Thinking about the future
Mr. Yeoh was a self-made man. He ran a successful hardware store, working six days a week. But being your own boss has a downside: there is no employer contributing to your EPF. If Mr. Yeoh didn’t work, he didn’t eat. He looked at his older peers in the industry who were still lifting heavy boxes at 70 because they couldn’t afford to stop. He didn’t want that future.
Discovering the right policy
At 40, he decided to “hire” his future self. He consulted our advisor from TM Legacy Builders. Our advisor helped him design a Private Retirement Scheme using an insurance vehicle. The goal was to create a passive income stream that would mimic a salary.
Mr. Yeoh committed to a premium of RM21,000 a year for 12 years. It was a steep commitment, but he viewed it as paying his most important employee: the 60-year-old Mr. Yeoh. The plan was structured to start paying him a yearly cash allowance from age 52 until 80, with a final maturity lump sum of RM350,000.
Financial discipline and Peace of Mind
This structure provided him with liquidity in his older years. Even if his business slowed down or if he passed it to his children, he would receive a cheque every year. It gave him the dignity of independence. The 12-year payment term also instilled discipline. In good business years, he set the money aside early. In slower years, the obligation forced him to be prudent with his spending.
Emotional benefit beyond numbers
Malaysians are living longer, with life expectancy reaching 75 years. Funding a 20-year retirement requires millions, not thousands. Mr. Yeoh is now halfway through his payment term. He feels lighter knowing that his “pension” is guaranteed. TM Legacy Builders helped Mr. Yeoh build a fortress around his retirement. He knows that one day, he can put down the heavy boxes and walk away, financially secure and free.
Key takeaways for early planners
- Planning for retirement at a younger age maximises compounding and security.
- Guaranteed payouts ensure predictable income in golden years.
- Structured policies provide discipline and peace of mind.
How TM Legacy Builders supports retirement planning
TM Legacy Builders guided him throughout the process, advising on policies that suited his stage in life. We helped align payment terms, premiums, and maturity dates with his long-term retirement goals, ensuring lasting financial security.
