Incapacitation and Death Benefits of EPF Member

Are you aware that apart from retirement benefits, an EPF member is also entitled to other benefits in the event of incapacitation and death?

The Incapacitation and Death Benefits are a goodwill gesture by the EPF, payable to the member/guardian or beneficiary to help lessen the financial burden when the member suffers from incapacitation or in the event of death. The money comes f  rom EPF investment earnings and not from the member's savings.

Incapacitation Benefit  

The Incapacitation Benefit is paid to the member who has lost his job owing to incapacitation and has made an Incapacitation Withdrawal. The amount for Incapacitation Benefit is RM5,000.00. This benefit will be given once only, subject to the following conditions:

·         Malaysian citizen;

·         Member has not attained the age of 55;

·         Applied for Incapacitation Withdrawal within 12 months of the date of termination of service;

·         Last period of service must be at least 6 continuous months;

·         Reason for termination of service must be incapability to work and not disciplinary action or voluntary resignation.

Death Benefit  

The Death Benefit is paid to the member's dependant or next-of-kin, subject to consideration by the EPF, when the application for Death Withdrawal is made. The amount for Death Benefit is RM2,500.00. This benefit will be given once only, subject to the following conditions:

·         Malaysian citizen;

·         Member has not attained the age of 55 years at the time of death;

·         Application for Death Withdrawal is made within 6 months of the date of demise of the member.

EPF rules under the section “Death Withdrawal” states that the deceased member must be a Malaysian citizen or a permanent resident. If a non-Malaysian must be an EPF member before August 1 1998. Non-Malaysians who opted to contribute after August 1 1998 are not eligible for death benefit.

Back to Index of April - June 2016