EPF Account Restructuring: Navigating the New Landscape for Enhanced Financial Security

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The recent announcement of the EPF (Employees Provident Fund) account restructuring comes as a significant development for all EPF members in Malaysia. This bold move is designed to adapt to the evolving financial needs of members throughout their life cycles, while also focusing on bolstering retirement security. Here’s what you need to know about the new changes and how they can impact your financial planning.

Introducing the Three-Account Structure

Previously, EPF members had their savings distributed across two accounts—Account 1, which is strictly for retirement savings, and Account 2, which allowed for earlier withdrawals under specific conditions such as housing and medical expenses. The restructuring initiative has expanded this into a three-account system:

  1. Akaun Persaraan (Retirement Account): This account will now receive 75% of your new contributions, ensuring that a substantial portion of your savings is dedicated to your retirement years.
  2. Akaun Sejahtera (Well-being Account): Receiving 15% of contributions, this account is designed to cover mid-term needs, possibly including education or housing, providing a safety net that addresses more immediate financial goals.
  3. Akaun Fleksibel (Flexible Account): Perhaps the most significant change is the introduction of this account, which is allocated 10% of new contributions. What sets Akaun Fleksibel apart is its liquidity—funds can be withdrawn at any time for any purpose, with a minimal withdrawal amount set at RM50.

Empowering Financial Flexibility

The creation of Akaun Fleksibel is particularly noteworthy. It acknowledges that while long-term savings are crucial, the ability to access funds when unexpected needs arise is equally important. Whether it’s for an unforeseen medical expense, educational purpose, or even a personal project, Akaun Fleksibel offers the liquidity that can make a real difference in a member’s life without compromising their retirement savings.

Transition Period and Options

To facilitate the transition to this new structure, members are given an opt-in choice to transfer a portion of their existing savings in Akaun Sejahtera to Akaun Fleksibel. This option is available from 11 May 2024 until 31 August 2024. It’s a one-time choice and is irreversible, which underscores the need for careful financial planning and consideration before making a decision.

What Should Members Do?

As an EPF member, it’s crucial to re-evaluate your financial goals and consider how these changes can be aligned with your personal financial planning. The introduction of Akaun Fleksibel, in particular, offers a new tool in your financial toolkit—but it comes with the responsibility to manage it wisely.

  • Review Your Financial Plan: Consider how the new account structure affects your current savings and future financial needs.
  • Educate Yourself: Utilize resources available on the EPF website and through the KWSP i-Akaun app to understand the details and implications of the restructuring.
  • Consult Financial Advisers: If unsure, seek advice from financial experts to make informed decisions that best suit your financial situation.


The restructuring of EPF accounts represents a progressive step towards addressing the diverse financial needs of Malaysians at different stages of their life. By providing more flexibility and control over how and when members can access their funds, EPF is enhancing the ability of individuals to meet both their current and future financial challenges. Embrace these changes with a well-thought-out strategy to maximize your benefits and secure a stable financial future.