Never too early to save

It is important for parents to start saving early to ensure children are not debt-ridden when they graduate.

PARENTS want the best of everything for their children and that includes education.

However, it is no secret that education cost, whether locally or abroad, is constantly on the rise.

One of the best ways parents can adopt is to start saving early to not only ensure children are not debt-ridden when they graduate but it will also be less stressful for parents themselves when the time comes.

With that in mind, the National Higher Education Fund Corporation (PTPTN) has created the National Education Savings Scheme (SSPN), a savings plan to encourage parents to save for their children’s higher education.

With SSPN, PTPTN has been educating Malaysians on the importance of saving early for education through its SSPN-i and SSPN-i Plus savings scheme.

Aside from free takaful coverage, SSPN-i savings scheme entitles depositors to tax exemption of up to RM8,000 per annum and competitive dividends.

Meanwhile, SSPN-i Plus is an improvised version of the SSPN-i, a government-guaranteed savings scheme which provides affordable and comprehensive takaful coverage to depositors from as low as RM30 per month and with more benefits added.

Through SSPN-i Plus, depositors are eligible to enjoy a tax exemption of up to RM15,000 per annum (RM8,000 in SSPN-i and RM7,000 in takaful contribution) for civil servants under the pension scheme, takaful protection of up to RM1mil in the case of death or permanent disability, funeral expenses, attractive dividend, and eligibility for PTPTN loan for tertiary education, but not including the matching grant incentive scheme that SSPN-i depositors will enjoy.

In addition to that, the saying “a penny saved is a penny earned” could not ring more true for depositors with a household income of not more than RM4,000 as they will also be eligible to receive a matching grant for their children who pursue higher education.

To help parents or guardians from low-income households (B40) in their children’s education, the matching grant incentive is given free for up to RM10,000.

For instance, if parents deposit RM5,000, PTPTN will give them additional RM5,000 until the permissible limit of RM10,000, subject to the terms and conditions.

In an effort to encourage parents, regardless of background, to start saving and take advantage of these benefits, PTPTN continues to disseminate these incentives through its Jelajah SSPN 2019 programme.

The programme is to further promote the matching grant incentive scheme to ensure the public, especially the B40 group, fully utilises the benefits provided by the government.

On top of that, PTPTN is also looking at collaborations with the private sectors as well as state governments to further enhance the publicity of the incentive in hope that more parents would take advantage of these benefits by opening the SSPN saving accounts for their children.

The public is encouraged to visit the carnival-like event to learn more about how PTPTN products can assist in financial planning as well as inculcate the culture of saving among both parents and children.Catch Minggu Menabung SSPN from Oct 4 to 6,2019 at the Aeon Mall Shah Alam, where the public can join the various fun activities lined up such as Colouring Contest, Kahoot Game, Junior Makeover, Musical hair, Beyblade competition as well as special appearance by Didi and Friends and many more.

Read more @ https://www.thestar.com.my/news/education/2019/09/29/never-too-early-to-save#X7StwqxLaC1V8qcC.99

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