As you are likely to use Medisave for your healthcare needs in your retirement, you would need to retain savings in your Medisave Account.

If you wish to withdraw your Medisave at age 55, you need to set aside the Medisave Minimum Sum before you are allowed to withdraw the balance. The  Medisave Minimum Sum from 1 July 2008 is $29,500 and is adjusted every July of the year.

Medisave Required Amount

The Medisave Required Amount (MRA) refers to what you are required to have in your Medisave before you are allowed to withdraw any CPF balance after meeting the CPF Minimum Sum requirement. If you have a MRA shortfall at point of withdrawal, you are required to top-up your Medisave Account with up to 50% of the withdrawable amount from your Ordinary Account and/or Special Account to meet the prevailing Medisave Required Amount of $14,000.

The Medisave Required Amount is set at $14,000 from 1 January 2008 and will rise by $2,500 each year until it reaches $25,000 (in 2003 dollars) in 2013.

How Much Medisave Can I withdraw?

The table below will sum up how the prevailing Medisave Minimum Sum and Medisave Required Amount will determine the Medisave amount you can withdraw.

• No withdrawal of MA is allowed. If you have set aside the CPF Minimum Sum and wish to withdraw the remaining CPF savings, you will have to transfer up to 50% of the remaining balance from your OA and/or SA to your MA to meet the prevailing Medisave Required Amount of $14,000. This also applies to subsequent withdrawals after age 55.

• No withdrawal of MA is allowed.

• You can withdraw the amount in excess of $29,500 from your MA and part of it will be used to top up your RA if you have a CPF Minimum Sum shortfall.