Just over three million active EPF members have reached the Basic Savings target of RM390,000, Deputy Finance Minister Liew Chin Tong told the Dewan Rakyat. That is 3.04 million of the 7.94 million contributors aged 18 to 60, or 38.3%, as of 31 May 2026.

What’s Driving The Increase In EPF Savings

The figure is up from 2.71 million a year earlier, when 7.74 million members were in the same age group. Liew credited the increase to efforts to widen EPF coverage over the past year, including i-Saraan Plus, a voluntary contribution scheme launched this year for gig workers, e-hailing and delivery riders, and self-employed Malaysians.

Two other schemes started this year, i-Simpan for self-contributions and i-Topup for voluntary contributions above the statutory rate. A fourth, i-Legasi, lets contributors aged 55 and above pass their savings to their children, and has approved 63 applications covering 86 recipients, transferring RM46.3 million as of May.

What RM390,000 Covers In Retirement

RM390,000 is the Basic Savings tier under EPF’s Retirement Income Adequacy framework, which sets it as the minimum for basic retirement needs. The framework’s higher tiers sit at RM650,000 for an adequate standard of living and RM1.3 million for enhanced security.

A member retiring at 60 with exactly RM390,000 could draw around RM1,625 a month in the first year, based on EPF’s own estimates. That falls short of the roughly RM2,690 a month a single retiree needs for a reasonable standard of living, according to EPF’s Belanjawanku guide. So even members who reach the target may still have less than they need.

Income Growth Shapes How Much People Save

EPF’s yearly dividend has stayed above 6% in recent years, so savings grow steadily once they are in the account. The harder part is getting money in there to begin with. When incomes grow slowly and everyday costs keep rising, there is less to set aside.

Voluntary top-ups through i-Akaun are there for members who can add more, but affordability is still the barrier for many. That makes widening EPF coverage and easing the cost of living just as important as individual saving.

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Iman Aminuddin

Iman writes about personal finance with curiosity. She is interested in the stories behind money, the hesitation around big decisions, and the small habits that shape financial futures. Off the clock, she is either dissecting a film or climbing her way up the leaderboard in her favourite games.

About THE AUTHOR

Iman Aminuddin

Iman Aminuddin

Iman writes about personal finance with curiosity. She is interested in the stories behind money, the hesitation around big decisions, and the small habits that shape financial futures. Off the clock, she is either dissecting a film or climbing her way up the leaderboard in her favourite games.

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