BR1M is no more; replaced by BSH in Budget 2019

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KUALA LUMPUR (Nov 2): The 1Malaysia People's Aid (BR1M) programme, which was introduced during the Barisan Nasional administration, will be replaced by the Bantuan Sara Hidup (BSH), aimed at easing the burden of the Bottom 40 (B40) household income group.

BR1M was introduced in 2012, providing a payment of RM500 to households making less than RM3,000 per month.

Last year, under the BR1M programme, households earning less than RM3,000 received RM1,200 in BR1M payment while households earning between RM3,000 and RM4,000 received RM900 each.

"The government will continue and improve the living assistance of the B40 group (under BSH) by providing more targeted assistance," said Finance Minister Lim Guan Eng in his Budget 2019 speech in Parliament today.

"It is estimated that 4.1 million households will continue to receive financial assistance from the government with an allocation of RM5 billion," he added.

Based on the BSH tabled by Guan Eng today, households with monthly income of RM2,000 and below will receive a grant of RM1,000, households with monthly income from RM2,001 to RM3,000 and below will receive a total of RM750 while households with monthly income from RM3,001 to RM4,000 will receive a total of RM500.

On top of this, the government will introduce an additional BSH of RM120 for each child aged 18 years and below to be limited to four people, except those with disabilities or handicapped, are not limited to their age.

According to Guan Eng, the government can provide better assistant to the B40 group under BSH as opposed to the BR1M programme.

For example, households with monthly income of RM2,000 and below and having four kids aged 18 years and below could receive a total of RM1,480. This represents 23.33% more than the latest BR1M programme, which paying RM1,200 for the same targeted group.