Guide to Your MediSave Account: Its Uses, Contributions, Limits & More
Key Takeaways:
- CPF contributions are mandatory for all salaried employees in Singapore, with both employer and employee making monthly payments based on age and income level.
- The MediSave account helps Singaporeans and PRs save specifically for healthcare expenses, including hospital bills, insurance premiums, and outpatient treatments.
- Contribution rates and CPF allocation percentages change with age, gradually shifting more funds towards retirement and healthcare as individuals grow older.
- Those aged 55 and above will have their Special and Ordinary Accounts merged into a Retirement Account, while MediSave continues to serve their long-term healthcare needs.
What Is MediSave and Who Is Eligible for It?
MediSave is the national medical savings scheme used to help Singaporeans save for healthcare expenses. If you are working in Singapore, both you and your employer must contribute to your MediSave account, with deductions automatically made from your monthly salary.
All Singaporeans and Permanent Residents (PRs) employed in Singapore are required to make these contributions. Singaporeans living and working overseas are not obligated to contribute, but they may do so voluntarily.
What Can You Use Your MediSave For?
Your MediSave account helps you set aside savings for your healthcare needs, especially in your later years. It can be used to pay for medical treatments, dental procedures, health insurance premiums, and more, for both yourself and approved dependants, within set withdrawal limits.
While MediSave covers a wide range of healthcare expenses, it cannot be used to pay for life insurance with critical illness coverage. These plans are considered separate financial products and are not covered under MediSave’s permitted uses.
Here are some key uses of MediSave funds:
Hospitalisation and Surgery
- Inpatient care (minimum 8-hour admission): up to $1,130 for the first two days, $400 per day from the third day
- Psychiatric care: same as inpatient limits above
- Day surgeries: up to $830 per day, including surgical limit ($240 to $5,290)
- Colonoscopy screenings: subject to prevailing withdrawal limits and day surgery charges
- Radiosurgery for cancer (e.g. Proton Beam Therapy): up to $3,750 per course
- Community hospital: up to $250 per day
- Maternity: up to $1,130 for the first two days, $400 per day after, plus up to $900 for pre-delivery expenses
Outpatient Care
- Chronic conditions:
- Under MediSave500/700: up to $500 (simple) or $700 (complex) per patient per year
- From 1 Feb 2024: full payment allowed for CDMP conditions under Healthier SG, subject to limits
- Vaccinations: selected childhood and adult vaccines
- Health screenings: e.g. mammograms for women over 50, newborn screening
- Patients aged 60 and above + spouse: up to $300 per patient per year
- Dialysis: up to $450 per month
- Radiotherapy: $80 to $360 per treatment
- Chemotherapy:
- Up to $1,200/month for approved drugs above $5,400 MediShield Life limit
- Up to $600/month for other drugs on the Cancer Drug List
- HIV treatment: up to $550 per month
- Post-transplant immunosuppressants: up to $210 per month
- Bone marrow transplant: up to $2,800 per year
Long-Term and Palliative Care
- Inpatient hospice care: up to $250/day (general) or $350/day (specialised)
- Day rehab: up to $25 per service per day, capped at $1,500/year
- Home palliative/day hospice: combined lifetime limit of $2,500
- MediSave Care: up to $200/month for long-term care
Insurance Premiums
- MediSave can be used to pay premiums for:
- MediShield Life
- Integrated Shield Plans
- CareShield Life and ElderShield (disability insurance)
For the most up-to-date information and complete details, please visit the MediSave website.
What’s the Difference Between MediSave and MediShield Life?
MediSave is a CPF-funded medical savings scheme that helps Singaporeans and Permanent Residents (PRs) set aside money for their own and their approved dependants’ future healthcare needs.
MediShield Life, on the other hand, is a basic health insurance plan that provides coverage for all Singaporeans and PRs from birth, regardless of pre-existing conditions. It complements your MediSave account by helping you reduce out-of-pocket expenses for costly treatments.
How They Work Together
- MediSave helps pay for medical expenses and health insurance premiums.
- MediShield Life covers large hospital bills (mainly in Class B2 or C wards, with 6 to 8 beds per room), as well as selected costly outpatient treatments, such as dialysis and chemotherapy.
- You can use the savings in your MediSave account to pay for your MediShield Life premiums.
- MediSave can also be used to cover part of your Integrated Shield Plan (IP) premiums.
Key Differences
- MediSave can run out: It’s a medical savings account with limited funds.
- MediShield Life provides lifelong coverage: There is no lifetime claim limit; instead, there are annual claim limits.
- MediShield Life includes coverage for pre-existing conditions, such as cancer, heart disease, and blood disorders. It may also extend to conditions often excluded in private plans, such as treatment for substance abuse or attempted suicide, if future changes are made.
