Thursday, 2 April 2026

BUDI95 cut prompts households to rethink travel and budgets

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KUCHING: The government’s temporary adjustment to BUDI95 eligibility, reducing the quota from 300 litres to 200 litres per month, took effect on April 1, prompting families across the country to reassess their spending, travel habits and overall household budgets amid rising living costs.

For many, the reduction is more than just a policy shift; it is a daily reality that requires immediate adjustment.

Shuhor Ahmad, a teacher supporting a family of five, said the cut has inevitably affected his household expenses, though they are still managing for now.

Shuhor notes that the reduced fuel quota has increased expenses and led his family to cut back on travel.

“It does impact our spending. With five family members, Alhamdulillah, we are still able to survive, but it is not without challenges,” he told Sarawak Tribune.

He added that the change will also influence their daily routines, particularly when it comes to commuting and managing family errands.

“It will definitely affect our movement. If there are better alternatives like electric vehicles, that would be a wiser choice compared to petrol or diesel cars,” he opined.

To cope with the reduced fuel quota, Shuhor said his family has begun cutting down on unnecessary travel and making more conscious decisions about their daily activities.

However, he acknowledged that the adjustment comes at a time when the cost of living is already on the rise.

“Living costs are increasing, and changes like this add to the financial burden,” he said.

“Still, I believe the government’s decision is necessary to protect the country’s financial position. We all have a responsibility to contribute and take care of our nation.”

Similarly, freelancer Luqmanulhakim Mohd Beji, a father of two, described the 100-litre reduction as significant, particularly for families who rely heavily on private vehicles.

Luqmanulhakim shares that the 100-litre cut has significantly affected his budget, prompting less driving.

“It affects our monthly expenses a lot. A difference of 100 litres is huge,” he lamented.

In response, he has taken steps to limit his car usage, driving only when absolutely necessary.

He is also considering alternatives such as ride-hailing services and public transportation to reduce fuel consumption.

“We’re trying to minimise the use of the car and find other options like Grab or public transport,” he said.

“Financial pressure has always been there, but it’s definitely more noticeable now.”

While he acknowledged that the government must make difficult decisions in addressing broader economic challenges, he believes there is still room for improvement to better support households.

“The government has to act based on the situation, and this is one of the measures taken,” he added.

“But adjustments can always be made to ensure people are not overly burdened.”

Meanwhile, for Harith Azahari, an Amazon specialist with a family of four, the impact has been more moderate but still requires careful planning.

“There has been a noticeable impact on our monthly expenses, though not substantial,” he said.

“We’ve seen a slight increase in fuel-related costs, so we have to be more mindful with our budget.”

Harith shared that his family has adopted a more structured approach to managing daily routines, including planning trips in advance and reducing unnecessary travel.

“We are more intentional now, combining errands into fewer trips and avoiding unplanned journeys,” he added.

“This helps us optimise fuel usage while maintaining our responsibilities.”

Although the financial strain is manageable for now, Harith acknowledged that the adjustment adds to the broader pressures of rising living costs.

“At present, it is still under control. But like many families, we are prioritising essential expenses and adjusting our spending habits accordingly,” he said.

On the policy itself, Harith views the government’s decision as reasonable given the current global economic climate, but emphasised the importance of continuous review.

Harith (left) highlights that the reduction has had a moderate impact, requiring more careful planning and budgeting.

“It appears to be a necessary step considering global uncertainties, but the government should continue monitoring its impact and ensure sufficient support for those who are more affected,” he said.

Across the board, the reduction in BUDI95 eligibility has prompted families to rethink how they commute, spend and prioritise daily needs.

While some view the policy as a necessary step in maintaining national fiscal stability, others hope for further refinements to cushion its impact on households already navigating a challenging economic landscape.

As Malaysians adapt to the new limit, one thing is clear; resilience and resourcefulness are becoming essential traits in managing household finances in an increasingly uncertain world.

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