{
  "id": 920297,
  "title": "Retirement ready: the dos and don’ts of your EPF",
  "url": "https://urgent.news/2026/08/14/retirement-ready-the-dos-and-donts-of-your-epf",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-14T23:00:00.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today",
    "url": "https://www.freemalaysiatoday.com/category/leisure/2026/08/15/retirement-ready-the-dos-and-donts-of-your-epf"
  },
  "original_language": "en",
  "account": "After decades of diligently saving through your Employees Provident Fund (EPF), you may find yourself with a substantial nest egg upon retirement. However, spending recklessly could jeopardize the financial security you’ve worked hard to establish. The Sun reported a case of a retiree who spent RM700,000 of his EPF savings in just 21 days on home renovations, a car, and his child’s wedding. Alvin Tan, president of the Financial Planning Association of Malaysia, emphasized that EPF is not a bonus or windfall, but rather the foundation of your retirement. It is critical not to treat EPF savings as casual spending money. Instead, any withdrawal should have a clear purpose and plan. One common mistake is using withdrawal funds to address the wrong problem, such as paying off debt without changing spending habits, or clearing a loan while still having other high-interest obligations. This approach may provide temporary relief but fails to offer a long-term solution, especially considering rising healthcare costs. Poor investment decisions following withdrawals can also diminish your future savings. Some retirees keep funds in cash to avoid inflation, while others pursue high-risk investments or fall prey to scams. For most retirees, regular monthly withdrawals are preferable, as they function like a regular salary and help with budgeting. To calculate a monthly withdrawal, estimate your essential expenses and subtract this from your total income, leaving the remainder for EPF. Conduct a \"longevity check\" to ensure your withdrawals are sustainable for a 20-25 year retirement period, adjusting for inflation. A lump sum withdrawal may be appropriate for essential purposes, such as clearing high-interest debt, funding medical emergencies, or repairing your home. However, it should be used to resolve a genuine financial strain, ideally one that reduces future monthly expenses, rather than for lifestyle upgrades. While settling a mortgage can alleviate monthly financial burdens, it might not be the best choice if it drains most of your liquid savings, leaving insufficient emergency funds or medical protection. Instead, maintaining a manageable mortgage while preserving sufficient savings may be a more prudent option. Additionally, it is wise to set aside separate funds for general emergencies and healthcare costs not fully covered by insurance or takaful. This amount should be regularly reviewed as medical needs evolve with age. When helping family members such as children, grandchildren, or ageing relatives, prioritize securing your own needs first, with clear limits on assistance. Remember, retirement savings require decades to build and must sustain you for decades more, preserving your financial independence throughout your golden years.",
  "summary": "Financial Planning Association of Malaysia president Alvin Tan highlights common mistakes, suitable withdrawal methods and ways to manage healthcare and debt.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "Retirement ready: the dos and don’ts of your EPF",
        "url": "https://urgent.news/2026/08/14/retirement-ready-the-dos-and-donts-of-your-epf-922031",
        "published": "2026-08-14T23:00:00.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}