Planning for retirement can feel overwhelming, especially when it comes to figuring out how much money you’ll need each month.
Thankfully, the Employees Provident Fund (EPF) has made it easier with their latest Belanjawanku guide for 2024/2025.
According to the updated guide, a single elderly person in Malaysia needs RM2,690 monthly to live comfortably after retirement. Whether you’re starting to save or reviewing your finances, this guide offers practical insights into monthly spending.
What Is the Belanjawanku Guide?
The Belanjawanku guide isn’t new—it’s been around since 2019. Developed by EPF and the Social Wellbeing Research Centre (SWRC) at the University of Malaya, this guide provides a breakdown of the minimum monthly expenses needed for a decent standard of living, reported NST.
Here’s what makes the guide unique:
- Covers major cities: Initially focused on the Klang Valley, it now includes 11 other major cities in Malaysia.
- Annual updates: The guide is refreshed every year to reflect current living costs.
- Helpful for all: It’s useful for individuals planning their finances and policymakers shaping retirement-related strategies.
Key Findings of the 2024/2025 Guide
- For a single elderly person: RM2,690 per month is required for a comfortable lifestyle post-retirement.
- Why it’s important: This figure helps Malaysians gauge their savings goals and retirement plans.
How Does Belanjawanku Impact Policy?
The guide isn’t just about personal budgeting—it also shapes EPF’s retirement savings framework. Key contributions include:
- Basic Savings Review:
- The guide informed updates to the Basic Savings amount, ensuring members save enough for retirement.
- Retirement Income Adequacy (RIA) Framework:
- Built on the Basic Savings framework introduced in 2008, the RIA adds a layer to ensure savings keep up with rising costs.
- Starting in 2029, RIA savings levels will be reviewed every three years using updated Belanjawanku data.
