SINGAPORE – From next month, the CPF Medisave Required Amount will be raised from the current $22,500 to $27,500. This is to enable members to have enough savings to meet their healthcare needs during old age.
The CPF Board also announced that the interest rate on Special and Medisave Account (SMA) savings will be maintained at 4 per cent for the first quarter of next year.
The interest rate on Retirement Account (RA) savings for next year will also stay at 4 per cent. An additional 1-per-cent interest will continue to be paid on the first $60,000 of a member’s combined balances, with up to $20,000 from the Ordinary Account (OA).
The additional interest received on the OA will go into a member’s Special or Retirement Accounts to enhance retirement savings.
If the member is above 55 years old and has signed up for the CPF Life scheme, the additional 1-per-cent interest will also be payable on the annuity premium, less annuity payouts already made.
The additional interest earned on the member’s CPF Life annuity monies will be paid into his RA.