EPF dividend 2010

The Employees Provident Fund (EPF) Board, with the approval of the Minister of Finance, has declared a dividend rate of 5.65 per cent for the financial year ended 31 December 2009. The dividend rate was declared on the back of the highest ever net income achieved of RM19.63 billion.

Extracted from the Press release (in respect of EPF Dividend for 2009) dated 5 march 2010. For full text click here

In a month from now (maybe less) we will know what the dividend rate will be like...I just can't wait to hear from the EPF Board.
Based on my own prediction the dividend rate will be higher than the 5.65% declared last year. I am looking at 5.95% or maybe 6.00%. I want higher return on my EPF savings. What about you?

This is how I got my dividend rate for 2010

My own formula >>> Income attributable to EPF members in Current Year (Income CY) divide by Contributions Account in the Previous (CAPY) or simply
CY Income / CAPY


1. For 2008 Dividend
RM14.30 Billion (i.e. RM15.02 Billion - Reserve RM0.72 Billion) / RM317.32 Billion = 4.51% (Variance = -0.01%)
Note : Actual Dividend declared was 4.50%

2. For 2009 Dividend
RM19.62 Billion (i.e. RM19.65 Billion - Reserve RM0.03 Billion) / RM344.64 Billion = 5.69% (Variance = -0.04%)
Note : Actual Dividend declared was 5.65%

3. Estimated 2010 Dividend
a. Estimated CY Income = RM 22.27 billion (Q1 2010; RM5.55 billion + Q2 2010; RM5.47 billion + Q3 2010; RM5.75 billion + Q4 2010 ; RM5.50 billion (estimate))
b. CAPY = RM373.74 Billion
c. Dividend rate = 5.96 %

You may want to read this article from The Malaysian Insider...
EPF dividend creeps up to 5.85pc for 2010, says source

Come on EPF, give us higher return...make us happy :)