National Savings Fund: Retirement Security of Informal Workers

Abstract

          This academic paper aims to explain the concept, the formation of the Savings Promotion Policy and the operation of the National Savings Fund. The National Savings Fund is like a guarantee for living in old age. and encourage Thai people to have financial discipline. Currently, Thailand does not have an old age savings system that covers all types of labor sectors. These workers are at risk of falling into poverty in old age. because there is no way to access money saving tools while in working age. Therefore, the government has set up a fund to provide basic savings for those who are not protected to receive benefits in the form of pension. This is to promote equality and fairness from the government sector. Which is called the National Savings Fund or the NSF, by first recruiting since August 20th, 2015, which applicants must be individuals Thai nationality, aged 15-60 years, self-employed, including students, so the National Savings Fund is an alternative for self-employed people. This will allow you to receive benefits and rewards that are conducive to saving money for your future retirement. However, the National Savings Fund may be at risk from the income inconsistencies of informal workers, and there is a risk of saving behavior of individuals causing them to start saving money later than they should be. Therefore, the government should promote and create awareness to inform informal workers about the importance of saving.