Wednesday, January 27, 2010

5 Reasons why I chose The National Education Savings Scheme (SSPN)

Saving money for my child college fund is one of our financial goals that I want to achieve with no hassles and disruptions. I adjust my budgeting plan so I can place a new category for my child savings which means that my expense will decrease to grant a path to save money for college fund.

Here I put 5 reasons why SSPN is the most suitable for savings for my child higher study.

1. The dividend or return is consistently from 3% - 4%.
The return is not quite high and might not interest some of the people, but I’m satisfied with that because it is consistent. I don’t have to worry if the economy is down.
Consistency is beneficial for mid-term investment.

2. My child is eligible for taking a student loan if my savings exceed RM3000.
This is the best reason why I chose SSPN to be my child college fund. What if my financial is facing problems by the time my child goes to university? What if I’m broke in 2028? My child still can pursue a degree in college.
Tax relief on savings is up to RM3000 per year. Technically, I save more just by deposit monthly savings here. Tax relief is applicable for this fund.

3. It offers automatic debit transaction mode.
Using automatic debit gives you no choice but to save. It is a good way to save money for people who seems hard to save money out of their salary. Every month, I set out RM 50 auto debit for the first year and RM100 for the next years to come.

4. Free insurance coverage up to RM 50000.
It is valid for account holder who has balance of RM1000. The death compensation for depositors is RM1000 and beneficiary is RM500.It covers maximum RM50000 for general insurance and RM100 000 for trust insurance.

5. The fund is backed up by Malaysian government.
There’s very low risk and it guaranteed by the government. Every year you will gain dividend as promised but it is not significant like other financial provider. But the stability and the consistency of the fund favours me more than the dividend payout

I will never know if I can financially support my children in 20 years from now. I will help my children by put money into savings. It would be better for me to save some of money today for greater tomorrow.


  1. eliss pun bukak sspn utk my nuha.
    part paling best bleh buat secara pemotongan gaji tu la :)

  2. eliss : 2 la psl, dapat potong yg tak bestnya, bler potong gaji,balance lak tinggal skit.. kalu tak potong asyik terluper je nk saving..

  3. we took TAKAFUL education insurance for our eldest daughter. but for the second daughter, belum lg sbb tunggu nak balik msia baru buatkan pulak.

  4. temp.housewife : Huda pun amik gak etika takaful

  5. From SSPN notice, the insurance coverage is dollar-to-dollar. That means kalau simpan RM2000, the coverage is only RM2000 (Maximum RM50k)


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Dear Readers, welcome to my personal blog. This blog is about the story of my little family and its members. You can find my posts are mostly about parenting and family matters. Some of my posts are not concerning parenthood at all like cooking and shopping because I would like some diversify in my parenthood blog. Sharing information to my fellow friends and loyal reader is the main reason to build this parenthood blog.

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My name is kambingbujang. I am 27-year old mum with Amirul beside me. Now I'm carrying around his future younger brother/sister in my tummy.

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