Basic Healthcare Sum

[rokawa2]

Hi,

Dont really understand this, so I hope the CPF specialists can enlighten me.

I reached the BHS of 63k it seems coz the usual MA contribution was reduced like 60% to make the MA balance just nice at 63k. So if 40% went to MA, what happen to the balance 60%? It did not seem to top up at my SA or OA. Like "disappear"? O_O
im 37 yr old.

Hmm cant delete thread?
Just noticed that it did go to SA just that previous mth contribution was higher so it kind of mask the difference haha
So all ok :x

 

[reddevil0728]

https://www.salary.sg/2020/cpf-medisave-limit-basic-healthcare-sum-where-does-the-excess-go-to/

 

[chiokcc]

Are we expecting any changes in the next few years? Thought it is going to be simplified .....

 

[proton_cannon]

Are we expecting any changes in the next few years? Thought it is going to be simplified .....

you hoping for changes that could benefit cpf members??

Most of the cpf changes are like below:

 

[reddevil0728]

Are we expecting any changes in the next few years? Thought it is going to be simplified .....

supposedly. not yet lor. we are talking about now ma

you hoping for changes that could benefit cpf members??

Most of the cpf changes are like below:

not sure about what conspiracy are you trying to perpetuate?

 

[rokawa2]

Oh i have an enquiry.
If BHS is not increasing and stay 63k. (Yea unlikely :x)
what happen to the interest generated by MA?
DOes it go to MA meaning 63k+MA's interest
or
it become SA+SA's interest+MA's interest?

then when MA get deducted by expense, CPF contribution start to enter MA again to top up back to BHS.

 

[reddevil0728]

Oh i have an enquiry.
If BHS is not increasing and stay 63k. (Yea unlikely :x)
what happen to the interest generated by MA?
DOes it go to MA meaning 63k+MA's interest
or
it become SA+SA's interest+MA's interest?

then when MA get deducted by expense, CPF contribution start to enter MA again to top up back to BHS.

see the chart above

 

[Imhthc]

Oh i have an enquiry.
If BHS is not increasing and stay 63k. (Yea unlikely :x)
what happen to the interest generated by MA?
DOes it go to MA meaning 63k+MA's interest
or
it become SA+SA's interest+MA's interest?

then when MA get deducted by expense, CPF contribution start to enter MA again to top up back to BHS.

To ur question, the answer in ur context, SA+SA’s interest+MA’s interest. Also, even if BHS increases for the subsequent year, it will also be the same answer coz the interests is tabulated n transferred on the last day of the year.

Any withdrawal from MA and when it causes it to drop below BHS for that year, the next credit of ur CPF portion for MA will top it up, any balance after cap will once again flow to SA for ur case

 

[Strikk]

I have a question on the usage of Medisave.

Hitting the max MA does not appear to have much value to the account holder when their usage are capped by the medisave withdrawal limits. Assuming i have the top ISP , with or without rider, can Medisave that be used to pay for the co-pay and deductible portion completely?

 

[BBCWatcher]

I have a question on the usage of Medisave.

Hitting the max MA does not appear to have much value to the account holder when their usage are capped by the medisave withdrawal limits.

Your predicate doesn't necessarily hold. In particular, see the chart Reddevil0728 posted above. When your MediSave is "full" (pegged to the BHS) you can do some interesting things with CPF to treat it like a weirdly high interest liquid savings account from age 55.

Assuming i have the top ISP , with or without rider, can Medisave that be used to pay for the co-pay and deductible portion completely?

Whether you have the "top" Integrated Shield plan or not, you can use MediSave dollars to pay for many medical expenses in Singapore(*) according to the various withdrawal rules and limits. (Whereupon you can often replenish MediSave funds, with tax relief, via Voluntary Contributions to MediSave. VCs to MediSave must fit within both the CPF Annual Limit and Basic Healthcare Sum.)

The Ministry of Health explains what you can use MediSave for here. Also, upon the death of the CPF member, residual MediSave balances can be transferred to the member's CPF nominee(s). Meaning that MediSave can serve as a form of life insurance/bequest delivery if that's what you wish to do. And MediSave dollars don't have to be used for self. They can also be used for the eligible expenses of qualified family members.

(*) What about Singaporeans overseas? Well, MediSave dollars can still pay CareShield Life premiums, and you can still get CareShield Life benefits and MediSave Care withdrawals if you were to become severely disabled. Yes, even while living overseas. You can also return to Singapore for planned medical care that's MediSave payable, and very occasionally you can use MediSave dollars outside Singapore (in Malaysia notably if it's a MediShield Life eligible provider). If you're not in Singapore but have qualified family members in Singapore, you can still use your MediSave dollars to pay for their care and premiums (per MediSave rules). And your CPF nominee(s) get any residual. All of that still works.