{
  "id": 922031,
  "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",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-14T23:00:00.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today-freemalays",
    "url": "https://www.freemalaysiatoday.com/category/leisure/2026/08/15/retirement-ready-the-dos-and-donts-of-your-epf"
  },
  "original_language": "en",
  "account": "Retirement savings, acquired through the Employees Provident Fund (EPF), must be managed wisely to ensure long-term security. (Pexels pic) After decades of diligently contributing to EPF, retirees may face a temptation to splurge on renovations, vehicles, or even a child's wedding. However, financial planner Alvin Tan warns against this, emphasizing that EPF is the foundation of retirement, not a bonus or windfall.\n\nBefore withdrawing funds, Tan advises retirees to carefully consider their reasons for doing so. If it's for healthcare or other critical obligations, only withdraw what is necessary. A common mistake is treating EPF savings as spending money, leading individuals to renovate homes, buy cars, or fund lavish weddings. Tan emphasizes that each ringgit withdrawn should have a clear purpose and plan, as EPF is meant to provide long-term security.\n\nAnother mistake is using withdrawals to solve the wrong problem. For instance, paying off one debt without changing the spending habits that created it, or clearing a loan while continuing to rack up high-interest obligations elsewhere. Poor investment decisions also pose a risk, with some retirees keeping funds in cash to avoid inflation, while others chase high returns and fall victim to unsuitable investments or scams.\n\nWhen it comes to withdrawing funds, regular monthly withdrawals are generally safer than lump sums. This approach mirrors a salary, aiding in budgeting and discouraging overspending. To calculate a monthly withdrawal, estimate essential expenses like food, utilities, transport, and healthcare, then subtract this from steady income sources such as pensions, rental income, or part-time work. The resulting difference is the amount needed from EPF each month.\n\nA \"longevity check\" should be performed to ensure withdrawals remain sustainable if retirement lasts 20 to 25 years, with a buffer for inflation. Regular reviews with a licensed financial planner are recommended to adjust the plan as needed. While lump sums may be suitable for essential purposes like clearing high-interest debts or funding urgent medical treatments, they should not be used for lifestyle upgrades. Paying off a mortgage can reduce monthly commitments, but it's crucial to maintain an emergency buffer and sufficient medical protection.",
  "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",
        "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."
}