What Is an Integrated Shield Plan?
An Integrated Shield Plan (IP) combines:
- MediShield Life (basic coverage)
- Additional private insurance coverage: for example, to cover stays in private hospitals or A/B1 wards in public hospitals.
Paying for IP Premiums with MediSave
You can use MediSave to pay both parts of your IP premium—up to the following annual limits:
- $300 for those aged 40 and below (next birthday)
- $600 for those aged 41 to 70
- $900 for those aged 71 and above
Any amount beyond these limits must be paid in cash.
How Much Do I Need to Contribute to My MediSave Account?
The amount you contribute to your MediSave account depends on your income level, employment type, and CPF contribution rates.
For Salaried Employees
If you are employed, a portion of your monthly salary is automatically contributed to your CPF accounts, including MediSave, as part of your employee CPF contribution.
Your employer also contributes to your CPF accounts on top of your salary. This employer contribution does not reduce your take-home pay.
The exact contribution rates vary by age group as shown below.
| CPF Contribution Rates | |||
| Age | By employer (calculated as % of your wage) | By employee (calculated as % of your wage and set aside from your salary) | Total (calculated as % of your wage) |
| 55 and below | 17% | 20% | 37% |
| Above 55-60 | 16% | 18% | 34% |
| Above 60-65 | 12.5% | 12.5% | 25% |
| Above 65-70 | 9% | 7.5% | 16.5% |
| Above 70 | 7.5% | 5% | 12.5% |
How Are Your CPF Contributions Distributed?
If you earn more than $750 per month, your CPF contributions will be split across different accounts based on your age.
For Employees Aged 55 and Below
Your monthly CPF contributions are distributed into three accounts:
- Ordinary Account (OA): For housing, education, and investment needs
- Special Account (SA): For retirement savings
- MediSave Account (MA): For healthcare expenses, including dental care, MediShield Life premiums, and other approved medical insurance premiums
For Employees Aged 55 and Above
Once you turn 55, your Ordinary and Special Accounts are combined to form a new account:
- Retirement Account (RA): Dedicated to retirement needs
- MediSave Account (MA): Continues to be used for healthcare, dental care, MediShield Life premiums, and medical insurance premiums
Updated CPF Allocation Rates (From 1 January 2026)
| Allocated to (Ratio of Contribution) % | |||
| Age | Ordinary Account | Special Account | MediSave Account |
| 35 and below | 62.17 | 16.21 | 21.62 |
| Above 35 – 45 | 56.77 | 18.91 | 24.32 |
| Above 45 – 50 | 51.36 | 21.62 | 27.02 |
| Above 50 – 55 | 40.55 | 31.08 | 28.37 |
| Above 55 – 60 | 35.30 | 33.82 (to RA) | 30.88 |
| Above 60 – 65 | 14.00 | 44.00 (to RA) | 42.00 |
| Above 65 – 70 | 6.07 | 30.30 (to RA) | 63.63 |
| Above 70 | 8.00 | 8.00 (to RA) | 84.00 |
Example: Matthew, Age 36
Matthew is a full-time employee in Singapore earning $5,000 per month.
- Employee CPF contribution (20%) = $1,000
- Employer CPF contribution (17%) = $850
- Total CPF contribution = $1,850
Based on Matthew’s age group (Above 35 to 45), here’s how his total CPF contribution is allocated:
| Account | Allocation Rate | Amount (based on $5,000 wages) |
| Total | $1,850 | |
| Ordinary Account | 56.77% | $1,050 (rounded) |
| Special Account | 18.91% | $350 (rounded) |
| MediSave Account | 24.32% | $450 (rounded) |
MediSave Account Contributions for Self-Employed Individuals
If you are self-employed and earn a Net Trade Income (NTI) of more than $6,000 a year, you are required to make annual MediSave contributions. The exact amount depends on your age and the income you declare to IRAS in your tax return.
You are not required to contribute to your CPF Ordinary Account or Special Account, but voluntary contributions are encouraged. You may also choose to contribute more than the compulsory amount to your MediSave account.
How Much Do You Need to Contribute?
| Annual net trade income | Below 35 years | 35 to below 45 years | 45 to below 50 years | 50 years and above |
| Above $6,000 to $12,000 | 4% | 4.5% | 5% | 5.25% |
| Above $12,000 to $18,000 | 4 to 8% | 4.5 to 9% | 5 to 10% | 5.25 to 10.5% |
| Above $18,000 | 8% (max $6,528) | 9% (max $7.344) | 10% (max $8,160) | 10.5% (max $8,568) |
Example:
Nadia is a 28-year-old freelance piano teacher with an annual net trade income of $40,000.
