I have a rather confusing question for my fellow Malaysians today. You see, I received an email from the company HR today reminding us of this thing here:
When I saw this, I was like “Oh, f**k!”, because I know our Social Security (SOCSO) contribution is based on a fixed percentage of our monthly salary. If they raise the ceiling cap for contribution it can only mean I now have to pay more.
Come on, I’ve been working for 8 years now, as an engineer in an MNC. You would not believe me even if I tell you my salary is less than RM 4k 🙄 ...
And I was right. Basically I would have an additional RM 5 deducted from my paycheck every month and combined with my employer’s contribution, the SOCSO fund will get an additional RM 22.40 for my overall contribution every month. In fact they’ll get RM 22.40 more from every working class people who earns more than RM 4k a month.
Normally, I would be like “Okay, yeah, 5 bucks, big deal…”, but then I also came across this new article by New Straits Times.
Now I was under the impression that when we contribute to SOCSO, it is kind of like a security fund which would take care of us in case we get permanent disability or something at work. Isn’t that what they term “coverage”?
But apparently, if we see what this minister says, it seems only those with income below RM 3k/month is eligible to be covered. Now RM 4k/month. Does it mean people like me have been contributing to SOCSO for… nothing?
That would piss me off big time, you know. Especially when they are now raking in RM 22.40/month more from each of us >RM 4k/month folks for… nothing. I’ll be conservative and estimate that at least 2 million taxpayers in Malaysia are on >RM 4k/month. That means at least RM 44.8 million/month, or more than RM 500 million/year for… nothing?
Any SOCSO expert here who could point out if my interpretation of what the minister said is wrong? Because otherwise then, man… that would be awesome… for the folks who could get their hands on this pile of cash. RM 2.5 billion in 5 years. Who needs 1M… never mind… 🙄