Employees Provident Fund (EPF)
EPF won’t accept cash for security reasons
With effective from 2nd Jan 2018, our Malaysia’s Employees Provident Fund (KWSP) will no longer accepting cash payments for employee contributions throughout the country due to security reason stated by the body.
Employers will need to make the contributions via the e-Bayar electronic system or using cheque to pay at the counter. The e-Bayar system is created to facilitate the employers in making the payments. Employers are encourage to make payment by using e-Bayar system as it is much more cost effective.
There are briefings conducted to the employers or their representatives at the Malaysia EPF offices pertaining to e-Bayar facility.
Contribution Rate
EPF contribution rate by employees will revert to the original 11% for members aged below 60, and 5.5%for those 60 and above, effective from January 2018 salaries for February 2018 contribution with the previous ruling option due on end of this December 2017.
The contribution rates for employers and employees effective from 1st March 2016 are stipulated on the Third Schedule, EPF Act 1991. It is a mandatory reference for employers in making the monthly contribution.
