“The Advantages of Paying My Medisave Contributions” – Grace Ng (Self-Employed) Self-employed – Prepare yourself for rainy days “The Advantages of Paying My Medisave Contributions” – Grace Ng (Self-Employed) -- reported by Mindy Kwok (Senior Reporter, Lianhe Wanbao)   Medisave Scheme helps to ensure that self-employed persons’ basic medical needs are taken care of. Mdm Grace Ng has been driving the MaxiCab for the past 8 years. During the interview, she shared with us the benefits of paying Medisave as a self-employed person. CPF Board introduced the Medisave for Self-Employed Scheme in July 1992. Grace started contributing to her Medisave since the inception of this scheme. Since March 2003, she has also been using part of her Medisave to finance a Medisave-approved insurance plan she bought from one of the private insurers. Photographer: Rao Jing Li, LianHe WanBao. She said: “Paying my Medisave and buying Medisave-approved insurance plan with it is to ‘buy’ an assurance for my future. With it, I try to make sure that I will not be troubled with my medical expenses in my retirement years. Frankly speaking, we really need to ensure that we take care of our basic healthcare and medical expenses especially since we are getting older.” “It was incidental that one day, I picked up a passenger and we chatted about Medisave. He was on his way to an insurance company’s office to buy his Medisave-approved insurance plans. He said that as a CPF member, especially as a self-employed, we must all take care of our future medical needs. We should pay our Medisave on time, and use part of it to buy Medisave-approved insurance plans for not only ourselves, but also our family members.” “My husband is also a self-employed. He drives taxi for a living as well. Besides myself, I’ve also encouraged him to pay his Medisave on time, as well as to buy Medisave-approved insurance plans with part of it.” “Although I’m in the pink of health now, and do not need to use my Medisave or claims against my insurance for medical expenses, we will never know what will happen in the future. It is important to start planning for our future healthcare and medical expenses earlier.” Grace was “newly-promoted” as a grandmother. Her daughter gave birth to a cute baby boy recently. Besides providing for the basic healthcare and medical needs of CPF members, paying Medisave on time enable self-employed persons to renew their license on time every year. Before she started driving the MaxiCab, Grace was the owner of a hair saloon. She decided to become a taxi driver after she obtained her taxi driver’s vocational licence. To increase her occupational mobility, she is currently studying for her tourist guide’s licence. Grace emphasised that even if she switches her trade in future, she will continue to pay her Medisave as long as she stays as a self-employed. With this, she will be able to sleep in peace, and would not need to worry about her medical expenses, as well as the eligibility for renewal of her business licence.     SELF-EMPLOYED – PREPARE YOURSELF FOR RAINY DAYS   More than 250,000 self-employed persons are contributing to their Medisave for their healthcare needs. Are you one of them? Medisave is a form of personal savings that can be used for future medical expenses incurred by yourself and your loved ones, even in your retirement years. Therefore, it is important for self-employed persons, just like other CPF members, to have enough Medisave savings. Contributing regularly to Medisave will help you build up your healthcare savings over your working life. Moreover, the savings in your Medisave account earn interest at an attractive rate of 4% a year. Besides using your Medisave to pay your hospitalization bills, you can also use your Medisave to pay premiums for MediShield, an insurance scheme that helps meet expenses arising from serious illnesses and long hospital stays. Medisave can also be used to pay premiums for other Medisave-approved insurance plans. It is compulsory for you to contribute to Medisave If you earn a yearly net trade income of more than $6,000, you are required to contribute to Medisave. Unlike employees, self-employed persons do not enjoy company medical benefits. Regular Medisave contributions ensure that you have the financial means to meet unexpected healthcare expenses when needed. How do I make payment towards my Medisave? You can pay via any of the following ways: 1) NETs/Cashcard or cash at any Singapore Post 2) Crossed Cheque made payable to CPF Board 3) Internet banking at our CPF website, www.cpf.gov.sg, if you have internet banking facilities with DBS, UOB or Citibank. If you have difficulties paying your Medisave liabilities in one lump sum, the Board will consider allowing you to pay by instalments. This concession is granted on the condition that you make an upfront payment of a specific amount and undertake to pay the instalments by GIRO. Please contact us if you would like to arrange for such an instalment plan. For more information Please visit our CPF website at www.cpf.gov.sg or email to Self-Employed@cpf.gov.sg. Alternatively, you can call the CPF Call Centre at 1800-227 1188.