January 19, 2021
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Besides setting new year resolutions and financial goals for 2021, here’s a reminder why an annual review of your insurance policies is a #Need.
It’s the start of yet another new year cue new found determination to stick to your exercise routine, diet plans and monthly budget.
While it’s still early in 2021, here’s another goal to add to the list: sit down with your financial advisor to do a thorough review of your insurance plans.
We’ll admit, coffee with your advisor doesn’t exactly come across a first ballot new year to-do. But doing a review of your insurance coverage helps to ensure that your financial planning has a green bill of health.
January 10, 2021
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In Singapore, we’re trained to think about our long-term future and retirement from the day we start working. This is when we see regular contributions from our monthly wage going into our CPF, namely the Special Account (SA).
While our CPF contributions also go into our Ordinary Account (OA) and Medisave Account (MA), these accounts can be used to pay for the downpayment and mortgage of our home, tuition fees for our loved ones and certain insurances such as the Home Protection Scheme (HPS) and Dependent Protection Scheme (DPS) via our OA and medical treatments and procedures as well as MediShield and Integrated Shield Plans (IP) via our MA.
$34,531
So as you can see, one seemingly “simple” medical procedure like this can set you back a few months’ salary. Ouch.
But I already have Medisave. I can use Medisave to pay, right?
Every working Singaporean would have some money in their Medisave accounts. Channelled from your CPF savings, Medisave is basically a bucket of funds which are meant for healthcare costs.
The short answer is: yes, you can use Medisave to defray some of the costs of your treatment (or your immediate family’s). But there are withdrawal limits that apply to specific medical bill components:
Surgery: Depends on how complex the procedure is. Ranges from $250 (simplest) to $7,550 (most complex).