Cpf Medisave Ceiling

For cpf members who turn 65 in 2020.

Cpf medisave ceiling. Cpf members aged 55 and above will earn an additional 1 extra interest on the first 30 000 of their combined balances. The cpf board announced in a joint new. The prevailing bhs in 2020 is 60 000 and it will be adjusted yearly to account for increasing life expectancy and healthcare costs until the year you turn age 65.

If you have not turned age 65 you can save up to the prevailing basic healthcare sum bhs in your medisave account. Some people still refer to it as cpf medisave limit or medisave cap limit. Up to 5 per annum on the retirement account.

A short history lesson. At the same time the medisave contribution ceiling will be renamed the basic healthcare sum. So what is it.

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 example if you earn an ow of 6 500 in a calendar month only 6 000 would attract cpf contributions. An example of ow is your monthly salary p p the ow ceiling limits the amount of ow that would attract cpf contributions.

In its previous iteration the official name was medisave contribution ceiling mcc but on 1st january 2016 mcc has been renamed as basic healthcare sum. Up to 5 per annum on the sp ecial and medisave accounts. Cpf interest rates from 1 january 2019 to 31 march 2019.

The medisave contribution ceiling mcc is the maximum balance a cpf member can save in his medisave account. 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. 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 fridays 8am to 5 30pm gmt 8 p.