Tips for Gen Z on Using Eid Allowance for Investment
Eid season has always been highly anticipated, particularly by Generation Z. Beyond being an occasion for social gatherings, the Eid allowance (Tunjangan Hari Raya, THR) serves as a major attraction.
However, there is an interesting shift in how this generation views this additional funding. According to a 2025 YouGov survey, the majority of Gen Z now prefer to allocate their THR towards savings or investment rather than immediate consumption.
This increasing financial awareness demonstrates that investment is no longer merely a trend, but a strategic necessity for the future. So, how can one manage THR funds to achieve optimal results?
Many people remain trapped in the mindset that THR is “windfall money” that can be freely spent. However, using THR for investment offers both psychological and technical advantages. Since this money lies outside regular monthly salary, your primary cash flow remains unaffected.
F.X. Sutjiharto, M.M., a prominent trading writer and educator, emphasised the importance of this momentum. “Using THR for investment means you begin your financial journey without sacrificing daily needs. This is a golden opportunity that comes only once a year,” he stated.
With this dedicated fund, beginner investors can also learn to manage assets without excessive emotional pressure.
To ensure THR does not disappear, four key steps can be applied. However, despite enthusiasm for investment, certain practices must be avoided. Never invest your entire THR if you do not yet have adequate emergency savings. Additionally, avoid heeding calls for speculative investments without conducting thorough research first.
Based on the 2026 calendar, Eid 1447 H is estimated to fall on 21 March 2026. According to regulations mandating THR payment no later than 14 days before Eid, THR funds are projected to begin disbursing around 7 March 2026.
Starting the investment habit from now will deliver tangible positive impacts on your financial future. Beginning such practices today will yield meaningful benefits for long-term financial wellbeing.