Unpopular opinion: giving free RM500 to those with <RM10K EPF savings does NOT make sense.
Don’t be angry at this statement first. 4 reasons 🧵
#Belanjawan2023
Don’t be angry at this statement first. 4 reasons 🧵
#Belanjawan2023
1/ This free money handout costs us RM1 billion.
If you want to have an idea how gigantic is RM1 billion, here: malaymail.com/amp/news/malay…
If you want to have an idea how gigantic is RM1 billion, here: malaymail.com/amp/news/malay…
2/ Zero stimulus effect on the economy
RM1 billion spent.
But all locked in the KWSP.
This means zero stimulus effect on the economy whatsoever.
RM1 billion spent.
But all locked in the KWSP.
This means zero stimulus effect on the economy whatsoever.
3/ “Hey but they need it!”
Hello
Who says all people aged 45-54with EPF <RM10K must be poor people?!
Businessmen?
Self-employed freelancers?
People who work overseas?
Plenty of them are well-off, yet will receive the RM500 free money in their EPF.
Hello
Who says all people aged 45-54with EPF <RM10K must be poor people?!
Businessmen?
Self-employed freelancers?
People who work overseas?
Plenty of them are well-off, yet will receive the RM500 free money in their EPF.
4/ “Hey this is to help with the retirement crisis!!”
That’s kinda naive.
That RM500 would only help very little.
But it costs us RM1 Billion which could have been utilised to increase productivity and support our young people, with better long term outcomes.
That’s kinda naive.
That RM500 would only help very little.
But it costs us RM1 Billion which could have been utilised to increase productivity and support our young people, with better long term outcomes.
In summary,
Giving free RM500 to those with <RM10K EPF savings does NOT make sense.
-It doesn’t help with the economy.
-It doesn’t help with “retirement crisis”.
-<RM10K EPF doesn’t mean poor or crisis
-it costs us RM1B with opportunity cost
Giving free RM500 to those with <RM10K EPF savings does NOT make sense.
-It doesn’t help with the economy.
-It doesn’t help with “retirement crisis”.
-<RM10K EPF doesn’t mean poor or crisis
-it costs us RM1B with opportunity cost
[Cont]
-Scratching my head to think of the benefits, if this free RM500 EPF money is used by PH to counter the previous gov’s call for more EPF withdrawal, it is a poor strategy.
-Scratching my head to think of the benefits, if this free RM500 EPF money is used by PH to counter the previous gov’s call for more EPF withdrawal, it is a poor strategy.
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At 40, the gov gives them RM500.
After applying 6% compound interest annually, it’s RM1,603.57 when they are 60.
(I have no courage to imagine how much RM1600 would be worth in 2043. Hence I buy bitcoin)
After applying 6% compound interest annually, it’s RM1,603.57 when they are 60.
(I have no courage to imagine how much RM1600 would be worth in 2043. Hence I buy bitcoin)
https://twitter.com/bytebot/status/1629678673472413696
What makes you think the government has to focus on those who withdrew?
Looks like incentivising withdrawal.
“Ah ya I should have withdrawn, now the gov is paying back for free”.
Looks like incentivising withdrawal.
“Ah ya I should have withdrawn, now the gov is paying back for free”.
https://twitter.com/Harisaba19/status/1629771441410539520
1) The issue is beyond the previous vs current gov, bro. Have you read my no.3 and no.4?
<RM10K EPF doesn’t mean they are in retirement crisis.
2) Morally the right thing?
Very bad actually, people start to demand gov to contribute to their EPF more, we just started this.
<RM10K EPF doesn’t mean they are in retirement crisis.
2) Morally the right thing?
Very bad actually, people start to demand gov to contribute to their EPF more, we just started this.
https://twitter.com/harisaba19/status/1629769408058097664
Yes. Go for the root cause, and use that resource to empower them.
Don't use 1 Billion to instil the culture of demanding free EPF contributions like BR1M.
Don't use 1 Billion to instil the culture of demanding free EPF contributions like BR1M.
https://twitter.com/reversychology/status/1630125719237058560?s=20
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