As a self-employed person, you are required to make mandatory MediSave contributions even if you have met the Basic Healthcare Sum (BHS). Your MediSave contributions are computed based on your assessable net trade income.

 

This is no different from employees and platform workers, who continue to make CPF contributions, based on their employee wages or platform worker net earnings, even after reaching BHS and/or the Full Retirement Sum (FRS).

 

MediSave Account (MA) savings above the BHS will first be channelled to your CPF Special Account (SA) or Retirement Account (RA), depending on your age, to build up your retirement savings. Once you have met the FRS in your SA or RA, the MA savings in excess of the BHS will be channelled to your Ordinary Account, which you can tap on for your housing needs. This overflow arrangement prevents excessive accumulation in your MA and helps to enhance your retirement and housing adequacy.