PETALING JAYA: While presenting Budget 2019, Finance Minister Lim Guan Eng announced a number of new measures to look after senior citizens.
He said that the government is concerned over the plight of retired civil servants, especially those whose pension is below RM1,000 a month.
With a view to this, the government will give a one-off RM500 payment to eligible pensioners.
Additionally, in order to encourage the hiring of those above the age of 60 who want to work, the government proposes that their mandatory EPF contributions be reduced from 6% to 4%.
Lim says this group will also not have their income deducted for EPF contributions to increase the money available to them.
There will also be tax incentives for companies that hire senior citizens, with a salary limit of RM4,000 a month.
Furthermore, the government has allocated RM10 million annually to extend medical benefits to parents of contractual civil servants.
For full coverage of Budget 2019, go to http://bit.ly/budget2019TheStar.