1) How to properly fill up your insurance tax relief
You should know there are 3 components which you can enjoy tax exemption up to a total of RM12,000 annually
A) life insurance & KWSP RM 6,000
B) Deferred Annuity & PRS RM 3,000
C) Education & Medical Insurance RM 3,000
Amount in the statement indicate yearly tax exempt qualified
To fill up, simply put in the figure as stated in the statement
A) under life and KSWP = RM 399
C) under education & medical insurance = RM581.
3) How much money do i actually saved on insurance and annuity tax exemption
please refer to a case study below
3 a) Let’s see how how much money you actually saved over a long period of time
Total money saved per year is RM960.
What if you could pay yourself instead of the government. How much you will be better off?
Let me show you a simple calculation.
if you can save RM960 annually in a vehicle that giving you 7% of compounded interest
1) Compounded 10 years = RM14,192.26
2) Compounded 20 years = RM 42,110
3) Compounded 30 years = RM 97,030
4) Compounded 40 years = RM 205,065
* Assuming Client file under the same income tax bracket
Would would prefer the money to be in your own saving account or in the government account?