Merdeka Generation Package: What you need to know
By Nicole Chang, Channel NewsAsia, 18 Feb 2019
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Healthcare subsidies, money for healthy activities and public transport – these are some of the benefits eligible older Singaporeans can look forward to as part of the Merdeka Generation Package.
First announced during Prime Minister Lee Hsien Loong’s National Day Rally last year, the package is meant to express appreciation for the Merdeka Generation and help them with healthcare costs as well as to keep active and healthy.
Finance Minister Heng Swee Keat on Monday (Feb 18) shared more details about this in his Budget 2019 speech.
WHO’S ELIGIBLE?
- Those born in the 1950s
- Those born in 1949 or earlier but who missed out on the Pioneer Generation Package
All beneficiaries must have obtained their citizenship by 1996.
HOW MUCH WILL IT COST?
HOW MUCH WILL IT COST?
The package is estimated to cost more than S$8 billion – in current dollars - over recipients’ lifetimes. A total of S$6.1 billion will be set aside for a new Merdeka Generation Fund. With interest accumulated over time, this will cover the full projected costs of the package, said the Finance Minister in his speech.
WHEN WILL THIS BE ROLLED OUT?
WHEN WILL THIS BE ROLLED OUT?
All eligible seniors will be notified by April 2019, and will receive their Merdeka Generation cards from June this year. A more detailed timeline and further information will be provided at the Committee of Supply Budget debate.
Here’s what’s on offer:
1. S$100 TOP-UP TO PASSION SILVER CARDS
Seniors will get a one-time S$100 top-up to their PAssion Silver cards. This can be used to pay for activities and facilities at community clubs, entry to public swimming pools and public transport, among other things.
2. MEDISAVE TOP-UPS
Starting this year, Merdeka Generation seniors will get a MediSave top-up of S$200 every year for five years until 2023, to help them save more for healthcare needs.
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3. ADDITIONAL OUTPATIENT CARE SUBSIDIES, FOR LIFE
3. ADDITIONAL OUTPATIENT CARE SUBSIDIES, FOR LIFE
Special Community Health Assist Scheme (CHAS) subsidies will be available for package recipients, geared towards common illnesses, chronic conditions and dental procedures. All Merdeka Generation seniors will receive these regardless of income, including those without a CHAS card at the moment.
They will also get an additional 25 per cent off subsidised bills at polyclinics and public specialist outpatient clinics.
4. ADDITIONAL MEDISHIELD LIFE PREMIUM SUBSIDIES
Also for life.
These subsidies will start from 5 per cent of MediShield Life premiums and increase to 10 per cent after seniors hit the age of 75.
This translates to a discount of between S$31.50 and S$918, depending on the premium amount.
5. ANOTHER “PARTICIPATION INCENTIVE” TO JOIN CARESHIELD LIFE
Seniors who join CareShield Life will get an extra S$1,500 (when the scheme becomes available for existing cohorts in 2021).
This is on top of a previously announced S$2,500 sum, meaning that all Merdeka Generation seniors who join the scheme will end up getting S$4,000 of participation incentives.
BUDGET 2019: Honouring the Merdeka Generation
Medisave top-up, CHAS subsidies for Merdeka Generation
Most of $6.1 billion set aside for package to ease healthcare costs of nearly 500,000 Singaporeans
By Linette Lai, Political Correspondent, The Straits Times, 19 Feb 2019
Announcing details of the much-talked-about package yesterday, Finance Minister Heng Swee Keat called it a "gesture of our nation's gratitude" for those in that generation, who were born between Jan 1, 1950, and Dec 31, 1959.
"It will provide them better peace of mind over future healthcare costs, while helping them to stay active and healthy," he said.
Starting this year, those in the Merdeka Generation will receive a $200 Medisave top-up every year until 2023.
They will also get higher subsidies under the Community Health Assist Scheme (CHAS) and an extra 25 per cent discount on their bills at polyclinics and public specialist outpatient clinics.
On top of that, they will get either 5 per cent or 10 per cent off their MediShield Life premiums, as well as an extra "participation incentive" of $1,500 if they choose to join the national disability insurance scheme CareShield Life.
And to support this group's active lifestyles, the Government will give them a one-off $100 top-up to their PAssion Silver cards. This money can be used to pay for public transport, entry to public swimming pools and activities at community clubs, among other things.
Mr Heng estimated that the package will cost more than $8 billion, in current dollars, over the Merdeka Generation beneficiaries' lifetimes.
The $6.1 billion set aside during this year's Budget will, with interest accumulated over time, cover the package's full projected costs, he said.
The oldest people in the Merdeka Generation are now 69 years old, and they will be able to enjoy the benefits of the package for many years, Mr Heng said.
He added that the finance and health ministries took this into account when sizing the budget for these benefits.
"This is a significant commitment by the Government," Mr Heng said. "It is important that the Government of the day continues to monitor the patterns and cost of healthcare utilisation, and life expectancy over the next 30 years or more, so that the Government is able to meet this commitment."
The Merdeka Generation Package comes five years after $8 billion was set aside during Budget 2014 for the Pioneer Generation Package.
For those in the Merdeka Generation, Chas subsidies for common ailments, chronic conditions and dental procedures will be higher than what lower-income blue Chas card holders get.
