Why Subscribe to SSPN?
Are you looking for a smart way to save for your child’s education while enjoying significant tax benefits? Subscribing to the National Education Savings Scheme (SSPN) might be the perfect solution for you. Here’s why and how you can make the most out of it.
Benefits of SSPN Subscription
One of the primary reasons to subscribe to SSPN is the attractive tax relief of up to RM8,000. This can significantly reduce your taxable income, providing substantial savings.
How to Maximize Your SSPN Contributions
To maximize your SSPN contributions, consider using a credit card. This method not only helps in managing your finances better but also allows you to earn rewards or cashback from your credit card provider.
Paying SSPN in 12 Monthly Installments
If you prefer to spread out your payments, you can pay your SSPN contributions in 12 monthly installments. Here’s a step-by-step guide:
- Top Up ShopeePay: Use a credit card, such as the Public Bank Visa Signature, to top up your ShopeePay account.
- Pay SSPN via Shopee: Use ShopeePay to pay your SSPN bill under the ‘Bill’ section.
- Balance Transfer: After making the payment, transfer the balance to a Maybank credit card with a 0% promotion, valid until the end of December.
Weaknesses and Advantages
While this method is effective, it has a limitation: you can only pay up to RM999 per month using ShopeePay, so you’ll need to repeat this process for eight months.
However, the advantage is clear. By spreading out the RM8,000 payment over 12 months, you only need to pay RM667 each month, which improves your cash flow and makes it easier to manage your finances.
Conclusion
Subscribing to SSPN offers significant tax relief and can be a strategic way to save for your child’s education. By using a credit card and spreading out your payments, you can maximize your benefits and maintain better cash flow. Start planning today and take advantage of these financial strategies to secure a brighter future for your child.