Let me think back, previously account 1 need to have RM55,000 only eligible to withdrawn. Why RM55,000? This is because the rule is needed to keep RM50,000 in the account, after deduct RM50,000 then the balance is RM5,000. And the 20% of the balance only can withdraw out. So the calculation is like this
RM55,000 - RM50,000 = RM5,000
RM5,000 * 20% = RM1,000
Unit trust minimum investment amount is RM1000. This is the reason over RM55,000 then only can invest. And because of the rule, it makes a lot of youngster not able to involve in the investment. And they just receive 5% (average) or lower than that interest from EPF every year. So what is the current calculation?
The current calculation is base on the age. Please look at the table below.
So now, let said you are in 26 years old and you have RM30,000 in account 1. Here are the calculations.
RM30,000 - RM11,000(from the table above) = RM19,000
RM19,000 * 20% = RM3,800
You can withdraw RM3,800 to invest in unit trust. So you can see a very big change in EPF structure. Now even though you are 18 years old also can withdraw out the money and do investment as long as your account have more than RM1,000.