Medicare
- What does MBF offer that Medicare doesn't?
- What is the extra 1% Medicare levy and who does it affect?
- What type of hospital cover will enable me to avoid the additional Medicare levy?
- I am single. How much will the additional 1% Medicare Levy cost me per year?
What does MBF offer that Medicare doesn't?
MBF will deliver you choice and peace of mind.
When you join MBF:
- Your MBF Extras cover will help pay for expenses you know you'll face (e.g. going to the dentist, getting new glasses or visiting the physio). Medicare doesn't cover these.
- Your MBF Extras will cover you for emergency ambulance transport when provided by MBF-recognised providers (although some people may be already covered for this)
- Your MBF Hospitals cover will enable you to:
-
- Choose private hospital accommodation
- Be covered as a private patient in a public hospital
- You could enjoy tax savings by taking out health cover.
What is the extra 1% Medicare levy and who does it affect?
The Federal Government has imposed an additional 1% Medicare levy on those above a specified level of income who don't have appropriate hospital cover for themselves, a partner or any dependants. Your Medicare levy would increase from 1.5% to 2.5% of your taxable income.
| Your situation | Income threshold |
|---|---|
| Single | Taxable income and reportable fringe benefits of more than $70,000 a year |
| Couple/Family | Combined taxable income and reportable fringe benefits of more than $140,000 per year (more if more than one child) |
What type of hospital cover will enable me to avoid the additional Medicare levy?
By choosing an MBF Hospital cover with a per person excess of $500 or less, you can have the peace of mind of knowing that the additional Medicare levy will not affect you from the date you join. For more details, contact MBF or consult your accountant or taxation adviser. Please also see Tax Advantages.
If you joined hospital cover with an annual excess greater than $500 per person on or before 24 May 2000, you will continue to be exempt from the additional 1% Medicare levy as long as you maintain continuous membership of the same cover. (Note: changing the number of members covered on the membership amounts to changing your cover, e.g. changing from single to family.)
I am single. How much will the additional 1% Medicare Levy cost me per year?
| Your total taxable annual income and reportable fringe benefits (what you earn) | Additional 1% Medicare Levy p.a. (what you'll pay) |
|---|---|
| $70,001 | $700 |
| $80,000 | $800 |
| $90,000 | $900 |
| $100,000 | $1,000 |
| $110,000 | $1,100 |
| $120,000 | $1,200 |
| $130,000 | $1,300 |
| $140,000 | $1,400 |
This chart is an approximate guide only.