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Budget 2021 | How Does It Impact Parents and Families?

2 min read
Budget 2021 | How Does It Impact Parents and Families?

Recently the Malaysian government tabled Budget 2021 in Parliament where they’ve proposed expenditure of RM322.5 billion, making it the largest budget in Malaysian history. As parents, how does theis budget affect us and our children's well-being?

The government recently tabled the 2021 Budget in Parliament. They’ve proposed an expenditure of RM322.5 billion, which makes it the largest budget in Malaysian history.

Formulated based on three integral goals: 1) people’s welfare, 2) business continuity, and 3) economic resilience, the budget outlines fund allocations to help the rakyat through the Covid-19 pandemic, with RM17 billion going into the Covid-19 fund.

The question is—how could all this affect you as a parent?

A Compilation of Highlights From Budget 2021 That Might Interest You

Budget 2021

Credit: snappygoat.com

Health

  • RM90 million for pneumococcal immunisation programme for children
  • Tax exemption for vaccination pneumococcal, influenzas and Covid-19 up to RM1,000 for self, spouse and children
  • Tax relief for treatment of serious diseases increased from RM6,000 to RM8,000 for self, spouse and children
  • Tax relief for health screenings increased from RM500 to RM1,000 for self, spouse and children
  • Tax relief for parents/special needs child medical expenses and care increased from RM5,000 to RM8,000 for self, spouse and children
  • Aid for bedridden OKU carers, senior citizens and chronically ill patients increased from RM350 to RM500 monthly
  • mySalam protection program extended (includes heart stents and prosthetics)

Read more:  Teaching Your Kids About Money

Bantuan Prihatin Rakyat

Budget 2021

Credit: bernama.com

  • Households earning less than RM2,500 will receive RM1,200 to RM1,800, depending on the number of children they have
  • Households earning between RM2,501 to RM4,000 will receive between RM800 to RM1,200, depending on the number of children they have
  • Households earning between RM4,001 to RM5,000 will receive between RM500 to RM750, depending on the number of children they have

Tax Relief and Community-Based Initiatives

  • Tax exemption for disabled spouse increased from RM3,500 to RM5,000
  • RM20 million to establish B40 community centres for children to attend after school
  • RM170 million for early childhood education under KEMAS
  • RM30 million to establish childcare centres in government buildings (especially hospitals)

Education

Budget 2021

Credit: thestar.com.my

  • RM420 million for the Supplementary Food Programme for students (milk to be provided every school day)
  • RM45 million for special needs education

Transport

  • Introduction of unlimited monthly travel passes at RM5 for school kids and the disabled (includes train services in the Klang Valley and several other areas)

During these uncertain times, it might be a good idea to discuss financial literacy with your child. Click here to learn more.

This article has been republished with permission from Kiddy123

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