CPF Medisave Amount raised

[Mllcg]

SINGAPORE: From January next year, the Medisave Required Amount (MRA) in the Central Provident Fund (CPF) will be raised to S$38,500 from the current S$32,000.

 

The MRA refers to the amount that must be set aside in the Medisave Account, after the CPF Minimum Sum requirement has been met.

 

The CPF Board said those who have met the CPF Minimum Sum and have an MRA shortfall at the point of withdrawal have to make a top-up to the Medisave Account.

 

This can be done with part of the balances from the Ordinary Account and/or Special Account to meet the prevailing MRA.

 

CPF said the requirement for members to set aside the MRA in their Medisave Account is to enable them to have enough savings to meet their healthcare needs during old age.

 

Central Provident Fund members will also continue to enjoy a risk free interest rate of four percent on their Special and Medisave Accounts (SMA) for the next three months, from 1 January to 31 March 2013.

 

The interest rate on their Retirement Accounts (RA) for the whole of next year will also remain at four percent.

 

The CPF Board said this was in line with the government's announcement in September that it would maintain the four percent per annum floor rate for interest earned on all monies in the Special and Medisave Accounts as well as savings in the Retirement Account until the end of next year.

 

Savings in the SMA currently earn either 4 percent or the 12-month average yield of 10-year Singapore Government Securities (10YSGS) plus 1 percent, whichever is the higher.

 

The interest rate on SMA savings is adjusted quarterly, based on interest rates on 10YSGS over a preceding 12-month period.

 

Since the average yield of the 10YSGS plus 1 percent, from 1 December 2011 to 30 November 2012, works out to be 2.49 percent, the SMA interest rate payable to CPF members from 1 January 2013 to 31 March 2013 will be maintained at the current floor of 4 percent, CPF said.

 

New RA savings are invested in SSGS which earn a fixed coupon equal to either the 12-month average yield of the 10YSGS plus 1 percent at the point of issuance, or 4 percent, whichever is the higher, adjusted yearly.

 

CPF said given the lower 10YSGS yield, new RA savings will earn a fixed coupon of 4 percent.

 

- CNA/al

 

http://www.channelnewsasia.com/stories/sin...1243869/1/.html

[Beehive3783]

Oops... somebody is running out of money...

[Roh96]

How can they suka suka raise the limit without asking for people's feedback? Never learn.

[Cars08]

How can they suka suka raise the limit without asking for people's feedback? Never learn.

Ask will be waste money n time...jus increase...nobody dare sit in even if increase...all will sit here n type...

 

$6.5K more is only 4 lots of Olam based on today's px only mah....

[Wt_know]

i suggest minimum amount to be set to $1,000,000 .... everyone is a millionaire ... huat ah!!!

[Gitanic]

I support taking care of our own health.

 

But isn't the current medical fees a bit ridiculous.

 

 

[Cars08]

i suggest minimum amount to be set to $1,000,000 .... everyone is a millionaire ... huat ah!!!

 

This one they accept or not?

Edited December 21, 2012 by Cars08

[1fast1]

This one they accept or not?

 

RadX ForX can help you Xchange. Got contacts on both sides (medical and... the "other" side).

Edited December 21, 2012 by Turboflat4

[Nightkids]

Yay !!!!!!!!!!!!!!!!!!!!

 

Pappies have another 3 more years to squeeze us dry......

 

LONG LIVE PAP !!!!!!

[Jman888]

by what age that you must have $38,500 in the medisave account? at 55 or 62?

 

i am sure most will probably accumulate that amount in their 50s, so what is there to shout about?

[Cars08]

RadX ForX can help you Xchange. Got contacts on both sides (medical and... the "other" side).

Really...i hv a few types...wondering what's the exchange.... Gold also can hor...

 

[Gitanic]

Now because of Medisave U work and get sick.

 

Since sick need money, U have to work more for money....

 

That gets U more sick!!

[Hiphiphoray]

KNN....anyhow invest lose $ liao cum claim from us.

 

[Dumb]

by what age that you must have $38,500 in the medisave account? at 55 or 62?

 

i am sure most will probably accumulate that amount in their 50s, so what is there to shout about?

 

Those who are 55 now will have to set that amount aside in medisave. By the time you reach 55, the amount will be above 100k excluding the min sum amount whick is unthinkable.

[Vextan]

I thought now the Medisave minimum sum is $43k ?

[Cars08]

by what age that you must have $38,500 in the medisave account? at 55 or 62?

 

i am sure most will probably accumulate that amount in their 50s, so what is there to shout about?

No need 50s lah...most ppl that cross 30 or so depending on their income will already have higher than this amount by now....tot the contribution ceiling is $43,500 and every year they will adjust to keep to inflation...

[Tedlhw]

SINGAPORE: From January next year, the Medisave Required Amount (MRA) in the Central Provident Fund (CPF) will be raised to S$38,500 from the current S$32,000.

 

The MRA refers to the amount that must be set aside in the Medisave Account, after the CPF Minimum Sum requirement has been met.

 

The CPF Board said those who have met the CPF Minimum Sum and have an MRA shortfall at the point of withdrawal have to make a top-up to the Medisave Account.

 

This can be done with part of the balances from the Ordinary Account and/or Special Account to meet the prevailing MRA.

 

CPF said the requirement for members to set aside the MRA in their Medisave Account is to enable them to have enough savings to meet their healthcare needs during old age.

 

Central Provident Fund members will also continue to enjoy a risk free interest rate of four percent on their Special and Medisave Accounts (SMA) for the next three months, from 1 January to 31 March 2013.

 

The interest rate on their Retirement Accounts (RA) for the whole of next year will also remain at four percent.

 

The CPF Board said this was in line with the government's announcement in September that it would maintain the four percent per annum floor rate for interest earned on all monies in the Special and Medisave Accounts as well as savings in the Retirement Account until the end of next year.

 

Savings in the SMA currently earn either 4 percent or the 12-month average yield of 10-year Singapore Government Securities (10YSGS) plus 1 percent, whichever is the higher.

 

The interest rate on SMA savings is adjusted quarterly, based on interest rates on 10YSGS over a preceding 12-month period.

 

Since the average yield of the 10YSGS plus 1 percent, from 1 December 2011 to 30 November 2012, works out to be 2.49 percent, the SMA interest rate payable to CPF members from 1 January 2013 to 31 March 2013 will be maintained at the current floor of 4 percent, CPF said.

 

New RA savings are invested in SSGS which earn a fixed coupon equal to either the 12-month average yield of the 10YSGS plus 1 percent at the point of issuance, or 4 percent, whichever is the higher, adjusted yearly.

 

CPF said given the lower 10YSGS yield, new RA savings will earn a fixed coupon of 4 percent.

 

- CNA/al

 

http://www.channelnewsasia.com/stories/sin...1243869/1/.html

Assuming 1 million people out of the current 5 million is >55 and can withdraw CPF, does that mean an additional SGD6B(6000 x 1 million) suddenly retained by Medisave?

But i also thought minimum amount is 43K?

Wierd. This must be done in response to something.

Maybe too many people claim Medifund or run out of money in Medisave?

Edited December 21, 2012 by Tedlhw

[Cars08]

KNN....anyhow invest lose $ liao cum claim from us.

 

This one better make sure hv evidence hor...CPF funds I understand is managed by the Board of the Central Provident Fund..Official Foreign Reserves managed by MAS...Temasek Investments are financed thru dividends from its portfolio companies, divestment proceeds and commercial borrowings...