As of August 31 2025, only 23.9% of Employees Provident Fund (EPF) members aged 18 to 55 have achieved the basic savings target of RM240,000, according to the Ministry of Finance.
Deputy Finance Minister Datuk Lim Hui Ying said the shortfall is partly due to nearly half of all members being inactive contributors, as well as factors such as low wages, inconsistent contributions, and limited financial literacy. Among active formal members, 38.8% have reached the basic savings level, up from 30.4% at the end of 2022 following COVID-19 withdrawals.
The ministry noted that initiatives by EPF are ongoing to help members build sufficient retirement savings, taking into account current life expectancy and retirement age.
As of August 2025, EPF has 16.5 million members with total savings of RM1.31 trillion, 55% of whom are active contributors holding RM1.07 trillion in combined savings.
