Medisave Account Ceiling

For now all we need to know is that basic healthcare sum is the estimated savings required for basic subsidised healthcare needs in old age.

Medisave account ceiling. However consider what happens if your medisave account has reached the contribution ceiling. This amount is 49 800 in 2016 and will increase each year in response to medisave use. The basic healthcare sum bhs replaced the medisave contribution ceiling since 1 january 2016.

This is meant to provide for our basic subsidised healthcare needs in our old age as well as our medishield life premiums. If you are below age 55 it will be transferred to your special account. From 1 january 2016 there will only be one medisave related amount you need to be concerned about that is the basic healthcare sum.

For cpf members below age 65 the bhs will be adjusted annually to keep pace with the expected growth in medisave use by the elderly. For those of you who do not know there is also a medisave contribution ceiling mcc which is 48 500 as at 2015. For 2020 the basic healthcare sum amount has increased by 4 9 from 57 200 to 60 000.

This ensures that the bhs will stay relevant for each cohort when. The basic healthcare sum bhs caps the amount of money we can have in our medisave account for life when we hit 65. Medisave contribution ceiling mcc is the maximum balance a member may have in his medisave account.

Medisave p medisave is a national medical savings scheme which helps cpf members put aside part of their income into their medisave accounts to meet their future personal or approved dependant s hospitalisation day surgery and certain outpatient expenses p p for enquiries on the scheme you may call the healthcare hotline at 1800 222 3399 or 65 6222 3399 from mondays to. Medisave contribution ceiling was actually the official term until it was renamed in 2015 to basic healthcare sum people do have a very good idea of what basic healthcare sum is. Our medisave account cannot have an amount which is more than the basic healthcare sum bhs currently at 57 200 as of 2019.

At the same time the medisave contribution ceiling will be renamed the basic healthcare sum. But as part of the government s plan to enhance retirement savings all cpf members will earn an extra 1 per cent on the first s 60 000 of. Medisave account monies will earn 4 per cent per annum.