PERKESO mulls raising Lindung Kasih age limit
PETALING JAYA: The Social Security Organisation (PERKESO) is looking to increase the age limit for coverage under the Housewives Social Security Scheme (Lindung Kasih) to 60, in line with the retirement age.
It said in a consultation document that the move will ensure continuous social protection for housewives up to the age of 60 as more women continue to run households and contribute to the care economy even after 55.
The scheme is available to women who manage their own households.
Eligible participants may be married, unmarried, widowed, or single mothers, and they can work either full-time or part-time.
Currently, it is open to Malaysians or permanent residents below 55.
At RM120 per year, contributions may be made by the husband, the woman herself, or any third party.
It was rolled out in December 2022 as protection against domestic accidents, invalidity or death.
Explaining the move to increase the age limit to 60, PERKESO said women aged between 55 and 60 generally remain active in the care economy by being involved in managing households, including caring for children and grandchildren, as well as sick, disabled and elderly parents.
“(This will ensure) longer social security protection which can help ease the burden of healthcare costs for housewives in the event of domestic accidents or incapacity in managing the household,” the organisation said.
The move will require an amendment to the Housewives’ Social Security Act 2022.
Commenting on the proposed move, financial planner Linnet Lee said increasing the age would be beneficial as people are living longer and staying active.
“A homemaker’s work is lifelong. Many women in their late 50s are still caring for their grandchildren or elderly parents, or managing their households full-time.
“Household work carries physical risks regardless of age. It may be better to increase the age limit to 65 instead of 60, as retirement age may be increased as Malaysia is fast-moving towards an ageing nation,” she said.
Lee said medical issues and disabilities tend to increase with age, and extending coverage gives families financial protection to mitigate higher risks and medical inflation.
“Compared with raising the retirement age for employment, extending Lindung Kasih to 60 or even to 65 is not controversial because it is a protection scheme and not a requirement to work longer.
“Homemakers are not competing for jobs in the same way,” said the licensed director of Resolute Planning Sdn Bhd.
“The objective is social protection rather than extending employment tenure.
“Children of the homemakers are able to afford medical care for their mothers.”
The increase in age aligns with Malaysia moving toward an ageing society, as policymakers are reviewing retirement and social protection frameworks more broadly. Perhaps this can also reduce taxpayers’ burden by keeping tax at a certain level,” she added.
Sunway University economics professor Dr Yeah Kim Leng welcomed the move to align the coverage age to the mandatory retirement age.
“This will enhance financial security for housewives, given their dominant role in family well-being,” he said, adding that the risk is higher for women in this age bracket, especially those belonging to the B40 and M40 groups.
