Maintain KWSP contribution at 11%? Or reduce to 8%?
Posted December 25th, 2008 by SamanthaBy now, I believe most of you have filled in the KWSP 17A form or your HR department have been circulating a form to be handed in by this Dec to maintain your contribution at 11%. Else, your KWSP contribution will be slashed to 8% automatically.
It’s a government effort to help employees with their financial, with the reduction to 8%, employee will have more money to spend for their daily expenses.
Let me work out a table to see how much we will get from out of this new policy:
Basic Salary Reduction at 11% Reduction at 8% Extra $$ To Spend
RM1000 RM110 RM80 RM30
RM2000 RM220 RM160 RM60
RM3000 RM330 RM240 RM90
RM4000 RM440 RM320 RM120
For me, I rather save up this little amount of money than spending it. Plus, there will be more taxable income at the end of the year due to this reduction.
So, if you have not fill in this form to maintain your KWSP contribution at 11%, you may go to this page (find the FORM17A), download the form and hand it in to your HR department, or inform your HR that you wish to remain your KWSP contribution.
Tags: Employee Benefits, Huamn Resource, KWSP Contribution
One Response to “Maintain KWSP contribution at 11%? Or reduce to 8%?”
February 23rd, 2010 at 11:52 am
I have made a mistake, The 2010 epf contribution is 8% instead of 11% & I have made my contribution for Jan 2010 salary base on 11%. Can I adjust back to 8% for my Feb salary by by paying less in my March contribution (Feb 2010 salary)?
Leave a Reply