00:00Are you putting too much in APF? What if saving just RM100 a month could make a RM45,000 difference
00:08to your retirement fund?
00:10Here's how. Start saving at RM18 and you could have about RM128,000 in your APF account by 55.
00:19Start at 25 and that figure drops to RM83,000. That's RM45,000 less simply because you started 7 years
00:28later,
00:29assuming an annual return of 5%. That's the power of compounding. The earlier you start, the more time your money
00:37has to grow.
00:38Under Budget 2027, all Malaysian citizens will automatically be registered as APF members when they turn 18.
00:47But here's the RM1 million question. Is APF alone enough to secure your golden years?
00:53Not quite. While APF is a good retirement nest egg, putting too much into it through voluntary contributions could leave
01:01you short when emergencies arise.
01:04A smarter approach is to spread your savings across three baskets.
01:08APF for retirement, bank or money market accounts for short-term needs and diversified investments for medium and long-term
01:16goals.
01:17But opening an APF account is only the first step. The real challenge is contributing consistently throughout your working life,
01:25particularly for gate workers and those in the informal sector.
01:30A comfortable retirement depends on three things. Regular and increasing contributions, sustained investment returns and giving your money enough time
01:39to compound.
01:40Even the highest dividends cannot make up for years of insufficient savings.
01:45So start early, contribute regularly and diversify.
01:49Because retirement planning isn't about putting all your eggs in one basket.
01:53It's about making every ringgit count.
01:56And we're going to use during modern tracing programs.
