Earlier this month, the Employees' Provident Fund (EPF) introduced a new account structure that includes Account 3 (Flexible Account) by allowing its members to access these funds at any time. That said, what should you know about it?
However, this increased ability has raised concerns among some members who prefer tighter control over their retirement savings. The EPF plans to address these concerns immediately. The EPF has made it clear that the new three-account structure applies universally with no option to opt out and retain the previous two-account system.
Additionally, to meet your' preferences, EPF will soon allow repeated transfers from Account 3 to Account 1 (Retirement Account) or Account 2 (Prosperity Account) . You may choose to transfer contributions intended for Account 3 either in part or in whole to the other two accounts and may deactivate this option when required. This new recurring transfer option is set to be available in June or July and can be accessed online, possibly through the EPF i-Akaun mobile app.
Currently, transfers from Account 3 to Accounts 1 and 2 must be made at the EPF office and cannot be reversed once completed. We have yet to confirm other details on the subject. So, we should wait for more confirmation from KWSP.
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