This is an update and reminder on our EPF contribution. It was announced in the newspaper on November 5, 2008 that the Government has allowed employees to reduce their contribution by three percentage points effective January 2009 wages which means from 11% to 8%. But bare in mind that this is only for two years. By 2011 the contribution should be at 11%.
For those who are eligible for incometax, by having 8% EPF deduction would increase their amount for incometax deduction rather than having it at 11%.
So think wisely before doing it. Unless if you arethinking of investing the extra balance from 8% deduction to some other financial area such as deposit it into ASB which will give more dividend in return.
i dont think so..
ReplyDeleteYes Bro Errul..
ReplyDeleteIn order for you to calculate incometax you need to deduct the amount of EPF and maximum deduction would be RM500. The less EPF deduction would bring you high balance of gross income and will then create high deduction level for incometax.