KWSP (Kumpulan Wang Simpanan Pekerja) Malaysia

Posted on October 23rd, 2007 by KhoKing.
Categories: Rojak.

KWSP stands for Kumpulan Wang Simpanan Pekerja. Which is the government body that managed the money for workers that can only be withdrew after retired (age of 55). Certain part of the KWSP saving can be withdraw before the age of 55 (eg. for house loan, computer purchase (no longer available), medical expenses…etc.).

Do you know how much your KWSP is?

Quite a lot actually. Every month, both employee and employer have to pay a good amount of money from the basic salary to KWSP. It is illegal if your boss did not do that.

Monthly 

  • Employee  = 11%
  • Employer = 12%
  • Total = 23%

This means that every month you are saving at 23% from your basic salary with KWSP. If your basic salary is RM2000, you are saving RM460 monthly. Every year, you are saving RM5520. With 5% annual interest (most of the time is higher, vary depends on KWSP investment performance) given by KWSP, you have around RM5796 saving per year. Work for 10 years, you have RM57960 at least in your KWSP account.

Say if you started working at the age of 25 (university graduate), average RM3000 salary, retired at age 55, total working period = 30 years, you then got RM260k at least with KWSP. You can take out the money in one big lump sum and enjoy your life…but do remember…RM100 nowadays is probably only worth like RM10 after 30 years, so spend wisely. :)

4 comments.

The one and only Guli

Comment on October 25th, 2007.

” It is illegal if your boss did not do that.”
DO I NEED TO bring out in my general meeting? Do you think my boss will put into his consideration??? hope so ho

julias

Comment on October 12th, 2008.

sory sbb menggu….
ni nak kongsi ckit..pasal petugas kaunter kat kwsp sri manjung, staf nama Norazira mmg best sgt bila atend ngan die…dia amat utamakan costumer n senang bila berkomunikasi ngan die..die attend mcm pelanggan 2 mcm dah lama sangat kenal…xtau nak comment kat maner pasal die, so komenla kat cni…g kwsp sri manjung,ettend ngan die, sure puas hati…

Daniel Lee

Comment on November 10th, 2008.

Why can’t KWSP money use to Pay Off my Bankrupcy Money as its my own saving money…???
No Point for me to keep till 55 yrs old as I’m suffering from a Bankrupcy proceeding now as I can’t travel overseas to work as I will still need to apply..?
I will wanted to start Fresh again with a New Born Life, if I could withdraw some of my KWSP saving to Clear my Debts.

KhoKing

Comment on November 10th, 2008.

Hi Daniel,

That’s a good point you have there, but I guess KWSP is more of a retired saving for you to use after you retired, else you might have nothing left after 55. Of course, this is just my opinion…some people prefer to use the money earlier, some not.

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