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Self-Employed persons will contribute Medisave based on new Medisave contribution rates from 2007 onwards. Lower income self-employed persons will pay less Medisave contributions so that they can have more cash on hand. |
Medisave Contribution Rates For Self-Employed |
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Before 2007:
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Annual Net Trade Income |
Below Age 35 |
Age 35 To Below 45 |
Age 45 And Above |
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Above $6,000 |
6% |
7% |
8% | |
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2007 Onwards:
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Annual Net Trade Income |
Below Age 35 |
Age 35 To Below 45 |
Age 45 And Above |
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$6,000 And Below |
Voluntary Contributions At 2.17% |
Voluntary Contributions At 2.5% |
Voluntary Contributions At 2.83% |
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Above $6,000 To $12,000 |
2.17% |
2.5% |
2.83% |
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Above $12,000 To $18,000 |
Between 2.17% And 6.5% |
Between 2.5% And 7.5% |
Between 2.83% And 8.5% |
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Above $18,000 |
6.5% |
7.5% |
8.5% | |
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On top of the compulsory Medisave contributions for self-employed persons, you can now save more for your retirement needs, as the maximum voluntary contribution for 2007 will be increased from $25,245 to $26,393.
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What’s more, the tax deduction limit will also be increased. For 2007, self-employed persons can claim tax deduction of 34.5% of their assessable income (up to $26,393), an increase from 33% of their assessable income (up to $25,245) for 2006.
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Though the lower income self-employed persons will pay less Medisave contributions now, their healthcare needs will not be compromised. With WIS, lower income self-employed persons will receive pay-outs in the form of Medisave savings and get even better provision for their healthcare needs in future.
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Who Will Qualify For WIS? |
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Singapore Citizens |
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Age above 35 years |
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Net trade income of $18,000 a year or less |
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Stay in a property with an Annual Value of not more than $10,000. | |
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What Do I Need To Do To Receive WIS?
Simply contribute to your Medisave at the revised Medisave contribution rates.
How Much WIS Pay-out Will I Get?
This will depend on your age and income.
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Annual Net Trade Income |
Above 35 To 45 Years |
Above 45 Years |
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Above $600 To $6,000 |
$60 to $600 |
$80 to $800 |
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Above $6,000 To $12,000 |
$600 |
$800 |
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Above $12,000 To $18,000 |
$0 to $600 |
$0 to $800 |
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Above $18,000 |
$0 |
$0 |
More details on WIS will be announced at a later date.
| Example: |
Mdm Wong is 50 years old and has a net trade income of $12,000 for 2007. |
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Before 2007: |
In 2007: |
| Mdm Wong pays: $960 (8%) |
Mdm Wong pays: $339 (2.83%) |
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Pay-out under WIS: $800 |
| Total Medisave savings: $960 |
Total Medisave savings: $1,139! |
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For more information on Medisave for the Self-Employed Scheme, please visit our website at www.cpf.gov.sg. For further enquiries, please email self-employed@cpf.gov.sg or call 1800-227 1188.
To find out more about the WIS scheme, please visit the MOM website at www.mom.gov.sg. For further enquiries, please email wis@cpf.gov.sg or call 1800-2222 888. |
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