE government should consider setting up a National Social Security Council to look into social security issues that could affect the nation in the near future. Employees Provident Fund (EPF) planning and strategic management deputy chief officer Tunku Alizakri Raja Muhammad Alias said this was needed as Malaysia was fast becoming an ageing population. “The average working Malaysian is not saving enough to help him cope later in life. The United Nations has projected that Malaysia will become an aged nation by 2030 when 15 per cent of our population will comprise of the elderly. We do not have much time,” he said at a media briefing at Balai Berita here yesterday. Tunku Alizakri said 68 per cent of contributors aged 54 years old had less than RM50,000 in savings as of September this year, “For instance, upon retiring at 55, if a person spends frugally at RM800 per month, this will only last him five years. With Malaysians living longer, there is a real concern whether they will have enough savings.” He said it was not advisable for EPF members to withdraw their savings at one go. “It is financially healthier for a member to take the option of withdrawing his savings monthly so that the money is able to grow,” Tunku Alizakri said the council could look at issues, such as coordinating social security policies and increasing the financial knowledge of the average working Malaysian.  Also present at the briefing were New Straits Times Press Bhd group managing editor Datuk Abdul Jalil Hamid and NST executive editor (news) Yushaimi Yahaya.
Source: NST