EPF Account 3 (Flexible Account) Payments Begin in Stages
The EPF Account 3, also known as the Flexible Account, was initially expected to be implemented in April 2024 but has now been confirmed for introduction in May 2024.
As announced in Budget 2024, the Malaysian government will introduce this new EPF account to provide contributors with greater flexibility in managing their savings.
What is EPF Account 3 (Flexible Account)?
EPF Account 3 is called the Flexible Account because contributors can access their savings anytime in case of emergencies.
📌 Key Differences:
✅ Previously, EPF only had two accounts focused on retirement savings.
✅ With Account 3, members can withdraw a portion of their savings for emergency needs.
EPF Account 3 Implementation & Payment Schedule
📢 EPF will officially launch the account restructuring initiative on 11 May 2024, including the introduction of Account 3.
📢 Payments for Account 3 withdrawals will be made in stages.
📢 First batch of payments for approved withdrawals will begin on 14 May 2024.
Withdrawal Conditions
🔹 Mandatory monthly withdrawals may only apply to new members born in 2010 or later.
🔹 Account 3 is designed to meet short-term financial needs and emergencies.
🔹 Dividends for Account 3 may be lower than Accounts 1 and 2 due to its flexible withdrawal policy.
EPF Account Distribution After Restructuring
With the introduction of Account 3, EPF savings will now be divided as follows:
📌 75% → Account 1 (Retirement savings)
📌 15% → Account 2 (Pre-retirement withdrawals)
📌 10% → Account 3 (Flexible withdrawals)
Key Benefits of Account 3 (Flexible Withdrawals)
✅ Can withdraw funds anytime for emergencies or urgent needs.
✅ Helps contributors manage short-term financial challenges.
📢 Withdrawal requests can be made at any time by EPF members.
Transfer Amount Registration Period
📌 Members can choose to transfer their initial amount into Account 3 between 12 May – 31 August 2024.
📌 This transfer option is available only once during this period.
📌 If no transfer is made, balances in Account 2 (Sejahtera Account) and Account 3 (Flexible Account) will remain unchanged.
Processing Time for Transfers & Payments
📌 Transfers of initial amounts into Account 3 will take 3 to 5 working days.
How to Apply for Account 3 Withdrawals
✅ Via i-Akaun EPF (Online Portal).
✅ Visit the nearest EPF office for in-person applications.
Further Information
For the latest updates and full details on EPF Account 3, visit:
🔗 https://www.kwsp.gov.my
📞 EPF Hotline: 03-8922 6000