Malaysians can now enrol for PRS accounts online

PRS Online
Minister of Youth and Sports, Khairy Jamaluddin (left) with Securities Commission Malaysia chairman Tan Sri Dato’ Seri Ranjit Ajit Singh and Private Pension Administrator Malaysia chairman Datuk Zaiton Mohd Hassan

You can now start saving for your retirement from the comfort of your home. With PRS Online Enrolment, Malaysians can sign up for a Private Retirement Schemes (PRS) account directly in an easy, convenient and secure manner.

“We live in an era of e-everything. PRS Online Enrolment would allow for potential PRS Members to sign up and save through our website,” said Datuk Zaiton Mohd Hassan, Chairman of Private Pensi on Administrator Malaysia (PPA), at the launch of the PRS Online Enrolment during the TN50 PRS Youth event yesterday.

The event, which was officiated by Youth and Sports Minister Khairy Jamaluddin, marks the start of the affiliation between PRS and TN50. It is aimed to highlight the importance of building savings for the future among youths. Also present was Securities Commission Malaysia Chairman Tan Sri Dato’ Seri Ranjit Ajit Singh.

With the PRS Online Enrolment, new PRS Members aged 30 and below will enjoy zero sales charges with selected PRS Providers. Currently, youths aged 30 and below make up about 27% of the PRS membership, motivated by the PRS Youth Incentive offered by the Government.

Under the PRS Youth Incentive, those aged between 20 and 30 will receive RM1,000 in PRS units if they save a minimum of RM1,000 in PRS. This one-off incentive is available until Dec 31, 2018.

“By being financially secure as individuals, we can be a catalyst to national growth and help Malaysia achieve its TN50 aspirations. Financial literacy is crucial in our march towards 2050 as the five key themes of TN50 are centred on drawing upon the aspirations of our youth for nation building,” said Datuk Zaiton.

The myPPA mobile application, which allows PRS Members to review and monitor their savings through their smart devices, was also launched at the event.

“This app embodies what PPA is: We are a one-stop centre for PRS. With the app, you can review all your PRS savings with just a touch on your smart devices anytime, anywhere,” said Datuk Zaiton. PRS enjoyed a rapid year of growth in 2017, with the number of Members growing by 33%.

With almost 80,000 new members, the PRS membership has exceeded 300,000. Meanwhile, the Net Asset Value (NAV), which refers to the total amount of PRS funds, jumped by 45% last year to RM 2.2 billion.

“This aggressive growth reflects the Malaysian public’s increasing awareness on the importance of having adequate retirement savings. It demonstrates the willpower to convert that awareness to action,” said Datuk Zaiton.

Last year, PPA ran the PRS Online Top Up Treats campaign to attract more PRS Members to increase their PRS savings directly through their website. It also introduced the Nomination process, which enabled Members to list their nominees in the event of their demise. PPA also continuously reached out to Malaysians through on-ground events, media interviews as well as digital engagement to raise the levels of financial literacy.