Here Are The Key Belanjawan 2026 Benefits That'll Directly Impact Your Daily Life & Finances
SAYS, 10 October 2025
Image via AFP Photo/Malaysia's Department of Information
Beyond the high-level economic figures, Belanjawan 2026 contains several initiatives and direct financial aid aimed at benefiting ordinary Malaysians and their families
Below is a detailed breakdown of the benefits as announced by Prime Minister cum Finance Minister Datuk Seri Anwar Ibrahim today, 10 October, in the Dewan Rakyat as part of his expansionary RM470 billion budget that directly benefits ordinary Malaysians and addresses their cost of living.
Image via AFP Photo/Malaysia's Department of Information
1. Direct cash aid and financial assistance
The budget provides significant direct financial support to households and individuals.
Sumbangan Tunai Rahmah (STR) & Sumbangan Asas Rahmah (SARA): The government has allocated a combined RM15 billion for STR and SARA. In 2026, all nine million STR recipients will also receive SARA payments of up to RM100 per month (RM1,200 a year).
- The one million STR recipients under e-Kasih (hardcore poor) will receive a higher SARA rate of up to RM200 per month (RM2,400 a year).
- Single individuals will receive RM600 a year (RM50 per month) through SARA.
- The maximum aid for a household earning under RM2,500 with five children is RM4,600 (RM2,200 in STR and RM2,400 in SARA).
SARA for all Malaysians: The government will once again give RM100 in SARA to 22 million Malaysians aged 18 and above. This will be distributed in mid-February 2026 to help with preparations for Ramadan and Chinese New Year.
Bantuan Awal Persekolahan (BAP): All 5.2 million students in government schools will receive RM150 as early schooling assistance. The total allocation is RM800 million. Starting in 2026, this aid will be channelled to parents through teachers at schools.
Welfare Department aid: Financial assistance from the Social Welfare Department (JKM) will continue, with an increased allocation of RM3.1 billion benefiting over 560,000 recipients.
2. Housing and home ownership
Several initiatives announced by Anwar as part of his Belanjawan 2026 aim to make owning a home more accessible and affordable.
Stamp duty exemption: The full stamp duty exemption on transfer documents and loan agreements for first-time homebuyers is extended for two years until 31 December 2027, for properties priced up to RM500,000.
Housing Credit Guarantee Scheme (SJKP): The government guarantee for SJKP is doubled to RM20 billion. This initiative helps those without fixed incomes, such as gig workers and the self-employed, to secure housing loans.
BSN loans for contract staff: Bank Simpanan Nasional (BSN) is providing RM500 million to finance first-home loans for contract civil servants, including KEMAS Tabika and Taska teachers. SJKP will guarantee loans up to 120% with a total value of RM1 billion for this group.
MySalam initiative: The MySalam initiative for B40 individuals will be continued in 2026 to provide subsidised hospitalisation and critical illness protection.
Image via AFP Photo/Malaysia's Department of Information
3. Healthcare and medical benefits
The budget introduces measures to improve healthcare access and affordability.
GP consultation fees: The consultation fee rates for general practitioners (GPs), last revised in 2006, will be adjusted to a new range of RM10 to RM80, compared to the previous RM10 to RM35.
Tax relief for vaccinations: The individual income tax relief for vaccination expenses is expanded to cover all types of vaccines registered and approved by the Ministry of Health (MOH).
EPF for health insurance: EPF contributors can now use their Akaun Sejahtera savings (Account 2) to subscribe to a basic medical and health insurance or takaful plan.
Tax relief for insurance premiums: The individual income tax relief of up to RM3,000 for life insurance or takaful premiums is expanded to also cover children, not just the individual and spouse.
PERKESO dialysis support: The Social Security Organisation is increasing the maximum rate for each hemodialysis treatment to RM170 from RM150.
4. Support for workers, families, and students
Various forms of support are provided for employees, gig workers, parents, and students.
EPF i-Saraan plus: To encourage retirement savings for gig workers, the government will provide a matching contribution incentive of up to RM600 per year (or RM6,000 lifetime) under the i-Saraan Plus scheme. Other self-employed individuals will continue to receive a matching contribution of up to RM500 per year (RM5,000 lifetime) under the standard i-Saraan scheme.
EPF for Hajj: The withdrawal limit from EPF for performing the Hajj pilgrimage is increased to RM10,000 from RM3,000.
PERKESO relocation incentive: Job seekers or new graduates who need to relocate for a new job can receive an incentive of up to RM1,000 from PERKESO.
Tax relief for childcare: The RM3,000 tax relief for childcare fees is expanded to include registered day care or transit centres for children up to 12 years old, from the previous 6-year-old limit.
PTPTN loan exemption: PTPTN loan repayments will be waived for all students from low and middle-income families who graduate with a First-Class Honours Bachelor's degree from a public university (IPTA).
Free PTPTN education: The government is introducing "Pendidikan Percuma PTPTN", providing free education for 5,800 students from poor families studying at IPTAs, with an allocation of RM120 million per year.
5. Transportation and mobility
Initiatives are in place to ease the burden of travel and vehicle ownership.
Vehicle disposal grant: Owners of cars over 20 years old can receive a matching grant of up to RM4,000 from the government and national car manufacturers to dispose of their old vehicles and purchase a new national car.
MyRailLife pass: The MyRailLife pass, offering free rides on KTM Komuter and Shuttle DMU services for students and the disabled community, will be expanded to all children under 6 years old.
Deepavali toll discount: A 50% toll discount will be given for two days in conjunction with the Deepavali celebration.
Taxi owner exemptions: Taxi owners will continue to receive a 100% exemption on excise duty and sales tax for the purchase of new national cars (Proton and Perodua) for their taxi operations.
Image via AFP Photo/Malaysia's Department of Information
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