Bangkok: The Treasury Department is advocating the introduction of a ‘retirement lottery’ aimed at promoting long-term savings among citizens aged over 60. This initiative is set to be proposed to the Cabinet this December as a strategic measure to encourage retirement savings through an innovative lottery system.
According to Thai News Agency, Dr. Paopum Jonsakul, Deputy Minister of Finance, announced this initiative during the National Savings Day 2024. The government aims to motivate Thais to save more for retirement by developing a digital scratch-off lottery, termed the “retirement lottery.” This new savings format aligns with the local culture, allowing participants to both indulge in lottery activities and secure their financial future.
Dr. Pao Bhumi elaborated on the lottery’s format, stating that tickets will be priced at 50 baht each, with a monthly purchase limit of 3,000 baht. The draws will occur every Friday, offering 5 first prizes of 1 million baht each and 10,000 second prizes of 1,000 baht
. Unclaimed prizes will roll over to subsequent draws. Eligibility extends to members of the Social Security Fund, insured persons under Section 40, and those within the informal sector, encompassing over 20 million people across the nation.
The lottery introduces four prize formats: the first prize involves a digital scratch-off method with provincial circles and shades; the second prize uses district names with colors; the third prize accumulates if unclaimed; and the fourth prize includes special benefits such as gas cards and hotel accommodations.
Legislative amendments are underway to extend the eligibility age for purchasing retirement lottery tickets from 15-60 years to those over 60, with a condition of maintaining a 10-year holding period before withdrawal. In the event of the ticket holder’s death, the funds would be transferred to the designated heir. The proposal is expected to be submitted to the Cabinet in December, with sales projected to commence in the first quarter of 2025.
Dr. Pao Bhum
highlighted the financial benefits of participating in the retirement lottery, asserting that consistent savings from age 15 to 60 could lead to a substantial account balance. When combined with the retirement lottery, participants could accumulate over 4.2 million baht, ensuring a stable monthly pension throughout retirement.
