EPF’s Shariah Zakat Facility Brings Religious Obligations Into Retirement Planning

Kuala Lumpur, 12 October 2026 – Malaysia’s Employees Provident Fund has introduced a Business Zakat facility for members of Simpanan Shariah, giving eligible Muslim savers an optional way to meet zakat obligations directly through their retirement accounts. The facility adds a new layer of religious-compliance administration to the country’s largest retirement savings system while preserving members’ choice over whether to participate.

Under the arrangement, members who opt in authorise the fund to calculate and deduct zakat after annual dividends are declared. The amount will then be remitted to the relevant state Islamic religious authority. EPF’s official guidance says the calculation uses a business-zakat approach based on collective ownership, or khultah, and an adjusted working-capital method, with an applicable rate of 2.577%.