They will be able to get these subsidies regardless of income, even if they do not have a Chas card today.
They will also receive an extra 5 per cent off their annual MediShield Life premiums, which will go up to 10 per cent after they turn 75.
And the new $1,500 bonus for joining CareShield Life means that they will get a total of $4,000 if they sign up for the insurance scheme, since the Health Ministry had previously announced a similar $2,500 sign-up bonus for people born before 1960.
Mr Heng said this money will cover a "significant proportion" of their premiums, adding that he hopes this will encourage more people to join the scheme.
Those who missed out on the Merdeka Generation and Pioneer Generation packages will also get extra help, he said.
Singaporeans aged 50 years and above this year, and who are not eligible for either package, will get an extra Medisave top-up of $100 a year for the next five years.
Those who were born in the 1950s and who obtained citizenship by 1996 will be eligible for the Merdeka Generation Package.
Those born in 1949 and earlier will also get the package if they missed out on the Pioneer Generation Package, as long as they obtained citizenship by 1996.
People who are eligible will be notified by April and start getting their Merdeka Generation cards from June. More details will be shared during the debate on the Health Ministry's spending plans.
Those who missed out on the Merdeka Generation and Pioneer Generation packages will also get extra help, he said.
Singaporeans aged 50 years and above this year, and who are not eligible for either package, will get an extra Medisave top-up of $100 a year for the next five years.
Those who were born in the 1950s and who obtained citizenship by 1996 will be eligible for the Merdeka Generation Package.
Those born in 1949 and earlier will also get the package if they missed out on the Pioneer Generation Package, as long as they obtained citizenship by 1996.
People who are eligible will be notified by April and start getting their Merdeka Generation cards from June. More details will be shared during the debate on the Health Ministry's spending plans.
Merdeka package more generous than expected
By Salma Khalik, Senior Health Correspondent, The Straits Times, 19 Feb 2019
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The Merdeka Generation (MG) Package for Singaporeans born in the 1950s has turned out to be more generous than anticipated.
All seniors from this generation will get a $100 top-up to their PAssion Silver cards as well as an additional $1,500 if they opt in to CareShield Life when it is open to them from 2021.
Prime Minister Lee Hsien Loong had said that the MG Package would be less generous than the Pioneer Generation (PG) Package.
This is only fair as the PG was around in the early days of nationhood and would have lower savings than the younger MG, and, hence, requires more help.
The MG is getting somewhat similar benefits but at a lower rate. The MG card provides subsidies at Community Health Assist Scheme (Chas) clinics that sit somewhere between what the PG gets and what a blue Chas card gives.
The MG gets an additional 25 per cent off medicine and services at public clinics.
The MG will also get top-ups of $200 a year in the Medisave accounts, but only for five years. This is fair as the MG will live longer and hence collect benefits for many more years than the PG.
Those in the MG will also get 5 per cent to 10 per cent subsidies for their MediShield Life premiums. Again, much lower than that for the PG, but those in the MG would have more in their Medisave to pay for this. All in the MG will get these benefits, with those who get means-tested help continuing to receive it.
What they will not be getting, though, is the $100 a month for life should they become disabled.
That is because those in the MG, unlike those in the PG, were young enough to join ElderShield when it was launched. Instead, they are being offered an additional $1,500 to encourage them to switch from ElderShield to CareShield Life.
This came as a very pleasant surprise as those in the MG already get the "participation" bonus of $2,500 announced earlier.
By Salma Khalik, Senior Health Correspondent, The Straits Times, 19 Feb 2019
All seniors from this generation will get a $100 top-up to their PAssion Silver cards as well as an additional $1,500 if they opt in to CareShield Life when it is open to them from 2021.
Prime Minister Lee Hsien Loong had said that the MG Package would be less generous than the Pioneer Generation (PG) Package.
This is only fair as the PG was around in the early days of nationhood and would have lower savings than the younger MG, and, hence, requires more help.
The MG is getting somewhat similar benefits but at a lower rate. The MG card provides subsidies at Community Health Assist Scheme (Chas) clinics that sit somewhere between what the PG gets and what a blue Chas card gives.
The MG gets an additional 25 per cent off medicine and services at public clinics.
The MG will also get top-ups of $200 a year in the Medisave accounts, but only for five years. This is fair as the MG will live longer and hence collect benefits for many more years than the PG.
Those in the MG will also get 5 per cent to 10 per cent subsidies for their MediShield Life premiums. Again, much lower than that for the PG, but those in the MG would have more in their Medisave to pay for this. All in the MG will get these benefits, with those who get means-tested help continuing to receive it.
What they will not be getting, though, is the $100 a month for life should they become disabled.
That is because those in the MG, unlike those in the PG, were young enough to join ElderShield when it was launched. Instead, they are being offered an additional $1,500 to encourage them to switch from ElderShield to CareShield Life.
This came as a very pleasant surprise as those in the MG already get the "participation" bonus of $2,500 announced earlier.
Now those who join CareShield Life, which pays $600 a month for life should they become disabled, will get a total of $4,000 off the premiums they will have to pay over a 10-year period.
Being part of the MG, this could tilt the scales in deciding whether I opt in for CareShield Life.
Being part of the MG, this could tilt the scales in deciding whether I opt in for CareShield Life.