BORNEO SABAH ARAMAII

Monday, 17 June 2013

Private Retirement Schemes (PRS)





PRS vs EPF: A Summary 

How can savers / investors / residents in Malaysia benefit from it? What is the Private Retirement Scheme (PRS)? 

The PRS is a defined contribution pension scheme which allows people (or their employers) to voluntarily contribute into an investment vehicle for the purposes of building up their retirement income. Having a voluntary scheme in addition to the EPF also allows private company employees and self-employed persons to voluntarily contribute towards their retirement in a systematic way.

Unlike the EPF, PRS contributions are not mandatory, and they can be made by either an individual or an employer. There is no statutory minimum amount (although individual PRS providers may specify a minimum amount as per their own internal investment policy) and no statutory time interval for contributions.

Thus, personally I will recommend to those pensioners or individuals who are interested in this scheme. 





 

0 comments:

Post a Comment