A few weeks ago, I was pleasantly surprised to receive a letter from MINDEF informing me that I was eligible for the 3rd milestone of the NS HOME Awards and that they would credit $5000 into my CPF accounts ($3000 into my Ordinary account and $2000 into my Medisave account). Even more surprising was that due to the award, I have reached the Medisave Contribution Ceiling (MCC), which is currently $48,500. This caused the excess of the MCC to be transferred to my Special Account.
Many Singaporeans, including my wife, are clueless on what will happen to their Medisave accounts when the ceiling is reached. Many people also cannot appreciate the difference between the Medisave Minimum Sum (MMS) and MCC.Ignorance is certainly not blissful when it comes to managing your CPF retirement fund because if you are not given the right information, you may be misled by bloggers trying to stir up negative sentiments......