- As she is under 35, her MediSave contribution rate is 8%.
- Her required contribution is: 8% × $40,000 = $3,200
For a quick estimate, you can use the Self-Employed MediSave Contribution Calculator on the CPF website.
MediSave Account interest
The interest rate for your MediSave Account is reviewed every quarter. You can check the latest rates on the CPF website.
You earn up to 5% interest per year on the first $60,000 of your combined CPF balances, which includes your:
- MediSave Account
- Special Account
- Retirement Account
- Ordinary Account (capped at $20,000 for interest calculation)
Once you turn 55, the interest rate increases to:
- Up to 6% per year on the first $30,000 of your combined balances
- Up to 5% per year on the next $30,000
(The $20,000 cap on the Ordinary Account still applies.)
You can also make voluntary top-ups to your MediSave Account to enjoy tax relief.
To check your MediSave balance, log in to myCPF Online Services or download the myCPF mobile app and log in using your SingPass.
What Is the Basic Healthcare Sum and What Happens When You Reach It?
The Basic Healthcare Sum (BHS) is the maximum amount your MediSave Account can hold. Once you reach this limit, any further CPF contributions that would typically go into your MediSave Account will instead be directed to your Special Account (if you're under 55) or your Retirement Account (if you're 55 and above).
The BHS is reviewed annually, but once you reach age 65, the BHS applicable to you at that point becomes fixed for life.
How to Make a MediSave Claim
To use your MediSave funds for healthcare or dental expenses at a MediSave-accredited medical institution, you’ll need to submit a Medical Claims Authorisation Form (Single Institution) to the provider. This applies even if you're also covered by MediShield Life or an Integrated Shield Plan. The healthcare provider will manage the rest of the claims process, and you should see the MediSave deduction reflected in your bill.
If you prefer to allow all public healthcare institutions to deduct from your MediSave Account for future treatments, you can submit a Medical Claims Authorisation Form (Multiple Institutions), or do so electronically via HealthHub. This allows authorised providers to automatically deduct from your MediSave when permitted.
For Integrated Shield Plan premiums, your insurer or agent will handle the MediSave deduction. Once set up, the MediSave portion of your premium will be automatically deducted each year.
Frequently Asked Questions about MediSave Account
How do I check my MediSave Account balance?
Log in to myCPF using your SingPass. Your MediSave balance will be displayed alongside your other CPF accounts. To check how much is available specifically for chronic disease and outpatient treatment, go to ‘My Statement’ and look under the MediSave section.
What happens if I haven’t contributed to my MediSave Account?
Failing to contribute could leave you without enough savings for future healthcare needs.
If you’re self-employed, it is a legal requirement to contribute to your MediSave Account. Non-compliance may result in:
- A fine of up to $2,500 for first-time offenders
- A fine of up to $10,000 for repeated offences
- Restrictions on renewing licences with ACRA or LTA
- Business renewal delays, as all partners must meet MediSave contribution requirements before partnership licences can be renewed
What happens to unused funds in my MediSave Account?
Any unused funds will remain in your account and continue to earn interest, as outlined in the MediSave interest policy.
What happens to my MediSave Account after I pass away?
- If you have a valid CPF Nomination, the CPF Board will contact your nominee(s) within 15 working days of being notified of your death. Your MediSave funds, along with other CPF monies, will be distributed to them.
- If there is no CPF Nomination, the funds will be distributed based on Singapore’s intestacy or inheritance laws.
Conclusion
Your MediSave Account offers valuable support for managing medical expenses for both you and your dependants. However, since it doesn’t cover every condition or treatment, relying solely on MediSave savings may not be sufficient.
Income's Enhanced IncomeShield plan complements your MediSave by covering a wider range of healthcare needs, giving you and your family added peace of mind.
Speak to an advisor to learn how Income Insurance’s plans can support your healthcare planning and help you make informed use of your MediSave benefits.
This article is meant purely for informational purposes and does not constitute an offer, recommendation, solicitation or advise to buy or sell any product(s). It should not be relied upon as financial advice. The precise terms, conditions and exclusions of any Income Insurance products mentioned are specified in their respective policy contracts. Please seek independent financial advice before making any decision.
These policies are protected under the Policy Owners’ Protection Scheme which is administered by the Singapore Deposit Insurance Corporation (SDIC). Coverage for your policy is automatic and no further action is required from you. For more information on the types of benefits that are covered under the scheme as well as the limits of coverage, where applicable, please contact Income Insurance or visit the GIA/LIA or SDIC websites (www.gia.org.sg or www.lia.org.sg or www.sdic.org.sg).
This advertisement has not been reviewed by the Monetary Authority of Singapore.
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